Sri Lanka and India ink digital solutions MoU
The Morning: The Sri Lankan and Indian Governments recently signed a memorandum of understanding (MoU) to exchange digital solutions meant for implementing digital transformation within Sri Lanka, a Cabinet decision released on 18 December said.
“To obtain the specialist knowledge acquired by India in the field of e-Governance, finance technology strategies, artificial intelligence, and digital infrastructure facilities as a leader of information technology and digital innovation, for the digital transformation of Sri Lanka,” the decision said.
The decision further stated that a preliminary agreement has been reached by both parties to sign the memorandum of understanding between the Ministry of Digital Economy of Sri Lanka and the Ministry of Electronics and Information Technology.
“Therefore, it is possible to promote institutional cooperation between both countries for capacity building of officers in the field of digital transformation and in implementing the solutions of digital transformation.”
OSL take:
Sri Lanka and India enjoy strong bilateral ties that have been further strengthened by an operational free trade agreement (FTA). These ties are likely to witness a further boost with the proposed ETCA between Sri Lanka and India that is currently under negotiation. The two countries enjoy strong collaborations in the fields of trade, investment and tourism among other sectors. There are many Indian businesses already operating in Sri Lanka that have recorded strong growth and profits indicating the business potential in the country. With Sri Lanka on a development path, the development agenda also presents a host of business/investment opportunities for foreign businesses/investors, which could be more feasible and lucrative to Indian businesses/investors given the close proximity between the two countries, the strong ties – both bilateral and trade. The latest digital solutions MoU signed recently between Sri Lanka and India has opened up more business/investment opportunities for Indian businesses/investors. They could also look at forming partnerships or joint ventures with local businesses in Sri Lanka’s fast-evolving digital industry to engage in the expanding business/investment opportunities in the industry. On the other hand, other foreign businesses/investors looking at doing business with India could set up bases in Sri Lanka to engage with India using the preferential treatment enjoyed by Sri Lanka with its neighbour.
Article Code : | VBS/AT/20241226/Z_2 |