$45bn worth ITC Group’s investment in SL spurred by Indian authorities

By Sanath Nanayakkare

Economic Development Minister Basil Rajapaksa, Investment Promotion Minister Luxman Yapa Abeywardene and ITC Chairman Y.C. Deveshwar view a model of the ITC Colombo One—the luxury hotel and residences to be built overlooking the Galle face Green, Colombo. - Pic by Dharmasena Weliwita

‘We were encouraged by Indian authorities at the highest level to make a significant investment in Sri Lanka and that is one of the reasons we have decided to make an outlay of US $300 million in our maiden overseas foray in the hospitality sector, Y.C. Deveshwar, Chairman ITC Ltd. said in Colombo yesterday.

Deveshwar who heads ITC businesses in India with a market cap of over $45 billion said so while speaking at the groundbreaking ceremony of the ITC Colombo One—the iconic luxury hotel and residences, overlooking the Galle Face Green.

"Ruchir Sharma of Morgan Stanley Investment Management said in his book titled ‘Breakout Nations’ that Sri Lanka would be another economic miracle in the world. It was another factor that motivated us to invest in Sri Lanka, he revealed.

The ITC Colombo 1 is likely to offer about 350 rooms in the first phase with more than 130 luxury residences, world class banqueting and cuisine experiences.

The conglomerate’s businesses span consumer goods, hotels, paperboards, paper and packaging, agri- business and information technology.

The groundbreaking event was attended by Basil Rajapaksa, Minister for Economic Development and Y. K. Sinha, High Commissioner for India in Sri Lanka.

Investment Promotion Minister Lakshman Yapa Abeywardena and Army Commander Lieutenant General R M Daya Ratnayake were also among those present on the occasion.

"In fact, when I first visited Sri Lanka in the late 70s, an idea conceived in me to make an investment in Sri Lanka, but it wasn’t possible as there were restrictions on both ends," Deveshwar mentioned.

Commenting on the ITC Colombo 1 project, Deveshwar added, " This is Indian multi-business enterprise ITC’s tribute to the glorious and rich heritage of Sri Lanka. It will contribute to the prosperity and sustainable development of Sri Lanka. India and Sri Lanka have shared a common heritage in the subcontinent and have generations of rich socio-cultural ties. I am sure that this landmark hotel will add a jewel to the crown of Sri Lanka’s hospitality sector."

"ITC Hotels with a collection of more than 100 hotels in over 70 destinations in India have redefined the fine art of hospitality. They offer unique indigenous experiences, internationally acclaimed cuisine and spas, with globally benchmarked standards in accommodation, environment and guest safety. Inspired by ITC’s triple bottom-line philosophy of creating economic, environmental and social capital, ITC’s hotels business is committed to delivering luxury experiences with sustainable practices embedded in the premise of ‘Responsible Luxury’."

Deveshwar also stressed that the warm welcome of Sri Lankans served as a motivating factor to invest in Sri Lanka.

ITC Hotels is India’s largest luxury hotel chain and is a part of ITC Limited, a leading diversified enterprise in India. ITC Hotels has set ‘global benchmarks in its services, integrating personalization with state-of-the-art technology to deliver planet positive luxury experiences to its guests.’
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