Sri Lankan Investment Board Signs $4Billion Industrial Zone Deal with Indian Industrial Firm

Sri Lanka has signed its largest foreign direct investment (FDI) deal valued at $4 billion with an Indian company.

Gateway Industries, an Indian venture, will oversee operation and management of a special industrial zone for heavy industries in Trincomalee district.

Board of Investment (BOI) chairman M.M.C. Ferdinando Friday hailed the signing of this landmark project by BOI as an indication of the growing investor confidence in Sri Lanka.

Under the master plan, a series of infrastructure facilities will be built for the project, including a deep water jetty, a bulk commodities terminal, a power plant, and a host of other heavy industries and complementary industries, Xinhua reported.

The project is expected to create more than 5,000 direct employment opportunities and over 20,000 indirect employment opportunities.

The government has set a FDI target of $2 billion for 2012. In the first five months of this year, the FDI inflow was only $313 million, according to the Central Bank.

(Original article © IANS / Daily News 2012)