ECONOMYNEXT – Sri Lanka has drawn almost four billion US dollars worth of foreign direct investment this year, including one by Colombo Dockyard, and an Indian firm wants to set up an aircraft repair facility, the investment promotion agency said.
Upul Jayasuriya, chairman of the Board of Investment, said that in 2014 Sri Lanka had attracted only a meagre 1.6 billion dollars of FDI.
“Colombo Dockyard has asked for land in Colombo port for expansion,” he told reporters at a forum held by the BOI.
BOI officials said Colombo Dockyard had proposed investing 200 million dollars on a gantry crane manufacturing facility.
Colombo Dockyard, owned by Japan’s Onomichi Dockyard Company, had previously said its expansion plans had been constrained by lack of space at Colombo port.
The port has been expanded since then in a project funded by the Asian Development Bank.
Jayasuriya also said the BOI was in talks with an Indian company which wants to set an an MRO (Maintenance, Repair and Overhaul) facility at the new Mattala airport in the south which had so far failed to attract business.
“In the entirety of India there are only two MRO facilities, so a facility in Sri Lanka would be useful.”
Jayasuriya said Volkswagen, now the world’s biggest car manufacturer, is setting up a plant to assemble small cars in Kuliyapitiya, in the north-west region.
Volkswagen will start exporting cars in two years and use local input like rubber tires. (Colombo/August 4 2015)