Foreign investors and firms that stood with SL through thick and thin

Having served in a role focused on attracting investment into Sri Lanka during one of its most challenging periods, what stood out to me was the commitment of a few remarkable investors – those willing to risk their capital for long-term returns, largely because of their deep connection and love for the country. Their contributions often go unnoticed. Many of them came to Sri Lanka in a small way, fell in love with the country, and over time decided to invest more of their wealth, even when times were tough.

Sri Lanka’s economic landscape has been shaped not only by large multinational corporations and foreign governments but also by individual investors who have demonstrated unwavering confidence in the country’s potential. Despite economic downturns, political instability, and financial crises, these investors have continued to support Sri Lanka’s development, often taking calculated risks to invest in key sectors. Their efforts have been critical to stabilising industries, creating much-needed employment, and positioning Sri Lanka as a viable and attractive investment destination.

Notable investors/firms

The Kuok family, through their renowned Shangri-La luxury hotel chain, has played a pivotal role in developing Sri Lanka’s high-end tourism sector. Their investments in Shangri-La Colombo and Shangri-La Hambantota were significant votes of confidence in Sri Lanka’s tourism potential. Even in the face of severe setbacks like the Easter Sunday attacks and the economic crisis, these investments remained intact, helping to revive tourism and create employment opportunities.

Nepalese billionaire Binod Chaudhary, founder of CG Corp Global, has been a steadfast investor in Sri Lanka. Through CG Hospitality, Chaudhary has made substantial investments in the hotel industry, including stakes in Jetwing Hotels and other prominent resorts. More recently, his strategic investments in Union Bank and partnerships with John Keells signify his broader commitment to Sri Lanka’s economic landscape. Beyond hospitality, Chaudhary has also explored opportunities in manufacturing and consumer goods, consistently advocating for investment-friendly policies and structural reforms. 

The late S.P. Tao, investor in Overseas Realty (Ceylon) PLC, was highly optimistic about Sri Lanka’s growth prospects. He invested $ 100 million to develop the iconic World Trade Centre in Colombo — the largest foreign direct investment (FDI) in Sri Lanka during the 1980s. His family has continued his legacy by investing further in the country, notably through the Havelock City development.

Indian billionaire Gautam Adani, has emerged as a strategic investor in Sri Lanka’s infrastructure sector. The Adani Group’s investment in the West Container Terminal at Colombo Port marks one of the largest foreign direct investments in Sri Lanka’s maritime industry. Adani’s decision to proceed with this investment, despite the country’s financial instability, underscores his confidence in Sri Lanka’s strategic location as a global shipping hub. His entry has also paved the way for broader Indian private sector involvement in critical infrastructure projects.

Pierre Pringiers is another name that cannot be forgotten in Sri Lanka’s industrial development. Pringiers founded Solideal-Loadstar, a tyre manufacturing company specialising in solid tyres for industrial and construction vehicles. Despite scepticism from others who thought investing in Sri Lanka was a mistake, Pringiers persisted. His entrepreneurial journey didn’t stop there—he later ventured into yachting-related businesses at a time when no such market existed in Sri Lanka. Loadstar has since become part of Michelin, and his commitment to the country has remained steadfast. His journey is a testament to resilience and belief in Sri Lanka’s potential.

There are also several other companies and individuals that have made significant contributions to Sri Lanka’s foreign direct investment, helping to create employment and drive exports. In addition, there are foreign HNIs (Mark Mobius) and funds (Norges, Aberdeen, Fairfax and Templeton) invested in the CSE. Dialog Axiata PLC has been a key player in telecommunications and technology. Hambantota International Port Group Ltd. has made substantial investments in port infrastructure. CHEC Port City Colombo Ltd. continues to shape Sri Lanka’s future with one of the largest ongoing Port City Project. Hutchison Telecommunication Lanka has expanded connectivity across the country, while WelcomHotels by ITC has made strategic investments in hospitality. 

Ansell Lanka Ltd. and Calzedonia Finanziaria of Luxembourg have been significant players in manufacturing and apparel. Companies like Prima Ceylon, TWS, Continental, Eskimo Fashion Knitwear, Timex Group, and United Tobacco Processing Company from Belgium have also added value to the export sector. Additionally, major multinational corporations/giants such as GSK, Nestlé, BAT, Caltex, IOC, LIC, SCB, HSBC, BOC, A. Baur & Co, Taj Hotels, Huwaei and Ashok Leyland, Unilever have remained invested and committed to Sri Lanka, even during challenging times.

In the technology and BPO space, several companies such as IFS, Virtusa, WNS, and others have contributed significantly to developing Sri Lanka’s services exports. There are several other joint ventures in the garments space led by MAS, Brandix, and Hidramani that have had a huge impact on export development.

Conclusion

Despite Sri Lanka’s economic volatility and political challenges, the individual investors and companies mentioned above have chosen to focus on long-term opportunities. Their sustained presence has created thousands of jobs, contributed to developing key industries, and enhanced Sri Lanka’s infrastructure and tourism appeal. As Sri Lanka moves forward on its path to economic recovery, the continued confidence and commitment of such investors will be vital for ensuring sustainable growth and attracting further international capital. Their stories remind us that beyond balance sheets and returns, there are investors who believe in Sri Lanka’s future and are willing to stand by it—through thick and thin.

References: 

https://investsrilanka.com/2024/04/06/boi-marks-45th-anniversary-with-first-ever-awards-recognising-biggest-contributors-to-fdi-and-exports/#:~:text=of Sri Lanka-,BOI marks 45th anniversary with first ever awards recognizing biggest,of Investment of Sri Lanka.

https://www.pressreader.com/sri-lanka/daily-mirror-sri-lanka/20160505/282527247638752?srsltid=AfmBOooCvaQ8b8Yv_kh-y51UgkE2h7IUKt14zfLzDIx3U0z3Ya20uMTI