Sri Lanka draws Indian investors

Dec 10, 2011 (LBO) – Indian companies are keen to invest in post-war Sri Lanka given its growth prospects and are looking for opportunities, officials of Price Waterhouse Coopers India said.

“These Indian entrepreneurs are looking at the emerging middle class which was the engine of growth for them in India,” he said.

Indian businessmen also were now more willing to divest stakes in their companies through partnerships if it helps them grow faster, he said.

But Indian firms still lacked adequate understanding of local ways of doing business which needs to be communicated more effectively, Dikshit said. Indian investors are looking at emerging markets like Sri Lanka as they offer higher returns than investments in developed countries whose economies are stagnant or slowing down, they told a business forum in Colombo.

Sectors in the island that Indian firms are interested in include financial services, infrastructure, manufacturing, tourism and healthcare, they told the forum by PWC, Sri Lanka Foundation and the government’s Strategic Enterprise Management Agency.

The forum was aimed at educating Sri Lanka’s corporate sector on Indian business-thinking and how the islan