‘Sri Lanka has big potential to be a viable regional center than any other country’

Sri Lanka has a big potential than any other country in Asia to become the most viable and attractive regional economic hub. Strategic location, post conflict infrastructure development initiatives, peace and stability, high economic growth and able leadership are the main factors behind these potentials.

Sri Lanka has performed well in its economic development drive after the end of the conflict and has achieved the highest economic growth continuously during the last three years, said Xiaoyu Zhao, Vice Chairman of the Asian Development Bank at a meeting he had with Basil Rajapaksa, Minister of Economic Development, at the ministry of Economic Development today (26). Xiaoyu Zhao, the Vice-President (Operations 1), Asian Development Bank is currently on an official visit to Sri Lanka in order to review the progress of the ongoing ADB funded projects and negotiate on future programmes.

Xiaoyu Zhao, Vice Chairman of the Asian Development Bank had a meeting with Basil Rajapaksa, Minister of Economic Development, at the Ministry of Economic Development yesterday. Ms. Rita O'Sullivan, ADB's Country Director in Sri Lanka, looks on. Picture by Chaminda Hittatiya

Minister Basil Rajapaksa said Sri Lanka was carrying out a balanced growth approach giving priority to the human resources development as well as physical resources development. As indicated in the Mahinda Chinthana Vision, the government does not intend to follow a development strategy isolated from the people. Therefore government has initiated numerous development programmes directly aimed at peoples wellbeing while implementing massive infrastructure development programmes and large scale development projects related to production and service sectors.

He further said Divi Naguma - backyard economy development programme, Gama Naguma - village reawakening programme, Pura Naguma – small township development programme and regional development programmes have been initiated in order to bring economic benefits directly to the ordinary people. At the same time government initiated tourism development programme, direct foreign investment incentive programme, etc as a part of overall economic growth strategy, explained the minister.

The minister said under ADB assistance three main projects, conflict affected regional emergency project, post conflict emergency for livelihood restoration of resettled internally displaced people (IDP) in the North project and North East community restoration and development project 2 were implemented very successfully. Some of

these projects are near completion and other projects are progressing well. He thanked the ADB for the assistance given to bring normally to the country at the end of the conflict.

It was decided to initiate a joint investment promotion programme by the Ministry of Economic Development and the ADB. The programme will be coordinated by the ADB and it will use its good offices to make aware that the international investor community the opportunities available in Sri Lanka for investment, new economic trends in the country and peace and political stability in the country.

Zhao said Sri Lanka was providing golden opportunities for the investors. Well educated people, modern and sophisticated banking sector and newly developed harbours, airports and roads were providing a very conducive environment for investment, he said. He said further relaxing of the aviation industry and strengthening the open air policy will bring further impetus to the investors and tourism.