CPCEC grants 6 fresh indenture of lease for USD 200 mn | Daily News
Projected collective investment commitment of USD 600 mn

CPCEC grants 6 fresh indenture of lease for USD 200 mn

Infrastructure work of Region’s first Downtown Duty-Free Mall completed
The region’s first Downtown Duty-Free (DF) Mall
The region’s first Downtown Duty-Free (DF) Mall

The Colombo Port City said that out of the 34 marketable land plots granted on a 99-year lease basis, 6 plots were released back to the Commission and Colombo Port City Economic Commission has granted 6 fresh Indenture of leases for a 99-year period to the investors, valued at around USD 200 million.

The investors have projected a collective investment commitment of USD 600 million. They said it has now received 42 out of the 74 plots technically completed by the Project Company, for which ‘Completion Certificates’ have been issued.

Key Regulations have been finalized which are Businesses of Strategic Importance, Offshore Companies, Authorised persons, Duty-Free retail operations, Fees and DCR. These key regulations were completed, together with international consultants, with the development of suitable draft policies and procedures for identified thrust sectors, designed with extensive benchmarking studies to best-in-class regulations in fiscal and non-fiscal areas.

Additionally, an expedited approval for Investor Agreement and Licensing processes for Potential Investors and Authorized Persons has also been completed. The region’s first Downtown Duty-Free (DF) Mall infrastructure work is now complete and interior fit-out will begin soon. Colombo Port City Duty-Free Regulations have been drafted and are awaiting Cabinet approval. The facility will be operated by two of the world’s leading DF operators, positioning Colombo Port City as a regional shopping destination.

In addition negotiations are ongoing to introduce a leading Global Food and Beverage operator into Colombo Port City, offering a range of East, West, and Fusion cuisine, creating a ‘watering hole’ concept for DF shopping, as well as a world-class dining destination in the City of Colombo. A plan for the feasibility of a ‘remote check-in process’ and ‘checked-in baggage hauling’ for departing overseas travellers is currently being drawn up, to streamline their shopping experience.

Meanwhile the Commission, in collaboration with the Department of Immigration and Emigration (DIE), is streamlining and automating the visa application and approval process for 3 defined visa types under the Colombo Port City law. These are Investor Visa (10 years), Employment visas (dependent on the contract tenure), and long-term Residence visas (dependent on lease tenure) and include all dependents.

The Commission is also in discussion with the Singapore International Arbitration Centre (SIAC) regarding offering the International Commercial Dispute Resolution Centre to international operators and/or obtaining technical assistance from the SIAC under an MOU with the Ministry of Justice of Sri Lanka.

Also an expedited process has been established with the Registrar of Companies in Sri Lanka for ease of setting up companies under Colombo Port City law, under the Single Window Facilitation process. The Monetary Board and Ministry of Finance have approved full CPCEC regulated offshore licenses for 4 banks initially. 

The Central Bank of Sri Lanka has created a new class of account available for all banks under its regulatory purview, the Colombo Port City Investment Account designed to facilitate the inflow of funds to be used for investing in Colombo Port City.

Development Control Regulations (DCR) for the entire project were gazetted in April 2022 and an awareness program on them was conducted by the Commission for Government officials in June 2022. The DCR informs developers, residents, investors, and other stakeholders of the composition and use of the plots in the planned city.

 


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