A city rising: How Port City Colombo secures Sri Lanka’s tomorrow

Nevanka Jayatilleke 

By Nevanka Jayatilleke

Port City Colombo: A tangible win for Sri Lanka’s future

Sri Lanka is a land of endurance. Over the many trials that our country has faced over its history, the hallmark of our people is their resilience. Through the chaos of conflict and varying crises, Sri Lankans have always rallied to creating a better future for the nation, placing their hopes in its people and projects, driving the country on a steady march towards prosperity.

Today, hope is no longer an intangible phenomenon. The visions of previous decades are becoming a reality. It is no longer a mere hope to imagine a new city rising by the sea, bringing in foreign investments, creating thousands of jobs, and placing Sri Lanka on the map as a hub of business, innovation, and tourism in South Asia. It is not a distant dream. This is what Port City Colombo is becoming, and it is one of the most significant opportunities for Sri Lanka in decades. 

Why Port City Colombo matters

For many years, it was common to hear about projects that promise prosperity, but the results often feel out of reach for ordinary people. Port City Colombo is different. It is being built entirely through foreign investment, with no burden on Sri Lankan taxpayers or debt on our children’s shoulders. It is the single largest foreign direct investment (FDI) project in Sri Lanka’s history, and our most significant public-private partnership (PPP) to date, showing that despite past challenges, investors believe in the potential of our island.

Port City Colombo isn’t just about luxurious buildings or high-end offices. It is about jobs, income, and opportunities. Once fully operational, it will create over 143,000 direct jobs in sectors like IT, shipping, finance, tourism, and professional services, while creating hundreds of thousands more indirectly during its construction and growth. These are not just jobs in construction, but sustainable, long-term careers in fields that will shape the modern economy of Sri Lanka.

That is the vision that is presented by Port City Colombo. An outcome that brings growth to all of Sri Lanka’s people, while propelling Colombo forward as the crown jewel of South Asia.

Building a city for the people

Port City Colombo is more than a business district. It is being developed with green parks, an artificial beach, a marina promenade, and waterfront spaces open to the public. Already, over 2 million visitors have enjoyed these public spaces, proving that this city is not just for investors but for the people of Sri Lanka.

Public spaces mean families can walk, children can play, and communities can gather in a modern, clean, and safe environment. It will redefine how we experience Colombo, making it a city that truly belongs to everyone.

Creating lasting economic stability

One of the biggest challenges Sri Lanka faced in its post-independence history was a period of deep economic instability. From a point of economic disarray to the present, Port City Colombo helps prevent a resurgence of the crisis by bringing in foreign exchange that strengthens our rupee and improves our balance of payments. In practical terms, this means more dollars coming into the country than going out, which helps stabilise our economy.

According to the PwC Special Economic Impact Assessment Report published in 2021, at full operation, Port City Colombo is projected to add over $ 13 billion to our GDP each year—an amount that will touch every corner of our economy, from small businesses to Government revenue. This is organic growth – growth that promises prosperity for the greater public of our nation without encumbrance. Upon full operationalisation of Port City Colombo, this economic windfall will exist for every future generation of our land, irrespective of political shifts.

Boosting local supply chains

Port City Colombo’s advantages are not limited to the urban limits of Colombo. It will instead stimulate local supply chains and businesses across the country. As Port City Colombo grows, it will need goods and services from across the country—ranging from construction materials and transport services to food, hospitality, and professional services. This means small and medium-sized enterprises across Sri Lanka will see increased demand, leading to growth in incomes and job creation beyond Colombo.

Moreover, Port City Colombo’s operations will contribute to Government revenue through the attraction of FDIs and lease income while promoting modern service export sectors such as IT, maritime logistics, and financial services. These sectors are key drivers of macroeconomic growth for Sri Lanka, bringing in consistent foreign earnings while creating high-quality employment for our youth.

A secure destination for global investment

Sri Lanka is a country enclosed by a world shaken by global conflicts, rising oil prices, and trade disruptions. Within the disorder of international affairs, opportunity arises for our nation. International investors are looking for stable, neutral places to grow their businesses, and ensure business continuity in a highly competitive and potentially volatile global marketplace. Sri Lanka, with its non-aligned stance, is perfectly positioned to attract this capital. Port City Colombo, with its 0% tax on employment income, 100% foreign ownership, and streamlined regulations, offers a compelling reason for businesses to set up here, bringing in jobs, technology, and opportunities for the modern Sri Lankan.

