The recent agreement signed by Gammon Middle East with Sri Lankan President Maithripala Sirisena is expected to draw more than $10 billion in foreign investment in various projects to be established in the free-zone, said Shaikh Rafik Mohammed, chairman of the Saudi-based group.

Speaking to Arab News, Mohammed said the $1.2 billion free-zone in Colombo would boost the island state’s economic and industrial progress, attracting major multinational companies.

“We expect investment of at least $10 billion in the free zone by companies in India, China, Canada, Europe and Australia. The free-zone will also create 15,000 new job opportunities for Sri Lankan citizens,” he added.

He said Gammon has already received permission from the president to launch the Dubai-model free zone in Sri Lanka.

“We have agreed to invest $1.2 billion to construct infrastructure required for the free-zone,” he said.

The leading free zone industrial infrastructure development group Gammon has concluded preliminary agreement with the Lankan government following a day-long discussion with Sirisena recently.

The biggest motivation to Sri Lanka to enter the free zone segment came from the example set by Dubai, which had astounded the world with its Free Zone projects, Mohammed said.

Dubai is the first one among the UAE emirates to have successfully implemented Free Zone projects. It was the realization that such projects implemented with far-sightedness are indispensable for the development of any country. This attracted Sri Lanka toward the free zone concept, he added.

The Sri Lankan Government is very much interested in associating with the Gammon Group, which has already proved its credibility by successfully completing major infrastructure development projects, according to President Maithripala Sirisena.

Sri Lanka will provide 700 acres of land to Gammon for the project in the eastern province of the island nation.

“The Gammon Group is immensely glad to have accepted the responsibility to implement various development projects in Sri Lanka including the Free Zone, a Knowledge City, hospitals and roads,” Mohammed said.

He described the meeting with the Sri Lankan President as quite productive and pointed out that Sri Lanka was a country with an immense potential for development.

“The country has great possibilities for both sea and land transportation. Since the establishment of internal peace in the country, many Indian firms have started showing interest in investing in Sri Lanka and the Free Zone would open up new doors for them,” the Gammon chief said.

Gammon has developed free zone projects in Kyrgyzstan and many other countries.

The discussions were attended by various ministers from Sri Lanka including the Minister for Home Affairs, Amir Ali Shahabdeen and top officials from the country along with the representatives of Gammon Group O. M. Abubacker, P.K. Syed, managing director Gammon UAE and Mohammed Riyas, director Gammon UAE.