Sri Lanka’s real estate sector contributes 30 per cent to economic development
Minister Patali Champika Ranawaka
Over the past few years real estate development sector in Sri Lanka has directly contributed more than 30 per cent to Sri Lanka’s economy and indirectly much more than that, says Minister of Megapolis and Western Development, Patali Champika Ranawaka.
He made this comment while speaking at the 1st Lanka Property Show organized by the Lanka Property Web at the Hilton Residence in Colombo on Friday. Finance Minister Ravi Karunanayake and a few other officials were present among the invitees.
“We expect an increase in this percentage in the next few years,” he added. To clarify his statement he elaborated that the ministry has already started restructuring the systems and procedures involved to facilitate urban development in Sri Lanka. “We expect to look at Sri Lanka in a broader redefined national physical plan with a more comprehensive outlook for the entire island which will spell out strong policies on housing and urban development that will be ready within this year.”
He also mentioned that a complete strategic development plan will be set up for all urban areas in Sri Lanka within the next few years. The plan will be prepared with adequate understanding on the need for development, demand for land and space for potential constraints for investments with a wider participation of the developers, business communities and public at large.
He said a few days back the Urban Development Authority had restructured its powers related to the local authorities (when the authority was set up in 1985) and this is a positive move to all supporting urban development process in this country. “We are going to introduce modern technology to this process and thereby make it more efficient, accelerated and transparent.”
The development around the country will be reviewed and planning clearances, building permit and certificates of confirmation will be issued within a reasonable term frame, added Mr. Ranawaka.
He also stated that in the next few years Colombo and its surrounding will gradually transform into a new urban entity while Sri Jayewardenepura will be developed into a new administrative city by April this year. There will be enough opportunities for developers to invest on residences and commercial buildings.
“We are getting more requests for institutional developments similar to that of the Nano Technology Institute in Homagama. Sri Lanka is poised for an innovation-based economy in the way forward,” he noted.
The country shouldn’t forget the low and middle income people. Opportunities are provided to them to enjoy their housing rights within the city. “We have commenced housing development for the needy, more than 5,000 housing units for middle income people and more than 15,000 housing units for low income people.”
He also pointed out a few burning issues in large cities including Colombo. “There are issues related to drainage, sewage disposals and solid waste which should have been addressed long time back, we need to attend them today. There is a project for flood control under the purview of Sri Lanka Land Reclamation and Development Corporation in Colombo and work to establish the National Water Management Centre as well.”
One of the stalls. Pix by M.D .Nissanka
The transportation and mobility issues need to be sorted immediately, he noted while adding that work has commenced to introduce modern transport infrastructure such as a light railway system and other sophisticated modes of transport. Colombo and other cities will have modern transportation terminals with an environment conducive for pedestrians. It is not a matter of providing houses and employment opportunities but providing the exposure for all to improve social, cultural and spiritual wellbeing.
The ministry has many plans to be achieved by 2030. The environment for real estate market and related investment is shining. He assured the support for all responsible investors to make the investment not only profitable, but also responsible. Share the practices and benefits with the community with those who are at disadvantage. Investors should also genuinely submit and arrange the project in a more transparent and accountable manner with less ambiguity. Maintain professionalism throughout and not compromise the good will in order to achieve cheaper undue quick returns, he noted.
Lanka Property Web Managing Director, Daham Gunaratne at the opening of the 2-day exhibition and panel discussion on Friday, said, “Within 10 years of a presence in Sri Lanka, Lanka Property Web has sold thousands of properties. There are 150 more developers in Sri Lanka at the moment to start building properties.” In the next 10 years there will be a rapid rise in the real estate sector in Sri Lanka, he added.