Investor friendly policies lead to phenomenal FDI inflows - BOI Deputy Chief

Investor friendly policies, simplified systems and procedures and business-like attitudes adopted by the BOI Sri Lanka over the past few years led to phenomenal growth of FDI inflows.

The BOI has achieved the highest ever growth of FDI inflow in 2008, which reached US$ 889 mn. This was achieved in a year when worldwide FDI inflows were down by 15 percent, said Deputy Director General (Investment and Promotion) of the BOI, Chandrasiri Kulasekera.

He was addressing the opening session of the UNCTAD - WAIPA Investment Conference held in Geneva, Switzerland.

The Investment Conference was held to assess the impact of the global economic crisis on global FDI inflows and designed for investment promotion practitioners and policymakers to focus on issues faced by investment promotion agencies including emerging challenges and opportunities on how to attract and retain FDI.

This is a daunting challenge in the light of the current global economic crisis. It included a high level session on best practices in investment policies, parallel events and opportunities for the delegates to network.

The conference was organized in co-operation with the World Association of Investment Promotion Agencies (WAIPA) where Sri Lanka was a pioneer member, on the occasion of UNCTAD’s Investment, Enterprise Development Commission from May 3-8.

Over 100 Investment Policymakers and Best Practitioners from all over the world gathered in Geneva to assess the impact of the global economic crisis on FDI and share the experience of best policies adopted by successful Investment Promotion Agencies of member countries of WAIPA and UNCTAD.

BOI Chairman Dhammika Perera and his Deputy, Chandrasiri Kulasekera, represented Sri Lanka. Sri Lanka’s Permanent Representative in Geneva Dr. Dayan Jayathillake, addressed the opening session on behalf of the Asia Regional Group. Minister Commercial, Ms. Ruwanthi Ariyarathna also participated.

Kulasekera outlined the measures adopted by Sri Lankan authorities to improve the investment climate and attract major inflows. This was achieved by the introduction of innovative measures such as simplified application and approval procedures where the investment approval could be granted within a day.

The investor was freed of the burden of filing and lodging a large number of documents. In addition there was a reduction of bureaucracy of cumbersome practices, a reduction of waiting time, a simplification of the process of company formation and registration. The long-term effect was an improvement of the doing business index of Sri Lanka.

The setting up of the Cabinet Sub-Committee on Investment Facilitation (CSIF) headed by President Mahinda Rajapaksa to resolve the major policy issues faced by the investors is further proof of importance Sri Lankan authorities accord to and of their commitment to the promotion and facilitation and retention of Foreign Direct Investment.