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Business Daily: Can Sri Lanka attract new investors?

09/02/2010

Can Sri Lanka attract new investors?

BBC World Service - Business Daily, Can Sri Lanka attract new investors?

Can Sri Lanka attract new outside investment after the arrest of its opposition leader?

Sri Lanka's civil war may be over but can it attract new outside investment following the arrest of the opposition leader?  We talk to Sri Lanka's central bank governor. And can India succeed in F1?

How does Sri Lanka persuade the world it's fit to do business again, after a bloody civil war that lasted for 26 years? 

Its newly re-elected President Mahinda Rajapaksa has vowed to regain the economic ground which was lost in the long war with the Tamil Tiger separatists. Two weeks ago, he won another term in office. 

But now, his defeated opponent General Sarath Fonseka has been arrested, intensifying worries that the continuing political conflict may deter the foreign investment Sri Lanka needs. His arrest can be seen as the latest manifestation of a government crackdown on the opposition and the media. 

Lesley Curwen talked to the central bank governor Ajith Nivard Cabraal, just before news of the arrest came out, and asked him how politics affects the economic climate in Sri Lanka.

Plus as Force India launches its new car for the 2010 F1 season, Shilpa Kannan reports on whether India can become a big player in Formula One motor racing, and John Sudworth from Korea on the problems faced by temporary workers there.

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