Sri Lanka is positioning itself to become a competitive player in the global artificial intelligence (AI) market, with an ambitious target of developing a US $1.8 billion AI sector by 2030. The move is part of a broader national strategy to integrate AI across key industries, boost innovation, and enhance public service delivery, while creating a thriving environment for startups and foreign investment.
Launch of the National AI Fund
At the heart of this initiative is the newly launched National AI Fund, backed by an initial Rs. 100 million government investment. The fund is intended to support AI research, pilot projects, and skill development programmes that will lay the foundation for a technology-driven economy. The plan also includes incentives for private sector participation, encouraging businesses to co-invest in AI projects that have the potential for large-scale economic impact.
Driving Innovation Across Sectors
The government’s AI roadmap envisions integrating AI technologies into public administration, healthcare, agriculture, manufacturing, and finance. For example:
- Healthcare: AI-assisted diagnostics and predictive analytics for early detection of diseases.
- Agriculture: Precision farming tools to boost productivity and reduce waste.
- Finance: AI-powered fraud detection and improved risk assessment.
- Public Services: Intelligent automation to speed up government processes and reduce costs.
Such integration aims not only to improve efficiency but also to generate new economic opportunities and jobs in the AI sector.
Boosting Startup Growth and Foreign Partnerships
With AI projected to transform global industries, Sri Lanka’s strategy places heavy emphasis on attracting foreign direct investment (FDI) into the tech ecosystem. The government hopes that the AI Fund and its associated programmes will help local startups scale up and connect with international partners, positioning Sri Lanka as a regional AI innovation hub.
Industry experts believe that the country’s relatively low operating costs, growing tech talent pool, and strategic location could appeal to global investors—provided that the right policy and regulatory frameworks are in place.
Challenges and the Road Ahead
While the vision is ambitious, several challenges remain. These include ensuring sufficient AI talent development, safeguarding data privacy and cybersecurity, and securing long-term funding beyond the initial Rs. 100 million allocation. For the AI sector to reach its US $1.8 billion goal, the government will need to work closely with academia, the private sector, and international partners to build sustainable capacity.
If executed well, Sri Lanka’s AI push could fast-track economic modernisation, create high-value jobs, and strengthen the country’s competitiveness in the Fourth Industrial Revolution.
For more articles – https://lankabiznews.com/
