Seychelles becomes Lanka’s largest investment partner

Seychelles, Sri Lanka’s largest investment partner in 2011, offers synergy and market potentials in many sectors for both countries. More importantly, Seychelles is ‘very strongly’ looking to Sri Lanka for air links and maritime cooperation. “There are synergy potentials between both countries, in several sectors including tourism and hospitality, boat manufacturing, harbours, maritime cooperation, health and banking and financial where we can jointly explore. We also believe that gems and jewellery, furniture, and plastic products and many more business to business cooperation potentials are available,” announced Minister of Industry and Commerce Rishad Bathiudeen.

Minister Bathiudeen was addressing breakfast meeting held by his Department of Commerce for the visiting high level Seychelles delegation led by Seychelles President James Alix Michel on 22 August at Hilton Hotel, Colombo. The meeting was attended by Minister of Fisheries and Aquatic Resources Rajitha Senarathna, Secretary, Industry and Commerce Anura Siriwardene, Secretary, External Affairs Karunathilleke Amunugama, officials of Ministry of External Affairs, the BOI, EDB, Ceylon Chamber of Commerce, Ministry of Civil Aviation and Civil Aviation Authority.

Among the private sector entities in attendance were Commercial Bank, Bank of Ceylon, Colombo Dockyard PLC, Ceyline Group, Neil Marine, LTL Holdings, Ceynor Foundation and Hydro Power International. In addition to President Michel, Minister of Foreign Affairs Jean Paul Adam, Minister of Natural Resources and Industry Peter Sinon, Delhi based High Commissioner of Seychelles to Sri Lanka Waven William, Chief Press Secretary Srdjana Janosevic, Seychelles Civil Aviation Authority Chairman Capt David Savy, Seychelles Boat Owners Association Chairman Beaty Hoareau and Seychelle Ministry of Finance, Trade and Investment Director General of Trade Charles Morin and Seychelles Broadcasting Corporation CEO Antoine Onezime were present at the breakfast meet in which detailed presentations were made to the visiting delegation by DoC (on investing in Sri Lanka), Neil Marine Ltd. (boat building in Sri Lanka and fishing opportunities in Seychelles) Cey-Nor (promoting Sri Lanka’s fishing industry) and Hydro Power International Ltd. (renewable power generation).

In 2011, Sri Lanka’s largest international investment partner was Seychelles which invested $ 253 million in Sri Lankan followed by India and Hong Kong at $ 147 million and 139 million respectively. In the same year, Sri Lanka’s exports to Seychelles stood at $ 0.83 million while imports were at $ 1.64 million. Main products exported from Sri Lanka include, tea and fishing vessels, and processed food products.

“I am pleased of the many MoUs signed between the two countries thereby enhancing our historic links significantly. As the Commerce Minister I also view suggested exchange of business delegations in future to be a welcome development. In 2011, Sri Lanka’s exports to Seychelles, stood at $ 0.83 Million dollars while imports were at $ 1.64 Million dollars. There are synergy potentials between both countries in several sectors including tourism and hospitality, boat manufacturing, harbours, maritime cooperation, health and banking & financial where we can jointly explore. We also believe that gems and jewellery, furniture, and plastic products and many more business to business cooperation potentials are available. We are also keen to learn from Seychelles as to how you successfully generate strong revenues, by strategically engaging the high net-worth tourists, from all over the world, lessons which I believe can bring great benefits to Sri Lanka,” Minister Bathiudeen said, adding, “In April this year, Jean Paul Adams, revealed to me when he was in Colombo that Sri Lanka could become the shipbuilding hub for Seychelles. He also highlighted that Seychelles is keen for joint holiday promotions with our travel firms combining Seychelles beaches and Sri Lanka’s scenic tea hills, jungle safaris, and temples, and many more for tourists exiting from Seychelles and the Dubai hub. Subsequently in June, Waven William revealed to me that the Development Bank of Seychelles is looking for possible partnership with Sri Lanka. Therefore I am convinced that the forthcoming joint efforts and possible alliance will facilitate further broadening and strengthening of the cordial bilateral links between our two nations.”

Addressing the meeting, President Michel said, “We are looking for cooperation in fisheries among others where I see lots of potentials. Your offer of credit line enables us to build our fleet and develop our fishing industry for which we thank the government of Sri Lanka. We want Sri Lanka to help us together with you to take ownership of the resources in our ocean which has been exploited by foreign interests. We have to make the most of it and engage ourselves in developing the blue economy for the benefit of both countries. We are also exploring renewable energy potential as well as collaboration in education and intellectual sector-in that synergies and partnership between Sri Lankan and Seychelles universities. Air and maritime cooperation between the two countries could begin immediately which will boost tourism, trade and investment at both ends, and also help grow such segments as medical tourism through direct and onward flights. I would like my Chairman of Seychelles Aviation Authority to start discussions today itself with SriLAnkan Airlines. We also look to SriLankan (Airlines) for onward flights potential from Seychelles to other parts of Africa such as South Africa which will open up lots of opportunities for SriLankan. SriLankan’s marketing aimed at Eurpore, such as Paris, can benefit Seychelles as a destination. We are prepared to give facilities to SriLankan Airlines for direct flights to Seychelles. I think together we can achieve a lot for our countries.”

Minister Adam speaking at the meeting said, “Both countries are at the cusp of a new era-Sri Lanka has gained peace following the end of war in 2009 and Seychelles is in a new phase following the economic restructuring of 2008. We completely restructured our debt, re-valued our currency. And thereafter we went to the IMF and spoke to them on our terms. Today we are proud that we have curbed inflation, debt to GDP and strong, sustainable growth. And there are new opportunities for private sector. Seychelles realises that for us to sustain growth, we cannot do it alone within our shores. We have to go far beyond our shores. This is where the Indian Ocean that connects us can give new opportunities. Our President has strongly called on the need for air-links between the two countries. This is one of the key ‘pieces of infrastructure’-we don’t think air-links as ‘an infrastructure’ but rather a key piece of infrastructure on which we will build other relationships-trading, economic, and tourism. Even in tourism development, air-links are the key. Also, we need to enhance maritime cooperation. Too many distant fishing nations are fishing in our waters. We have to build our own capacity and reclaim the ownership of our ocean. To do so we have to build a fleet of vessels owned within the Indian Ocean. We believe Sri Lanka has the capacity to do this.”