Colombo (LNW): In a bid to boost Sri Lanka’s domestic economy, the government is focusing on enlarging supply capabilities and diversifying market access, revealed the President’s Office yesterday (26).
This robust growth strategy intends to drive the country’s economic resurgence. The President’s Media Division highlighted Sri Lanka’s intentions to not only reinforce relationships with its primary traditional export markets, such as the USA and the EU/UK, but also to deepen connections with South Asia, South East Asia, and East Asia.
Sri Lanka is actively pursuing bilateral trade deals. Existing agreements include the India Sri Lanka Free Trade Agreement (ISLFTA) and the Pakistan Sri Lanka Free Trade Agreement (PSFTA).
Moreover, regional trading agreements, like the South Asian Free Trade Area (SAFTA) and the SAARC Preferential Trading Arrangement (SAPTA), provide the country with increased market access.
Trade talks with Bangladesh, initiated in June 2021, are particularly significant. These discussions aim to expand the already positive trade balance between the two nations.
Furthermore, Sri Lanka is progressing in negotiations regarding the Economic and Technology Cooperation Agreement (ETCA) with India, symbolising strengthening economic bonds.
Engagements with ASEAN countries are also escalating through Free Trade Agreements, including an already effective deal with Singapore. Negotiations with other ASEAN nations, like Thailand and Indonesia, are underway.
Talks with China about a potential FTA are in progress, aiming to secure specific market access for Sri Lankan products.
Additionally, Sri Lanka is pushing for integration with ASEAN, Oceania, and East Asia by expressing intentions to join the vast “Regional Comprehensive Economic Partnership (RCEP)” Agreement.
The National Trade Negotiation Committee (NTNC), overseen by the Cabinet, manages these trade negotiations. The committee, spearheaded by the Chief Negotiator of the Office of International Trade under the Presidential Secretariat, is comprised of senior officers from different governmental sectors.
These extensive trade strategies align with Sri Lanka’s ambition to evolve into a developed nation by 2048, reflecting the government’s broader economic objectives.
