UAE tops Port City Colombo’s investor list
Daily FT: Investors from the United Arab Emirates (UAE) account for 19% of foreign investor interest in Port City Colombo, with Singapore, China, and the UK contributing 13% each, followed by the US (10%) and Australia (9%), according to the project’s latest investor profile.
While the figures point to growing confidence from some of the world’s most internationally connected markets, analysts say they also reveal a notable gap. South Asian countries, particularly India, are yet to emerge among Port City Colombo’s leading investor markets despite the project’s geographic proximity and regulatory advantages.
That presents what Port City officials believe could be one of the development’s biggest growth opportunities.
CHEC Port City Colombo Deputy Managing Director Thulci Aluwihare said the diversity of investor interest reflects growing international confidence in the project but believes there is significant potential to attract businesses from South Asia.
“When you look at where our investors are coming from, you see mature international markets that are already familiar with doing business across borders. The opportunity now is to build that same level of awareness within South Asia, particularly India, where businesses are expanding globally and looking for internationally competitive platforms closer to home,” he said.
Unlike a conventional commercial development, Port City Colombo operates as an economically ring-fenced Special Economic Zone (SEZ) under the Colombo Port City Economic Commission Act. Businesses benefit from a dedicated regulatory framework, streamlined approvals through a single-window investment facilitator, unrestricted foreign ownership, transactions in 16 designated foreign currencies, and enhanced capital mobility.
For Indian companies in particular, Aluwihare believes the project offers a proposition that extends well beyond real estate.
“We shouldn’t be asking Indian businesses to invest in Sri Lanka simply because we are neighbours. The real proposition is that Port City Colombo provides a platform from which businesses can manage regional and international operations within a globally competitive regulatory environment,” he added.
The project also allows qualifying businesses to remunerate employees in foreign currency, offers long-term fiscal incentives for strategically important investments, and provides access to Sri Lanka’s network of double taxation agreements covering 44 jurisdictions.
Industry observers note that Port City Colombo is more and more positioned with established international business hubs such as Dubai, Singapore, and Abu Dhabi for investment, regional headquarters, and financial services, in addition to traditional property developments.
OSL take:
Colombo Port City is rapidly emerging as one of South Asia’s most attractive business/investment destinations, offering a wide range of business/investment opportunities for international businesses across financial services, real estate, technology, logistics, professional services, tourism, and regional headquarters operations. Backed by a modern regulatory framework and a strategic location at the crossroads of major global shipping routes, the development is strengthening Sri Lanka’s ambition to become a leading regional business and financial hub. Growing investor interest from the UAE, Singapore, China, the UK, US, and Australia reflects increasing confidence in the project’s long-term potential. As development progresses, significant business/investment opportunities remain for businesses/investors from South Asia and other global markets to establish a presence within Port City Colombo through new investments, strategic partnerships, and commercial ventures. With world-class infrastructure, business-friendly policies, and access to regional markets, Colombo Port City is well positioned to become a catalyst for foreign direct investment and sustainable economic growth in Sri Lanka.
| Article Code : | VBS/AT/20260716Z_4 |