Policy Research & Information Unit of the Presidential Secretariat of Sri Lanka | 7 July 2009
SL-Kuwait concludes Bilateral Investment Promotion and Protection Agreement
Sri Lanka and Kuwait successfully concluded negotiations on the proposed Bilateral Investment Promotion and Protection Agreement (IPPA) between two countries. The IPPA aimed to provide the necessary protection to investments and this in turn will benefit Sri Lanka to attract a substantial amount of Foreign Direct Investment from oil-rich Kuwait investors.
Arrangements will be made to sign the Agreements by accredited representatives of the two countries after obtaining necessary approvals. This will be Sri Lanka’s first ever IPPA with a Gulf Country (GCC) which includes Saudi Arabia, United Arab Emirates, Qatar, Kuwait, Bahrain and Oman.
IPPA is a result of President Mahinda Rajapaksa’s official visit to Kuwait in May 2007, which paved the way for the commencement of negotiations on the proposed Agreement.
The IPPA will provide the necessary impetus to promote trade, investment, tourism and other economic ventures. In this context Sri Lanka looks forward to attract large scale investments from Kuwait to develop its infrastructure and industrial sectors for which Sri Lanka offers attractive fiscal incentives and other benefits as well.
The two countries enjoy excellent relations in multifaceted fields and have taken great interest to support each at regional and multilateral fora.