Sri Lanka seeks EU investment under the Global Gateway initiative to strengthen SMEs, establish startup incubators, expand export-oriented industries and promote renewable energy and infrastructure development.
Sri Lanka has sought European Union (EU) investment to strengthen its small and medium-sized enterprises (SMEs), develop startup incubators and expand export-oriented industries under the EU’s Global Gateway initiative, which aims to mobilise investment for sustainable infrastructure and economic development worldwide.
The proposal was discussed during a meeting between Sri Lanka’s Deputy Minister of Industry and Entrepreneurship Development, Chathuranga Abeysinghe, and visiting European Commission official Pēteris Ustubs, Director for Asia, Central Asia and the Pacific at the Directorate-General for International Partnerships.
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During the meeting, Abeysinghe highlighted the need to upgrade Sri Lanka’s SME sector to meet international trade standards and improve access to overseas markets. He also called for the establishment of startup incubators to help entrepreneurs transform business ideas into commercially viable ventures.
The deputy minister sought European capital and technology to support local businesses, strengthen industrial capabilities and improve the competitiveness of Sri Lankan products in international markets. He also invited European investors to consider Sri Lanka as a strategic gateway to Asian markets, citing its location along major international maritime routes, skilled workforce and ongoing governance reforms.
The EU’s Global Gateway strategy was initially designed to mobilise up to €300 billion in investments worldwide between 2021 and 2027, covering sectors such as digital technology, renewable energy, transport, healthcare, education and research. The European Union has since reported that the original investment target was met in 2025 and established a new objective of mobilising €400 billion by 2027.
Ustubs welcomed Sri Lanka’s progress under the International Monetary Fund’s Extended Fund Facility programme, particularly the completion of its fifth and sixth reviews. He noted that progress on economic reforms could send positive signals to international investors about the country’s economic direction.
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The discussions also covered regional energy connectivity in South Asia, renewable energy projects and transparent infrastructure development. Sri Lanka reiterated its commitment to modernising its industrial and business sectors while maintaining transparency in attracting foreign investment.