Sri Lanka’s startup ecosystem is fueled by strong technical talent that is increasingly sought after in global innovation networks. A prime destination for knowledge-based services, it combines technical and cognitive skills developed through a strong foundation of ICT studies producing 12,000+ graduates annually. The country’s high quality of life, vibrant culture, and natural beauty contribute significantly to attracting startups and global talent.
Under its HQ strategy, Sri Lanka aims to position itself as a preferred destination for IP businesses, supported by a new structure for VC funds, new visa categories to attract foreign investment and entrepreneurial talent, and a government-backed Fund of Funds. Digitization is a key priority of the government, with an aim to achieve $5B in revenue from Digital Industry and expand the IT workforce to 200,000 by 2030. The national digital strategy will enable high-value exits and create pathways for unicorn emergence. The government will launch a National Accelerator Program to boost innovation and startup growth, and will establish a regulatory framework for VC covering investor protection, profit repatriation, tax incentives, ESOPs, and compliance support.
Sri Lanka’s expanding portfolio of events foster strong links between the local and global startup communities. Yarl Geek Challenge is a youth-focused competition, Startup Nation runs a national-level programme to identify, mentor, and fund MVP-stage ventures, Neo Ventures acts as a campus-to-market incubator, and Venture Engine serves as a mature acceleration platform that connects top fundable startups to capital, to name a few. Disrupt Asia, Sri Lanka’s premier startup conference and innovation festival, announced the launch of a $50M Fund of Funds.
Startups such as Fintech Kaiju Labs, Biotech Jendo Innovations, and Govtech Rootcode highlight Sri Lanka’s unique innovation, signaling increasing investor confidence through rising valuations and a growing track record of successful exits.
