Trade and Investment
An increasing focus on areas of mutual interest has been catalytic in accelerating the strengthening and diversification of trade and investment between Sri Lanka and Australia. Two-way goods and services trade grew to another record high of A$1.68 billion in the most recent financial year, driven by tourism and education services. Overall growth for the year was more than 20 per cent, continuing an unbroken upwards growth trend of over 13 per cent over the past five years.
Sri Lankan businesses and skilled professionals are partnering with counterparts in
Australia in commerce, partnership and investment. In addition to traditional strengths in merchandise such as tea, textiles, and wheat, we see great potential for further growth in two-way services trade. There are also strong opportunities in premium food and beverage, agribusiness, and resources and energy, among other sectors. The Trade and Investment Framework Arrangement (TIFA) guides the Sri Lankan and Australian governments in delivering practical steps to increase trade in both directions even further.
Tourism continues to be a vibrant industry in Sri Lanka where both countries can mutually benefit. With over 110,000 Australians visiting Sri Lanka each year, the secret is now out about the amazing experiences, beautiful landscapes, and welcoming people in Sri Lanka.
The Sri Lankan Airlines direct flight between Melbourne and Colombo has been a great success, and it is hoped in time more direct air links will be established. We continue to support Sri Lanka’s tourism sector’s development in an inclusive and island-wide way.
There has been an increase in Sri Lanka’s import premium food and beverage, meat and wine to cater for tourists - all areas where Australia is a global leader.
Australia is now a top destination for Sri Lankan undergraduates looking to study abroad. Over 10,000 Sri Lankans were enrolled with Australian education providers in 2018. Around 40 Australian higher education providers are engaged in the Sri Lankan undergraduate market. Of these, 20 institutions also offer a degree or diploma pathway in Sri Lanka to an estimated 2-3,000 students.
Australia is proud to support Sri Lanka’s efforts to attract more international businesses and investment.
Our development programme, has supported initiatives such as the Trade Information Portal, the National Single Window on Trade Blueprint. We have been active in assisting Sri Lanka attract more foreign direct investment, and to become a more globally connected economy.
We look forward to a busy and active year ahead working with Sri Lankan businesses and partners in government to expand our trade and investment partnership.