German investors explore Sri Lanka while calling for policy reforms

German companies have expressed strong interest in expanding their footprint in Sri Lanka, but stressed the need for greater policy consistency and transparency to drive investment decisions, officials said.

At a debriefing session held in Colombo on Monday, 15 German businesses operating in or exploring the Sri Lankan market engaged with the Board of Investment (BOI) and the Delegation of German Industry and Commerce in Sri Lanka (AHK Sri Lanka) to review outcomes from President Anura Kumara Dissanayake’s visit to Germany in June.

The companies represented sectors including renewable energy, logistics, healthcare, vocational education, manufacturing and services. While several firms with existing operations indicated plans for expansion, new entrants showed interest in market entry, officials said.

Key investor concerns raised during the session included the need for a consistent and reliable policy framework, macroeconomic stability, transparent procurement processes, equal treatment for foreign investors, and improved ease of doing business.

To sustain momentum and address bottlenecks, a proposal was tabled to establish a steering committee for continuous dialogue between Sri Lankan authorities and the German business community.

“AHK Sri Lanka’s commitment to advancing bilateral economic cooperation encouraged both Sri Lankan and German enterprises to utilise AHK Sri Lanka’s platform for achieving sustainable business growth,” said AHK Sri Lanka Chief Delegate Martin Klose. 

AHK Sri Lanka is part of the German Chamber Network, supported by the Federal Ministry for Economic Affairs and Energy (BMWi). With 150 locations in 93 countries around the world, members of the German Chamber Network (AHKs) offer their experience, connections, and services to German companies and businesses in the respective partner countries. AHKs are located in all countries of particular importance to German companies and are closely connected to the Chambers of Industry and Commerce (IHKs) in Germany.