Sri Lanka is working towards early conclusion of the bilateral economic cooperation agreement with India.

A report on the government website said that Sri Lankan Minister of Industry and Commerce has told Indian Entrepreneurs that Sri Lanka mulls to ink the Comprehensive Economic Partnership Agreement (CEPA) as the Cabinet has appointed an inter-governmental panel under Sri Lanka’s director general of commerce to renegotiate the agreement with India again.

‘In this context, I am hopeful of an early finalization of the process whereby both neighbours can strengthen our centuries-long historic relations.’ The minister has said

India is the fourth largest investor in Sri Lanka, with prominent companies such as the state-run Indian Oil Corp, the Tata group, the Bharti group, Piramals, Life Insurance Corp, Ashok Leyland, Larsen and Toubro, Air Tel, Mahindras and the Taj Hotels having a presence Colombo

Bilateral trade has multiplied nearly five-fold over eight years. During January-August 2010, it touched 1.83 billion USD, compared to 1.29 billion USD in the corresponding period in 2009.