Govt. targets $ 20 b export earnings

Development Strategies and International Trade Deputy Minister Nalin Bandara – Pic by Ruwan Walpola

• Nalin Bandara says export earnings projected for 2020 is $ 22 b
• Says $ 3 billion in FDIs targeted including $ 1 b steel plant 

By Nuwan Senarathna

The Government is targeting export earnings to top $ 20 billion this year, Development Strategies and International Trade Deputy Minister Nalin Bandara said yesterday, detailing ambitious plans by the Government that mostly focus on big ticket projects. 

“We are working according to a plan. We had to take tough decisions, but that has paid off, and now we are on the correct track,” Bandara told reporters at Sirikotha, the United National Party (UNP) head office.

The Minister said export earnings were projected to grow in 2019 and will top $ 22 billion in 2020, noting that a number of projects were already in the pipeline. Bandara said the Government expects to commence several major projects to achieve its export earning goal set at the beginning of this year.

He pointed out that boosting the country’s investments would be the only way to achieve export goals, insisting that export-oriented industries and Foreign Direct Investments (FDI) would help to expand the export earnings of the county.

“In 2018, Sri Lanka recorded $ 2.38 billion FDI. In 2017, we were only able to draw $ 1.7 billion worth of FDI, therefore, comparing to 2017 last year, was a 39% increase,” he added.

Bandara noted the Government expects $ 3 billion in FDI this year. He said the Government had already negotiated with a number of parties to start large-scale projects. These include two major investments this year that could make half of this year’s targeted FDI drawings. He noted that $ 1 billion would be invested to setup a steel manufacturing plant in Trincomalee and $ 500 million would be invested to set up a cement plant in Hambantota this year.

“The country is moving forward and this is the year the entire country will witness development. All the mega projects that we planned during the last three years will commence this year.”

According to Bandara, the plant would be a joint venture between Sri Lanka and China, however, Bandara did not disclose the company behind the planned investment. He said land allocation and environmental assessment for the steel manufacture plant would be completed within the next two months. “We are expecting to commence the construction works of the plant in April,” he added. He said the cement plant would be another joint venture project between China and Sri Lanka that would also start in the next few months. Discussions are still ongoing for both projects.