Level playing field will bring more investments: US

• Ambassador Teplitz says Sri Lanka should broaden investor partnerships
• Believes Sri Lanka needs to close some deals outside China to boost wider investor confidence 
• Stresses US is looking for a ‘real partnership’
• Says ease of doing business and transparency in process needs to improve

By Asiri Fernando

US Ambassador Alaina B. Teplitz

A level playing field and working with diverse partners could see more beneficial foreign investment come in to Sri Lanka, US Ambassador for Sri Lanka and Maldives Alaina B. Teplitz said yesterday. 

The US Ambassador made the comments at a roundtable discussion held online, the first such discussion since the Biden administration took office in Washington. Teplitz said that in spite of change in administration in Washington, the US remains committed to enduring polices on democratic values, free and open navigation of the Indo-Pacific and economic progress. 

“Our interest in the region is enduring. We are going to continue to support open and secure transit of the sea and the air. We are going to continue to support inclusive development, fair and transparent trade and investment, and respect for and among nations for existing international norms. 

“As a part of that commitment, we are going to support a strong, sovereign, inclusive and prosperous Sri Lanka,” Ambassador Teplitz stressed, adding that the US looks forward to endearing with the Rajapaksa Government.

“US businesses can deliver, there is cutting edge technology and there is green technology, especially for companies in the energy space and there are real opportunities which can allow Sri Lanka to leap forward,” Teplitz said, expressing hope that proposals submitted by US energy giants will receive “fair and equitable treatment” and local tender procedure is applied to them equitably. 

“The US believes that partnerships between countries should be open, transparent and mutually beneficial. And, if this is what embodies Sri Lanka’s relationship with China, we continue to encourage it,” Teplitz said, responding to a question on if the US remained concerned that Sri Lanka was not engaging with all partners equally, particularly in relation to Sino-Sri Lankan engagement. 

However, Ambassador Teplitz called on Sri Lanka to broaden their economic partner base and said offering a fair and levelled playing field will help attract more beneficial investments and help Sri Lankan industries become more competitive and sustainable.

“The US is already Sri Lanka’s largest export destination. There are opportunities for US businesses to collaborate both on exports and also to look at investments here. But the playing field has to be levelled. This is not only in terms of public procurements and Government tenders but also private sector opportunities,” the top US diplomat in Colombo explained. 

Ambassador Teplitz pointed out that ease of doing business needs to improve, be it when getting a permit, approval or acquiring factory space which businesses need through a clear, transparent and quick process. 

Working with a broader partner base, including the US will bring benefits such as technology and training transfer to the country, higher standards for environmental consideration and will have Sri Lankans employed and managing the projects and see imported labour that competes with Sri Lankan workers, Teplitz opined. 

“Sri Lanka needs to close some deals with some business partners outside of China, these will boost confidence of other businesses. Not doing so will reinforce the idea that this [Sri Lanka] is not a fair and levelled economic playing field" Teplitz argued, pointing out that a fair and transparent process will lead to competition that benefits the country better.

“What is needed is a fair, transparent and levelled playing fields that deliver high value to you. We are just asking for the opportunity to be an offer or on such a playing field. And be able to deliver high value to our partners. If China can deliver that value, have a relationship there. If Chinese firms are delivering that value, work with Chinese firms,” Ambassodor Teplitz said, pointing to several reports by local think tanks which indicated otherwise.

Commenting on East Colombo Terminal (ECT), Ambassador Teplitz stated that having a having an Indian company with a stake in the Port was essential to Sri Lanka's maritime future as much of the transhipment which happens at the Colombo Port, catered to the Indian ports.

“Looking at a business arrangement, finding something sustainable, beneficial and gets your key business partner a stake seems like a no brainer in terms for a deal for this country,” the US diplomat opined, adding that Sri Lanka stands to gain with private sector involvement, which give the companies a stake in doing business in the country.

A key commonality between Sri Lanka and the US is that both countries are democracies, Teplitz underscored.

“And as democracies, the United States and Sri Lanka should share common goals. We can work together to promote good governance, rule of law and economic growth. We are going to be engaged with President Rajapaksa's Government to ensure the rights of all citizens of protected and underline issues of conflict are addressed.

“We are also going to engage to encourage Sri Lanka's prosperity and to protect its sovereignty. And we are interested in a real partnership. One that's fully owned by both sides and governed by shared values,” Ambassador Teplitz added.