Quality of Life - Investment Opportunities - Sri Lanka Board of Investments (2023)

FAQs

What are the best investment options in Sri Lanka? ›

Resilient Indian investors

“The standard of living in Sri Lanka is very good. Citizens have an admirable civic sense, it is a very safe country,” says Umesh Gautam, CEO, Lanka Ashok Leyland, one of the oldest Indian investments in Sri Lanka.

China is the largest investor in Sri Lanka today, with funding and investment of nearly $15 billion.

What are the rules and regulations for expats and foreigners buying and renting property in Sri Lanka ? Foreigners can buy apartments / condominiums from ground level up, however lands cannot be purchased on freehold and can only be leased up to 99 years.

We are pleased to inform you that our Money Market fund formally known as the Ceylon Money Market Fund, emerged as the Top-performing Money Market Fund in Sri Lanka as at 31st Dec 2021.

Direct Investment

Approval is required from the Board of Investment (BOI) prior to the establishment of a foreign business venture in Sri Lanka. The BOI is an autonomous agency and is the primary government body responsible for foreign investment.

The U.S. stock market is considered to offer the highest investment returns over time. Higher returns, however, come with higher risk. Stock prices typically are more volatile than bond prices.

Persons in Sri Lanka may retain in his possession foreign currency notes up to USD 10,000 or its equivalent in other foreign currencies, for any period, by such foreign currency received as remuneration from a person resident outside Sri Lanka or purchase from an authorized entity to travel purpose or withdrawn from ...

Can Sri Lankans invest in US stock market? ›

Can I Buy US Shares from Sri Lanka? Many Sri Lankans asked if it is possible to invest in US stocks as non-US citizens. Stocks and bonds are regulated by US law, yet, you do not have to be a US citizen to trade in the US stock market; in other words, you may buy US shares being a citizen of Sri Lanka.

The United States is Sri Lanka's largest export market and accounts for nearly $3 billion of the $11.7 billion of goods Sri Lanka exports annually. U.S. goods imports from Sri Lanka totaled $2.7 billion in 2018, down 6.4 percent from 2017.

What are the safest types of investments? U.S. Treasury securities, money market mutual funds and high-yield savings accounts are considered by most experts to be the safest types of investments available.

High-quality bonds and fixed-indexed annuities are often considered the safest investments with the highest returns. However, there are many different types of bond funds and annuities, each with risks and rewards. For example, government bonds are generally more stable than corporate bonds based on past performance.

Currency Regulations

Visitors to Sri Lanka bringing in excess of US$ 10,000 should declare the amount to the Customs. All unspent monies, which were converted from foreign currencies declared on arrival, can be re-converted to original currency. You are required to produce encashment receipts or payment bills.

The average cost per square foot to build a Basic house is between Rs. 12,000/= to Rs. 14,000/= as of August 2022, while it'll cost around Rs. 20,000 per square foot upwards for a house with luxury fittings and mod-cons.

Land Reform Laws (1972 and 1975) – places a land ceiling on private ownership (50 acres or 25 acres for paddy), and nationalised land estates. This has allowed government access to 1 million hectares of land, although due to mismanagement less than 10% has been redistributed to landless persons [12].

Open a Brokerage Account – The first step in investing in the Sri Lankan Stock Market is to open a brokerage account with a broker or financial institution that is registered with the Colombo Stock Exchange (CSE). You can open an account online or in person with a broker.

Why invest in Sri Lanka? ›

Today, Sri Lanka is ranked as the most liberalized economy in South Asia. Investors are provided with preferential tax rates, constitutional guarantees on investment agreements, exemptions from exchange control and 100% repatriation of profits.

Mutual funds and exchange-traded funds are two affordable ways to diversify and invest in bundles of stocks or bonds. Government and corporate bonds can provide a source of income and cushion stock market volatility. High-yield savings accounts, CDs and money market funds offer ways to offset the effects of inflation.

NRRAs may be opened and maintained in the form of Savings or Current (without overdrawing facility) or Term Deposit account, in Sri Lanka rupees. b. NRRAs shall be held as a sole account and NRRAs maintained by emigrants may be held as joint accounts with another emigrant.

Resident individuals are subject to income tax on their worldwide income. Non-resident individuals are taxed only on their Sri Lanka-sourced income.

RETIREMENT OPTIONS SRI LANKA:

Depending on your retirement plan you can either apply for a 3 month tourist visa at the Sri Lankan Embassy in your home country or go straight for the 12 month retirement visa. A Tourist Visa is suitable for people who want to send only few months in the sun over the winter.

Most of our experts agree that one of the safest places to keep your money is in a savings account insured by the Federal Deposit Insurance Corporation (FDIC). “High-yield savings accounts are an excellent option for those looking to keep their retirement savings safe.

Pharmaceutical Industry: The pharmaceutical market is a fast growing industry in Sri Lanka and worth about Rs. 50 Billion. Approximately 70% of that market share is held by the private sector while the remaining market share is held by public sector institutions.

What products are in high demand in Sri Lanka? ›

A family of four estimated monthly costs are 1,595.5$ (491,481.3Rs) without rent. A single person estimated monthly costs are 448.2$ (138,054.5Rs) without rent. Cost of living in Sri Lanka is, on average, 54.5% lower than in United States. Rent in Sri Lanka is, on average, 86.0% lower than in United States.

Sri Lanka achieved 'Upper Middle Income Country' (UMIC) status in July 2019, as the country's Gross National Income (GNI) increased from USD 3,840 per capita in 2018 to USD 4,060 per capita in 2019. World Bank's (WB) new threshold for UMICs is USD 3,996 – USD 12,375 GNI per capita.

In 2016, there were five thousand millionaires in Sri Lanka. This figure was estimated to reach 13 thousand by 2026. In comparison, the country had 80 ultra high net worth individuals (UHNWI) and 10 centa-millionaires in that year.

1. SBI Small Cap Fund Direct-Growth. The SBI small-cap fund has an AUM of INR 9,620.21 cr and an expense ratio of 0.84% as of the 16th of August 2021, with a Net Asset Value (NAV) of INR 102.68. Due to the fund's exceptionally high risk, the minimum SIP is INR 500.