As investors move away from regions with instability, Sri Lanka can become a safe, attractive hub for them. This is not a passing opportunity; it is a moment in history that we must seize.

Beyond politics: A win that stands the test of time

The beauty of Port City Colombo is that it is designed to outlast politics. While political shifts can take place cyclically, the vision of Port City Colombo remains the same: to make Sri Lanka a regional hub for investment and innovation.

This is enshrined in our legal provisions. The Colombo Port City Economic Commission Act, passed with bipartisan support, ensures that the rules governing Port City Colombo are stable and investor-friendly, giving businesses the confidence to invest for the long term.

This stability is crucial for building trust with investors, ensuring that the benefits of Port City Colombo will continue for generations, providing jobs and opportunities that politics cannot take away.

Bringing advanced services to Sri Lanka

Sri Lanka’s drive towards advanced development begins with Port City Colombo. The vision of this project is to not simply stimulate growth, but to transform Sri Lanka into a hub for advanced services. From offshore banking and financial services to IT and modern healthcare facilities, the city will offer opportunities for our professionals to work in global sectors without leaving the country, whilst earning in designated foreign currencies. It will also bring knowledge-sharing opportunities, helping our young graduates build skills that will serve them well in an increasingly competitive global stage.

For entrepreneurs, the ease of doing business in Port City Colombo means faster approvals, less red tape, and a clear path to growth, which will encourage Sri Lankan and regional talent to launch start-ups and businesses within the country.

A boost for tourism and small businesses

Sri Lanka is an island brimming with vibrancy. Port City Colombo will serve to increase Sri Lanka’s tourism revenue potential by broadening the country’s appeal even further – highlighting the island’s potential to several travel segments, from standard business and leisure travellers to even more purpose-driven tourism.

The Mall at Port City Colombo, built with foreign investment, and the upcoming Marina development will create world-class facilities for tourists and locals alike, increasing spending within the country. As tourism grows, local small businesses, from craft shops to food stalls, will benefit, creating a ripple effect of prosperity.

The Marina, with its luxury yacht facilities, restaurants, and entertainment spaces, will position Colombo as a premier destination for global travellers, increasing foreign currency earnings and strengthening our hospitality industry. 

Through the Port City Colombo’s upcoming signature developments, including the Conventions and Exhibitions Centre, Premium Education Cluster, and International Hospital, Sri Lanka will continue to grow as the ultimate destination for medical, education, and MICE tourism.

What we must do

While Port City Colombo offers enormous potential, it requires us to support it through continued policy and regulatory stability and a clear vision for the future. Policymakers must work together to fast-track approvals and support the businesses and projects that will operate in Port City Colombo.

We, as citizens, must understand that Port City Colombo’s success is not about politics; it is about creating a future where Sri Lankans have well-paying jobs, where our youth can thrive without leaving the country, and where our economy can grow sustainably without relying on foreign debt.

A tangible win we can all see

Port City Colombo is no longer an abstract promise. It is visible to anyone who drives by the Galle Face Green, or visits the public beach. It is a tangible win that we can see, touch, and experience.

It is a symbol of what is possible for Sri Lanka when we embrace opportunities, remain stable, and think long-term. It is a city rising from the ocean, not only built on land, but built on hope, ambition, and the vision of a prosperous future.

Port City Colombo is not just a development project. It is a foundation for a new chapter in Sri Lanka’s story—a chapter where we move from debt dependence to self-sustaining growth, from exporting our youth to providing them opportunities within their motherland, and from economic uncertainty to sustained stability.

As it grows, Port City Colombo will stand as a testament to what Sri Lanka can achieve, proving that with the right vision, our country can become a regional leader in investment, innovation, and sustainable prosperity.

Now is the time to support, believe in, and celebrate Port City Colombo as a win for all Sri Lankans—today and for generations to come.

(The writer is a lecturer in International Relations, Political Economy and Politics)