Colombo Port City: Sri Lanka's economic game changer

Q: Mr Saliya Wickramasuriya, tell us a little bit about Port City. 
Ans:

• Colombo Port City will leverage the advantages in management of trade and cargo volumes in the sub-continent
• It has a port that ranks No 22 in the world
• In the long term, Port City will attempt to transform management in Sri Lanka, in general
• Colombo Port City Economic Commission Act focuses on attracting FDI in Sri Lanka and streamlining ease of doing business

 

Q: There were some things that the Port City was required to already have achieved by way of construction, acquisition, reclamation. Where exactly are you on those timelines? 
Ans:

• Reclamation is complete. It needs to be settled and certified as capable of sustaining buildings
• Certified 34 out of 74 demarcated plots in Port City

 
 
Q: Then comes the planning of projects and proposals, which timelines have not been met.
Ans:

• Port City master plan is in the process of being printed. It has been signed off by the President of Sri Lanka
• It’s a city that has been planned with development control guidelines
• Development control guidelines define the themes, purpose and various parameters of building the city

 

Q: Sri Lanka is facing an acute foreign exchange crisis. That along with high commodity prices is causing oil prices to go up, which means everything is going to be costlier in Sri Lanka. How do you address all these problems?
Ans:

• Difficult to move in sync with day-to-day macroeconomic challenges
• Most investors approach investments with a long-term view
• Numbers are frightening at the moment
• Central Bank of Sri Lanka has put in place various constraints to conserve foreign exchange reserves
• Created an unconnected banking product so that people can bring in and move out money unrestricted
• Investors’ money is not subjected to any restrictions in Sri Lanka 

 
 
Q: Another problem arising out of this is the threat of expropriation.
Ans:

• Expropriation and nationalisation are constitutionally safeguarded
• Port City Act has a provision that agreements entered between the commission and the investors are inviolable
• Legal framework in place to protect investments

 
  
Q: Assuming that the current problems of power supply and oil will continue for some time, what is the backup that you have?
Ans:

• Power and water are in short supply in Sri Lanka
• Policy decision to supply power in Port City from renewable sources
• Port City, by design, won’t permit power, water and communication failures
• Infra for carbon footprint reduction, net-zero water, sewage recycling to take 2-3 yrs
• Design objective of Port City is to be sustainable in terms of energy and utilities  

 

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