- 54% assess the current business situation as good
- 66% expect their business to improve over the next 12 months
Fifty-four percent of the respondents assess their current business situation as good, while 46% describe it as satisfactory. No respondent reported a bad situation, a survey among German companies in Sri Lanka reveals.
According to the finding of the AHK Business Barometer-Sri Lanka: Spring 2025 Edition by the Delegation of German Industry and Commerce in Sri Lanka 66% expect their business to improve over the next 12 months, and another 32% anticipate stability. Only one company foresees deterioration.
However, views on the local economy are more moderate. While 41% expect improvement, the majority (57%) anticipate no significant change.
The most significant long-term global challenges cited are fragmentation of the global economy (36%), climate change (23%), supply chain diversification (21%) and sustainability transformation (10%).
The US trade policy is expected to negatively impact local business with 31% anticipating a major negative impact, and 40% a minor one.
The business sentiment remains weak in Germany according to the survey. A low percentage of companies rate their situation as good, and export, investment, and employment expectations are mostly negative.
“Sri Lanka could leverage on this opportunity as a destination for trade and investment,” said Chief Delegate Delegation of German Industry and Commerce in Sri Lanka, Martin Klose.
The AHK has been in existence in Sri Lanka since 2018 and is committed to fair business and offers the ideal platform to create business opportunities for Sri Lankan and German companies in both directions.
However, panelists at the discussion noted that approval delays and time consuming procedures stand as bottleneck to expedite investment approvals in Sri Lanka.
The BoI the apex body for investment promotion in Sri Lanka pledged to streamline operations and make it a one stop shop experience for foreign investors.
President Anura Kumara Dissnayke early this year said the approval process for setting up businesses in Sri Lanka will be simplified and expedited by linking all key ministries where approvals have to be sought.
Registering a company in Singapore takes only 1 to 3 business days with ACRA (Accounting and Corporate Regulatory Authority) after submitting all documents.
