The Hon. Sunil Rajapaksha

¶ 01 Hon. Presiding Member, attracting FDI is crucial to rebuild an economy that was broken by those who claimed to be most experienced. The Port City Economic Commission (Amendment) Bill is one of our strategies.

¶ 02 The core aims are to make Port City a globally competitive special economic zone; to attract FDI; and to strengthen Sri Lanka’s global standing on ease of doing business. For FDI to flow, macroeconomic and political stability and confidence—domestically and internationally—are essential. Thus, 2025 must be understood anew. Inland Revenue recorded its highest-ever annual revenue in 2025; so did Customs and the Excise Department; worker remittances were the highest ever; 2025 also saw the highest tourist arrivals and stock market growth; exports too reached historic highs. We have laid a stable foundation.

¶ 03 Despite Opposition hopes for collapse due to global shocks, we recruited the largest number of public servants in recent times and granted unexpected, substantial salary increases, while expanding social protection for the poor.

¶ 04 The Opposition claimed we lacked experience and that the economy would soon collapse, forecasting 2–3% growth. Yet we achieved about 5% growth in 2025. International ratings have been upgraded (e.g., to CCC+), confirming we are out of default. Nearly USD 1 billion in FDI arrived, demonstrating confidence. Inflation is below 5%. Taxpayers trust the Government, increasing collections; funds are not siphoned off. Capital expenditure execution rose from about 50% in 2016 to about 65% by September 2025, and likely toward 80% by year-end. Interest rates are stable; the balance of payments moves toward surplus. To meet our growth targets, FDI is vital—not only for dollars, but for jobs and value addition to underutilized resources.

¶ 05 We do not see Port City as the only FDI path; BOI, PPPs, and JVs also matter. With these amendments, we aim to: - Rationalize employment income tax and other incentives, exemptions, and claw-backs; - Establish enhanced regulation, supervision, and compliance for strategic businesses; - Create a new framework to regulate offshore banking operations.

¶ 06 These changes will strengthen transparency and align incentives with national goals, creating a robust incentive structure within Port City to achieve our development targets. We will not go backward; we will win these goals and rebuild the country. Thank you.