Sri Lanka pioneered South Asia's economic liberalization over three decades ago. Liberalizing many areas of the economy, the government has embraced strategies and policies that are more than conducive for international investment. In fact the policy environment is undoubtedly, compelling.
The following transparent investment laws aim to foster foreign direct investments.
Sri Lanka is a founder member of the Multilateral Investment Guarantee Agency (MIGA), an investment guarantee agency of the World Bank. This provides a safeguard against expropriation and non-commercial risks.
Index of Economic Freedom measures the pro-business policy environment of a country. According to the Index of Economic Freedom – 2014, the country has been ranked 90 of 186 countries
|Index of World Economic Freedom Rankings -2014|
Source : 2014 Index of Economic Freedom
In line with the government's policy, efforts are intensified to attract investments to target sectors in which Sri Lanka has strong foundation for growth as well as areas where it is nationally important to develop. By offering incentives to induce high value investment to priority sectors, the BOI promotes diversification of Sri Lanka's industry and services with special focus on advanced technology and value addition. The government has made necessary amendments to the tax system of the country that the overall tax regime for all sectors will be less complex and at a lower rate across the economy.
Target Sectors Actively Promoted by Sri Lanka through Board of Investment (BOI)