Sri Lanka Eyes Higher Exports To Malaysia To Address Trade Imbalance
By K. Naveen Prabu
KUALA LUMPUR, Nov 3 (Bernama) -- Sri Lanka is looking to increase its exports to Malaysia to address the trade imbalance between the two countries, Sri Lanka's High Commissioner to Malaysia Dharshana M. Perera said.
According to Perera, bilateral trade between the two countries currently exceeds US$1 billion, with almost 90 per cent comprising Malaysian exports to Sri Lanka, which is still recovering from the economic crisis it experienced in 2022.
He said that rather than reducing Malaysian exports, Sri Lanka wants to strengthen its domestic supply capabilities and increase its exports to Malaysia.
“What we need to do is not necessarily reduce Malaysian exports to Sri Lanka, but increase Sri Lankan exports to Malaysia by strengthening our supply-side capabilities and becoming a dependable and predictable supplier, which would also benefit Malaysian businesses,” he told Bernama in an exclusive interview.
He said Malaysia is an important supplier of essential goods to Sri Lanka, particularly energy and food security-related products, including petroleum and fertilisers.
Perera said Malaysia is also among Sri Lanka's major investors, with Malaysian businesses having a presence in telecommunications, hotels and leisure, knowledge services and utilities.
“It is our view that Malaysia, traditionally a strong economic partner, can elevate its partnership with Sri Lanka,” he said.
On investment opportunities in Malaysia, Perera said Sri Lankan companies are also looking to expand their presence in the country.
He cited the planned opening of Dilmah, a Sri Lankan tea company, through its premium Urban Estate dining and retail concept in Kuala Lumpur next week as an example of Sri Lankan companies seeking to expand into the Malaysian market.
“Whenever opportunities arise, you will find Sri Lankan companies coming into the Malaysian market because it is also an opportunity for them to grow beyond Sri Lanka,” the high commissioner said.
Turning to Sri Lanka's economic recovery, Perera said the country had recorded economic growth of between 4.2 and five per cent over the past couple of years following the economic crisis in 2022.
He attributed the recovery to fiscal discipline, political commitment and support from bilateral partners, the World Bank and the International Monetary Fund.
The crisis, one of Sri Lanka’s worst since independence in 1948, triggered severe shortages of essential goods, soaring inflation, a collapse in foreign currency reserves and widespread public protests, ultimately forcing then-President Gotabaya Rajapaksa to resign.
Beyond the 2022 economic crisis, Perera also touched on the longer-term economic impact of Sri Lanka's civil war, which ended in 2009, acknowledging that the conflict had cost the country investment and development opportunities.
“The conflict, which lasted around 30 years, certainly had an impact, and we lost quite a number of opportunities that other countries managed to secure during that period," he said.
However, Perera said Sri Lanka had since moved into a different environment, with the current administration receiving support from voters across the country.
He also highlighted efforts to engage overseas Sri Lankans, including those living in Malaysia, to contribute to the country's development through their resources and expertise.
“There are significant resources among the Sri Lankan community overseas, including those in Malaysia, which need to be harnessed for the collective progress of the country,” he added.
-- BERNAMA
