Foreign Investment in Sri Lanka
Homestead, a UK-based Indian real estate enterprise, has recently decided to invest in Sri Lanka through a development plan that includes a township project in Colombo. An investment such as this will be the first move from a UK based company in the island country situated in the Indian Ocean. The UK financial company, also the main sponsors of the Sri Lankan T20 cricket team, are currently searching for land. Manoj Shrivastava, Chief Operating Officer, Homestead says that the company has already forwarded a proposal to the Urban Development Authority and have received a positive response. Once completed, the project will be Sri Lanka’s largest housing project owned by a private company.
With anticipated construction in 2013, the residential scheme will include community halls, shopping centres, a transportation hub, and other facilities. An investment such as this comes at a time when Sri Lanka continues to face internal conflicts and the shadows of the ending Tamil war still loom large over the government. A high-profile construction project re- quires heavy investment and the assurance of a sound political environment. According to Shrivastava, the project aims to target the emigrants and foreigners who will be the prime residents. Because of its large funding and expected development, it will also cater to the corporate sector.
Sri Lanka desperately needs a facelift and this construction project could be its chance. If successful, Sri Lanka will re-join with Homestead to embark on a second project, envisioning luxury apartments and two 30-floor towers.