Sri Lanka Seeks EU Investment Under €300 Billion Global Gateway Initiative
COLOMBO, October 16, 2026 — Sri Lanka has sought European Union (EU) investment to strengthen small and medium-sized enterprises (SMEs), develop startup incubators and expand export-oriented industries under the EU’s €300 billion Global Gateway initiative, as the country looks to attract foreign capital and accelerate industrial development.
The proposal was discussed during a meeting on Thursday (15) between 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 (DG INTPA).
The discussions focused on mobilising European capital and technology to improve the competitiveness of Sri Lankan businesses, strengthen export capacity and create new opportunities for entrepreneurs.
The EU’s Global Gateway initiative aims to mobilise nearly €300 billion in investments globally across strategic sectors, including digital technology, renewable energy, transport infrastructure, healthcare, education and research.
Deputy Minister Abeysinghe highlighted the need to upgrade Sri Lanka’s SME sector to meet international trade standards and improve access to overseas markets. He also stressed the importance of establishing startup incubators to help entrepreneurs transform innovative business ideas into commercially viable enterprises.
Accordingly, he sought EU investment and technological support to strengthen local SMEs, establish startup incubators and develop industries capable of competing in international markets.
The Deputy Minister also invited European investors to consider Sri Lanka as a strategic gateway to Asian markets, highlighting its location along major international maritime routes, skilled workforce and ongoing governance reforms.
He briefed the EU delegation on the economic reforms being implemented under Sri Lanka’s International Monetary Fund (IMF) Extended Fund Facility programme.
Ustubs welcomed Sri Lanka’s progress under the IMF programme, particularly the successful completion of its fifth and sixth reviews, noting that these developments sent a positive signal to international investors regarding the country’s economic direction.
The meeting also explored opportunities to strengthen regional energy connectivity across South Asia, promote renewable energy projects and advance transparent infrastructure development.
Abeysinghe reiterated the government’s commitment to modernising Sri Lanka’s industrial and business sectors while maintaining transparency in attracting foreign investment.
The meeting was also attended by Galia Agiševa, Deputy Head of the EU Delegation in Colombo, and Virginie Lafleur-Tighe, Head of Cooperation at the EU Delegation.
Securing EU-backed investment could provide Sri Lankan SMEs and emerging businesses with opportunities to access new technologies, improve production standards and expand into international markets, supporting the country’s broader export-led growth ambitions.
