Sri Lanka targets 7-8 percent growth with IT sector support

Colombo (ANTARA) - Sri Lankan President Anura Kumara Dissanayake aims to increase the country’s economic growth to 7-8 per cent in the coming years, with the information technology (IT), electrical, and electronics sectors expected to play a crucial role.

According to the President’s Media Division (PMD), Dissanable conveyed this statement on Wednesday (1/7) during a discussion with prominent investors and industrialists from the IT, electrical, and electronics sectors at the Presidential Secretariat of Sri Lanka.

The President of Sri Lanka stated that the government plans to allocate 2 trillion Sri Lankan rupees (1 Sri Lankan rupee = Rp53) or the equivalent of 6 billion US dollars (1 US dollar = Rp17,961) for capital expenditure in 2027 to accelerate the country’s economic growth.

According to the statement, the IT sector, which is currently the third-largest contributor to export earnings in Sri Lanka, has the potential to generate annual export revenues of 5 billion US dollars.

The electrical and electronics sector, which currently generates approximately 500 million US dollars in export earnings, has the potential to increase annual revenue to 2 billion US dollars.

Sri Lanka’s Deputy Minister of Digital Economy, Eranga Weeraratne, stated that the government plans to establish a Virtual Special Economic Zone and data centres, introduce a Green Channel mechanism to reduce customs-related barriers for importing electronic equipment for research and development, and address banking and credit card limitations affecting overseas payments for services such as cloud computing and Software as a Service (SaaS).

He added that the government is also considering alternative incentive schemes to retain skilled professionals and reduce the migration of talent abroad.