The government of Sri Lanka, which is currently embroiled in food-, energy-, financial- and constitutional crises, this week approved the introduction of an investment-based residence permit, according to multiple news sources.
The Cabinet of Ministers approved a proposal from embattled President Gotabaya Rajapaksa to issue residence permits of either five- or ten-year validity on the basis of, respectively, a US$75,000 investment in condominium properties or a US$100,000 deposit in a recognized commercial bank in Sri Lanka. The deposit must remain with the bank throughout the ten-year duration of the visa. It was not immediately clear from reports whether the deposit would be interest-earning, nor whether the visas would be renewable.
According to reports in Sri Lankan business paper Daily FT, cabinet Co-Spokesman and Mass Media Minister Dr. Nalaka Godahewa characterized the program as a great opportunity for Sri Lanka to attract foreign exchange through the ample apartments in Colombo.
Sri Lanka’s government is under heavy pressure on a number of fronts: Food prices have increased dramatically (up by 30% in March alone); inflation reached 19% last month; crucial tourism revenue has all but dried up during the pandemic; and the government has practically run out of foreign exchange needed to import fuel. Recent mass protests and accusations of corruption have driven a number of cabinet ministers to resign in recent weeks.
“This scheme will help Sri Lanka at a time when we are facing the worst financial crisis since our independence,” the minister was further quoted as saying, reports Al Jazeera.
