Namal says Hambantota is happening, urges private sector to cash in

by Nisthar Cassim

Youthful MP Namal Rajapaksa is reiterating that mega developments in Hambantota which are having benefits to the rest of the country were taking shape and urged the private sector to cash in early with a mindset of “positivism.”

 “We are going ahead with our plans and efforts as we firmly believe in the future of Sri Lanka’s potential. We are convinced we can do it (become a dynamic country) but at the same time it is important for larger private sector to change mindsets and become positive. The public sector too needs to be more efficient,” Namal told the Daily FT in an interview.

Confirming that things are happening despite the loss of bid to host 2018 Commonwealth Games, the MP from deep-South said that ground breaking ceremony of Shangri-La’s resort in Hambantota is slated for later this month whilst it will also cut the first sod for its flagship venture in Galle Face in February. Investments on both is around $ 600 million. According to him, work on new resorts by Sri Lanka Insurance and China Harbour will also commence shortly. A few more ventures are being shaped up in the tourism sector as well. “With the opening of Mattala International Airport for charters from later this year as well as the commencement of other industrial and commercial projects within the airport zone, and outside, we will see a true revival of tourism, industries in  the South and boosting national ecoomy,” he added.

“We have identified that South and Uva are the sources for around 50% of the Lankan migrant work for the Middle East. This existing and growing base makes business sense for select Middle Eastern airlines to operate flights directly to and from Mattala,” points out Namal.

He also said that deep-South provides the best diversity as a tourist destination and if combined with East Coast and other nearby attractions, for tour operating companies and holidaymakers alike Mattala will be the best arrival point. “At present a tourist in the South coast as part of the last leg of his round trip has to travel back to Colombo to take a flight home,” he noted. Whilst he concedes that opening of the Southern Expressway has considerably reduced road travel time and extension of it further will be more convenient, the profile of tourists whom Sri Lanka will lure in five or 10 years will be different hence Mattala is for the future-centric travel and leisure trade to move in now to benefit later.

Cruise tourism is another growth area identified by the Government whilst Galle will be positioned for yachts.

In tandem with master plan for a new city and re-development of Hambantota, the public listed Colombo Land has also drawn up its own project of real estate and commercial projects.  Another listed entity Environmental Resources Investments (ERI) is also planning an apartment project.

The Government is also keen to develop Hambantota as a knowledge hub with a special focus on Business Process Outsourcing (BPO), Knowledge Process Outsourcing (KPO), software development and computer assembling.

A mega IT park is part of the plans which will be developed by a Southeast Asian party whose proposals are currently being studied by the Board of Investment. The Telecommunications Regulatory Commission (TRC) too is putting up another facility. Both will be expanded in tandem with demand for space. Mobitel will be the first set up a call centre in Suriyawewa for which initially 50 youth from the South have been trained. eWis is setting up a computer assembling facility as well.

“The ICT industry can unleash the next growth wave for Sri Lanka like apparel did a few decades ago,” emphasises Namal. “Unlike apparel, the BPOs and KPOs however will see opportunities for as well as make the highly skilled and educated talent in the country to thrive,” he said adding that forecast is that around 120,000 youth will be employed in this sector within the next 10 years.

Partly to empower these upcoming ventures as well as support the overall country-wide thrust on ICT, an area which Namal’s father President Mahinda Rajapaksa first championed when he was the Premier, will be the rolling out a national broadband policy.”

The relevant authorities are currently working on a broadband policy which is crucial for Sri Lanka in our quest to become a knowledge economy as well as improve competitiveness,” Namal added.

Namal also expressed confidence that the international seaport in Hambantota will become a hub once the three projects recently approved (one of which a fertiliser bagging plant by Hayleys in partnership with a Southeast Asian company has already commenced work) begin operations.  

Heavy-vehicle auctioning has already begun as well in the area. The Mattala airport will also boost air freight industry in addition to several industries under a tax-free zone. To resolve the water issue, two proposals are being studied at present for desalination plants. Among other new green-field industries coming up are solar energy park.

These new ventures are apart from a mega overhaul of the entire Hambantota city and nearby areas with flyovers, a new planned city, preserving certain landmark areas for heritage tourism etc.

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