The Hambantota oil tank farm which is one of the biggest investment projects in the area is set to open early next year.

Sri Lanka is targeting a record US $ 1.75 billion foreign direct invests (FDIs) to the country next year. This is expected to be spread to the entire country. According to Price Waterhouse Coopers Research, a total investment of US $ 142.7 billion is targeted during 2011-2016.

Sri Lanka also passed a record milestone this year when it passed US $ 1,070 billion of foreign direct investments to the country this year. The previous highest FDI inflows were seen in 2008, when Sri Lanka attracted 889 million US $. In 2010, Sri Lanka raised US $ 516 million in foreign direct investments, compared to the US $ 602 million in 2009. Sri Lanka has received 236 million US dollars in foreign direct investments in the first quarter of 2011, Tourism apparels and the IT sector were among the key contribution to this growth.

In addition to one billion plus of FDI the Board of Investments had also approved nearly US $ 200 million of local investments up to December this year.

Central Bank Governor Ajith Nivard Cabraal said that this clearly shows the confidence the international community and investors have for Sri Lanka.

He said 58 projects have been implemented from these investments and another 131 projects have been approved and 138 projects are awaiting approval.

Sri Lanka Ports Authority Chairman, Dr. Priyath Wickrama said that by the end of next year the Hambantota Mahinda Rajapaksa Port too would secure investments to the tune of US $ one billion. ?We have already approved ventures at the investment zone to the tune of US $ 360 million,? he said. Hambantota district had already received FDI values of US $ 189.1 million mainly coming from the proposed hotel development which includes a four star resort in the coastal area from Hong Kong based Shangri-La Hotel chain. Sri Lanka’s capital Colombo has attracted the largest investment of 903.8 million US $ involving 3,941 rooms with Shagri La coming to Galle Face Colombo with US $ 500 million alone.

An official of the Board of investment said that US $ 125 million had been already invested by Shangri La for the first stage of the project. ‘This is the biggest single investment received for the country,’ he said.

In addition, Cairn Lanka which is engaged in oil drilling in the country had also invested US and 78 million in 2011.
(DN-28122011)