The new Sri Lankan government has pledged to revolutionize industrialization, aiming to foster business growth and economic benefits for its citizens.
The Ministry of Industries and Entrepreneurship Development, under the leadership of Deputy Minister Chathuranga Abeysinghe, is spearheading these efforts with a focus on policy-making, industrial support, entrepreneurship, SME development, export promotion, and effective management of State-Owned Enterprises (SOEs).
The ministry oversees 29 institutions, including significant organizations like the Industrial Development Board (IDB), National Enterprise Development Authority (NEDA), and Export Development Board (EDB), alongside SOEs managing resources such as minerals, textiles, and ceramics.
Over the past 40 days, the Ministry has centered its efforts on stabilizing SOEs, addressing the SME debt crisis, restructuring institutions, and providing targeted support to priority industries. Recognizing the financial instability of many SOEs, the Ministry has appointed new boards and developed recovery strategies to mitigate risks.
These initiatives are part of a broader high-level strategy aligned with the government’s vision for industrialization, as outlined in the 2025 budget.
The SME sector, which has been severely impacted by the economic crisis, has also received significant attention. Collaborating with the Ministry of Finance, the Ministry has secured temporary relief through an extension of the Parate law and is advocating for a sustainable debt resolution framework.
Institutional restructuring has been a priority to eliminate duplication among entrepreneurship support organizations.
A comprehensive model is being developed to offer lifecycle-based support for entrepreneurs, ensuring seamless assistance from startup phases to growth stages.
Meanwhile, targeted interventions in 20 key industries, including vehicle assembly, pharmaceuticals, dairy, fisheries, and gems and jewelry, have sought to address challenges in areas like taxation, labor, and certification.
Public engagement has been a hallmark of the Ministry’s approach, with weekly sessions addressing over 200 individual concerns in just five meetings. Ministers have also held over 50 discussions with organizations and embassies to explore investment opportunities and foster international partnerships.
Looking ahead, the Ministry has unveiled an ambitious set of initiatives designed to drive innovation and growth. These include a strategic direction for mineral resources, restructuring SOEs, and introducing a framework to measure SME excellence. A Rs. 50 billion collateral-free startup loan facility and a venture capital fund are planned to support emerging businesses. The ministry also intends to launch a nationwide handloom strategy, develop four new industrial zones, and implement digital transformation projects to enhance efficiency and service delivery.
Other upcoming activities include creating an industrial data database, establishing standard operating procedures for metal distribution, addressing SME funding issues, and reviewing policies related to electric vehicles and tariffs. The ministry also aims to evaluate existing industrial zones and implement a digital transformation strategy to streamline operations.
Through these comprehensive measures, the Ministry of Industries and Entrepreneurship Development is committed to addressing immediate challenges while laying a solid foundation for long-term industrial and entrepreneurial success in Sri Lanka.
