The Colombo Port City Economic Commission, is set to achieve an annual investment target of 3 billion US dollars, as revealed by State Minister of Money and Capital Markets Ajith Cabraal.
He further stated that the commission has been given challenging targets to be met and the commission was expected to bring investments worth 3000 million dollars annually. The commission is set to operate as a “single window” which will speed up investments. This strategy will particularly be useful when dealing with global investors, enabling the ease of doing business.
Although it is possible to witness around 5000 special economic and trade zones around the world operating under similar laws and frameworks with similar facilities, only around 100 of them have been reported as successful. He stressed that good management was necessary in order to make the CPC a successful project.
The Colombo Port City Economic Commission Bill was passed in Parliament becoming law; with 148 members of the 225 assembly showing their support for the bill.
While the Central Bank (CB) has often been criticised for adopting a currency board operating on draconian principles, accused of high inflation, political unrest and import substitutions, the CPC will operate through dollarization with multiple currencies, thereby safeguarding against the policy errors of the Monetary Board of the CB. Furthermore all transactions will be done in selected foreign currencies issued by central banks outside of Sri Lanka.
Despite this some clauses in the bill have been criticised as mirroring the arbitrary powers extended to the President under the 1978 constitution. For example, under this Bill the President has the power to appoint all members to the CPC Economic Commission without any recommendations or prior consultations.
