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Monday Nov 25, 2024
Thursday, 24 October 2013 00:01 - - {{hitsCtrl.values.hits}}
Key purpose of the BOI
He also elaborated on the key purpose of the BOI: “The BOI was founded to develop the country using foreign investment. By allowing foreign investors to establish their businesses, we address the issues of bringing in latest technology and the necessary knowledge and expertise to operate machinery used in our industries and build infrastructure which in return develops our economy. These foreign investors have created job opportunities through their projects and recruited our people to work for them.”
Ferdinando reiterated on the importance supporting the Government of Sri Lanka in its attempt to attract foreign investors and since the end of war the BOI been actively promoting the country as a hub for various industry segments. BOI convoys have also visited several countries to strengthen bilateral relationships during the last few years.
“According to the reports released by the Central Bank, our economic growth rate at present stands at 7.3% and is forecasted to reach 8% by the end of 2013. In order to achieve the forecasted economic growth rate, we need to generate 35% return on investment (ROI). At present the ROI from the Government sector stands at 7% and the balance needs to be fulfilled by foreign investments.”
Jayaweera in his presentation providing an overall insight on the BOI said that the Board had assisted the Ministry of Investment Promotion in pre-publicity campaigns in the run up to being selected as the next country to host CHOGM. The Board has also invited 500 individuals to take part in the Commonwealth Business Forum 2013, out of which 337 participants had confirmed as of 22 October.
Progressing to the next level
Addressing the conference Prof. Bandara drew the audience’s attention toward the past and the progress we have made within the last four years. “In 2010 the GDP per capita stood at $ 1,000 and as of last year has increased to $ 2,923. The unemployment rate has come down from 14% to 12%. In 2010 foreign investors did not want to invest or bring their businesses to Sri Lanka. But with the groundwork done by the BOI and the current President, the image portrayed to the world has improved. As responsible citizens our media institutes too have a greater responsibility towards supporting the Government’s way forward in uplifting the country’s economy by portraying the brighter side of the picture.
“Though an open economy was introduced to Sri Lanka in 1978, due to the civil war and the youth uprisings from the south and the north, the economy suffered a backlash. From 2009 onwards we had to build our economy regardless of these situations and have shown immense growth within a short span of time. Internal and external collaborations are necessary and strong trade relationships need to be established just so that Sri Lanka can progress to the next level in the global economy.”
Economic benefits of CHOGM
Sharing his perspective, Rajapakse stated that the economy would reap benefits in four aspects thanks to CHOGM: Political, social, economical and business.
“As forecasted by the Central Bank, Sri Lanka needs to achieve an economic growth rate of 7.5% by the end of 2013. So far $ 1.5 billion worth of investments have been brought in to the country. In order to attract more foreign investors, fiscal incentives need to be provided; infrastructure and road connectivity needs to be put in place. The public would have noticed that highways have been built and townships are being beautified in the run-up to CHOGM. The hospitality and hotel industry will reap a lot of benefits as room occupancy will be at full capacity during the next few weeks and up to 7,000 rooms will be utilised by the delegates participating in the meeting and the parallel forums.”
Opportunity to showcase Sri Lanka
“CHOGM is the best thing that happened to the post-war Sri Lankan economy and it was the best decision taken by our President Mahinda Rajapaksa. This meeting has given us the opportunity to showcase our resources to many heads of governments and the delegates of over 50 countries who will visit this country during the next few days. These representatives will witness the rapid development of a post-war country,” Mustapha opinionated.
Wrapping up the conference and speaking on behalf of the Government and the Investment Promotion Ministry, Abeywardena pointed out the key roles of the ministry and the BOI during the CBF2013.
“This country has a stable Government which has set the development levels high by building the infrastructure, road network and introducing development projects in various sectors and has built a strong platform to support and host CHOGM. Several individuals and organisations attempted to tarnish the country’s image by distributing pamphlets in places where visiting foreign investors gathered and spread rumours and remarks about the present Government. Despite all these allegations, we have received the opportunity to host the Commonwealth Heads of Government Meeting with the attendance of Prince Charles and other head of states.”
The Minister also shared the fiscal incentives for investors and informed that under the ‘Mahinda Chinthana,’ Sri Lanka would be turned into an economical hub for the region focusing on the six sectors of energy, knowledge, tourism, maritime, aviation and commercial.
