Flow of investments from Oman to Sri Lanka on the upswing

Muscat: A large number of Omanis are turning to Sri Lanka to invest in property, infrastructure development and the farming sector, officials said.
Speaking to Times of Oman, Anselm Perera, CEO of Business Process Outsourcing Services LLC (BPOS) Oman, who coordinated one such delegation, claimed Sri Lanka became a good place for investors after the civil war ended on May 18, 2009.
“Since then, we have seen a surge in investors from around the globe,” he noted.
The team coordinated by Perera was led by Saeed Saleh Saeed Al Kiyumi, chairman of Oman Chamber of Commerce & Industry.
Besides investing in farming, Omanis are also buying property in Sri Lanka. “The Omani delegation which visited Sri Lanka also held discussions with reputed high-rise residential development agency Altair about buying some apartments,” he added.
“People are investing as they can expect rental yields of 8 to 10 per cent and capital gains of more than 10-12 per cent in the luxury apartment sector in Sri Lanka,” Perera said. Further, investors receive capital gains on the resale of apartments, which in some cases are tax free for foreign nationals.
Designed by architect Moshe Safdie, Altair is offering 400 apartments with 1.5 million square feet of living space supported by 40,000 square feet of retail space. The building is scheduled for completion in 2017.
Interestingly, tourist arrivals in Sri Lanka from Oman have also been increasing in recent years. “Besides business travel, we are expecting around 20,000 tourist arrivals from Oman in 2016,” said Deepal Pallegangoda, Country Manager Oman, Mihin Lanka, said.
In 2015, 14,216 tourists from Oman visited Sri Lanka. “Because of the economic crisis, many people are shunning holidays in Europe and looking for cheaper options, like Sri Lanka, where they can get greater value for their money,” travel agents stated.