PDIA in Sri Lanka: Evaluating Potential Sites for New Industrial Zones

Guest blog written by Priyanka Samaraweera

The Land Team (L team) consisted of government officials from multiple departments in the Board of Investment, Sri Lanka. This team was formed as a continuation of the Targeting Team in Phase 2 of the PDIA Sri Lanka project. The Targeting Team identified new priority sectors to diversify the economy. The Land team then worked to map out suitable lands for anchor investors in these new sectors. This was part of a PDIA engagement from May 2016 to September 2017.

L team members: Upali Senarath, Ranjan Sibera, Sujani Pilapitiya, Priyanka Samaraweera, Lalith Katugampalage, Nalini Egodawatte, Sukumary Niranjan, Tharaka Jayawardena & Marlon Perera. This is their story!

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Through the comprehensive analysis conducted, the Targeting Team was capable of identifying priority sectors for attracting investment and enhancing the exports of Sri Lanka. The next task was to identify suitable lands for establishing factories in these sectors, especially given that over 89% of the Export Processing Zones (EPZs) of the BOI are already filled. Since limited access to productive land for the potential Investors can be considered as one of the most important limiting factors to attract investments, due consideration should be given to resolving land issues prior to marketing priority sectors to the investor.

Having identified the problem, the Land Team began gathering information on available lands for investment projects. It was noted that the state owns over 80% of land in Sri Lanka, though this ownership is spread over at least ten different Ministries and Departments. The team met with many of these bodies, ultimately creating a database of over 600 available lands (Figure 1). Continue reading PDIA in Sri Lanka: Evaluating Potential Sites for New Industrial Zones