Sri Lanka’s entrepreneurship rate stands at just 3% of the working population, significantly trailing regional counterparts, according to Dhanuka Liyanagamage, Director of the National Enterprise Development Authority (NEDA). He addressed the issue at the Global Entrepreneurship Week (GEW) 2024 launch event held at the Ceylon Chamber of Commerce.
“Only about 3% of the working population becomes entrepreneurs in Sri Lanka,” Liyanagamage revealed. “When compared to our regional peers, even Bangladesh has a rate of 7%. This disparity is alarming and reflects poorly on our entrepreneurial ecosystem.”
He urged stakeholders to raise the country’s entrepreneurship rate to at least 10% within the next three to five years. Achieving this, he said, would require targeted strategies and comprehensive support.
Commending the recent increase in donor funding for entrepreneurship development, Liyanagamage called it “a step in the right direction” but emphasized the need for a mindset shift among Sri Lankan entrepreneurs. Despite the nation’s high literacy rate, financial literacy among small and medium enterprises (SMEs) remains a significant obstacle.
“To address this gap, we are planning to conduct awareness programs to improve financial literacy and provide SMEs with the tools and knowledge they need to succeed,” he added.
These initiatives aim to cultivate a stronger entrepreneurial culture in Sri Lanka, empowering individuals to drive economic growth and enhancing the nation’s competitiveness in the regional market.
