Investor Presentaiton
Legal and regulatory framework
Limitations on foreign investment
Foreign investment
excluded by the Foreign
Exchange Act 2017, in:
•Pawn broking
•Retail trade with a capital
of less than USD 5.0 Mn
•Coastal fishing
40% investment (or higher
percentage approved by
Board of Investment):
•Where exports are subject to
international quota restrictions
•Growing and primary
processing of tea, rubber,
coconut, cocoa, rice, sugar and
spices
•Mining and primary processing
of non renewable national
resources
•Timber based industries using
local timber;
•Fishing (deep sea fishing)
Mass communications
•Education
•Freight forwarding
•Travel agencies
Exchange Control
Department will grant
permission on a case-by-
case basis for foreign
investment in:
•
•
•Shipping agencies
•
•
Air transportation
Coastal shipping
Large scale mechanised
mining of gems;
Manufacturing arms,
ammunitions, explosives,
military vehicles and
equipment, aircraft and
other military hardware;
manufacturing poisons,
narcotics, alcohols,
dangerous drugs and
toxic, hazardous or
carcinogenic materials;
producing currency, coins
or security documents;
Lotteries
Land (Restrictions on
Alienation) Act:
•
•
Private companies with
50% or higher foreign
ownership cannot own
land in Sri Lanka.
(exceptions apply only
in limited
circumstances)
This has been further
amended and
foreigners can own
condominium property
(apartments) from
ground floor upwards
Companies generally
take long term leases
(up to 99 years) on land
and buildings.
KPMG
© 2020 KPMG, a Sri Lankan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity.
All rights reserved. Printed in Sri Lanka.
Document Classification: KPMG Confidential
5View entire presentation