Land and Employment Bank to meet BoI sector needs

Shirajiv Sirimane in Kurunegala

MEETING DEMAND: Minister of Investment Promotion and Enterprise Development Dr. Sarath Amunugama said that they are planning to set up a special Land and Employment Bank to meet demands arising from the BoI sector.

Speaking at the opening of a Board of Investment regional administrative office in Mawathagama last morning he said that after taking over the BoI he has cleared over 120 projects which have a total investment value of over Rs. 2 billion. Some of the approved projects have already got off the ground.

He also said that investors keep on coming to Sri Lanka and that the Marks And Spencer Group, which set up their storage facility in Katunayaka, are looking at more investments. "By setting up this centre they are saving around 60 percent from their shipments," he said.

He said that he has done away with the earlier practice of granting BoI status after land and other logistics were found. "This is taking time and now we give approval and then assist the investor to iron out problems," the Minister said.

With the setting up of the Land and Employment Bank, investors would be finding it even easier to start up their business. The Minister instructed his officials to start the Employment Bank from Mawathagama. He said that when the bank is in place the BoI would be in aposition to provide land infrastructure and workers for the investor, making it even easier for them.

The Mawathagama BoI zone was set up in 1999 with 50 acres and today it has 3,000 employees and the total investment for the zone is Rs. 300 million. The Government has invested Rs. 150 million to provide infrastructure.

"We are also negotiating to increase the capacity of the Mawathagama BoI and are hoping to acquire 100 acres for the zone," he said.

He also said there are appeals from five investors to open up a trading centre for the zone so that they could get more opportunities. "The Ministry would also invest in this trading centre," he said.

He also said that the unemployment rate in the Western Province has reduced dramatically and the main reason for this is the high performing service sector.

The Minister said that due to this, entrepreneurs have to import labour from China. "This is especially evident in the construction industry," the Minister said.