Foreign investors experiencing ‘negative impact’ on Sri Lankan business
View(s):Three top chambers in Sri Lanka, representing foreign businesses, have expressed concern on the constitutional impasse and political upheaval following the October 26 sacking of Prime Minister Ranil Wickremesinghe by President Maithripala Sirisena.
In a joint statement, the European Chamber of Commerce of Sri Lanka, the American Chamber of Commerce and the Delegation of German Industry and Commerce in Sri Lanka said they were gravely concerned about the present political uncertainty and upheaval in the country.
“We are of the view that the current situation will result in many adverse economic and social consequences to the country, if it remains unresolved. We would like to highlight that foreign investors and potential businesses are increasingly losing confidence in the reliability of the business environment of Sri Lanka and are reluctant to enter the Sri Lankan market due to the current instability,” the trio said in the statement.
“Most of our members who are established in Sri Lanka and whom have been surveyed are already experiencing negative impacts on their businesses. We request the relevant political authorities to ensure a stable and reliable business environment through the legal and democratically established institutions as soon as possible. It has been observed that decision-making procedures and Government processes have been adversely impacted and in some cases financial damage has been caused to business. We appeal to all parties, political or otherwise, to respect the rule of law to avoid FDI outflow and to enable us to continue promotion of FDI to Sri Lanka. We remain dedicated to the cause of promoting Sri Lanka to European and American investors and to promote fair business and sustainable bilateral trade,” it said.