Economy

Sri Lanka’s economy has been making progress in recent years, which should stand it in good stead during the potentially difficult times ahead. Major efforts have been made to instil greater fiscal discipline, and modernise monetary and exchange rate policy, while steps have also been taken in the management of government expenditure and the maximising of public sector revenue. Meanwhile, trade and foreign direct investment have continued to rise, and infrastructure development is gradually moving Sri Lanka towards realising its long-term goal of becoming an essential transportation and trans-shipment centre for the Indian Ocean and South Asia. There has also been positive progress in establishing the island as a tourism destination and in mobilising the population to help cultivate a more entrepreneurial, gender-balanced and inclusive economy. This chapter contains interviews with Rajendra Theagarajah, Chairman, Ceylon Chamber of Commerce; and Krishan Balendra, Chairman, John Keells Holdings.