SLFP opposed to Budget proposal on opening shipping sector to foreigners

The SLFP is against the budget proposal to fully open up the shipping sector to foreign companies, Ports and Shipping Minister Mahinda Samarasinghe told Parliament today.

The Minister said all the Cabinet Ministers, Deputy and State Ministers representing the SLFP had met with President Maithripala Sirisena and expressed their opposition to the budget proposal on lifting the restrictions on foreign ownership of shipping and freight forwarding agencies.

Speaking during the debate on the second reading of the Budget, the Minister said  Minister Mangala Samaraweera said his  proposal intends to encourage foreign investment to make Sri Lanka the maritime hub. 

" If the Government is going ahead with this proposal, we in the SLFP propose to impose a pre-qualification that full foreign ownership would be allowed only if the foreign companies agree to bring in investment over USD 100 million,” Minister Samarasinghe said. 

The Minister also said that the Cabinet on Tuesday has given approval to revise the Memorandum of Understanding (MoU) with the China Merchants Port Holdings Company Limited to receive 30 percent of the USD 1.1 billion investment for Hambantota Port Joint Venture by next month. 

(CK)