Sri Lanka is targeting 2.5 billion US dollars in foreign direct investments in 2021, with several commitments already being made, State Minister for Finance and Capital Markets, Nivard Cabraal said.

About a billion dollars of investments were in the pipeline for the Colombo Port City, he said.

“That is very real,” he told an investment forum organized by Asia Securities, a Colombo-based investment house.

“The Hambantota tyre factor is 300 million dollar of which 175 million will come next year.”

A pharmaceutical zone is expected to get another 200 million dollars.

“Once you have inflows of that nature there would be many others would get excited,” he explained.

He said Sri Lanka was working on providing stable macro-fundamentals to investors.

A Special Economic Zone law is expected to be passed for the Port City. Projects so far have been given tax benefits under a under a highly discretionary Strategic Investment Law.