Database

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SRI LANKA

Since November 2024, entry into force in January 2025
Since January 2025

Pillar Public procurement of ICT goods and online services  |  Indicator Exclusion from public procurement
Procurement Guidelines - 2024 on Goods, Works, and Non-Consulting Services

Public Procurement Manual 2024
Section 3.1.1 of the 2024 Procurement Guidelines on Goods, Works, and Non-Consulting Services, provides for a preference towards domestic procurement. In fact, International Competitive Bidding (ICB) is required only when the capacity of domestic contractors, suppliers, or service providers is limited (regardless of contract value), or when the applicable agreement with a Foreign Funding Agency explicitly mandates the use of ICB procedures. The 2024 Public Procurement Manual confirms that ICB is the required procurement method only when local capacity or competition is limited, or when complex procurements are undertaken for which the necessary technology or expertise is not available domestically. Notably, while the previous regime (as outlined in the 2006 Procurement Guidelines and Manual) established a monetary threshold of LKR 300 million (approx. USD 1 million) for the use of ICB, this threshold is no longer retained under the regulations.
Coverage Horizontal

SRI LANKA

Since July 2024

Pillar Telecom infrastructure & competition  |  Indicator Functional/accounting separation for operators with significant market power
Competition Rules of No. 01 of 2024
Pursuant to Section 11 of the Competition Rules, in instances where the telecommunications market is determined to lack effective competition, the Telecommunications Regulatory Commission of Sri Lanka (TRCSL) is mandated to identify entities possessing significant market power. Upon such identification, the Commission shall impose appropriate regulatory obligations on these entities to remedy the identified deficiencies in market competitiveness. In addition, the Commission will assess, on a case-by-case basis, the necessity of implementing accounting and functional separation measures, taking into account the specific circumstances and characteristics of each case.
Coverage Telecommunications sector

SRI LANKA

Since November 2024, entry into force in January 2025
Since January 2025

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Procurement Guidelines - 2024 on Goods, Works, and Non-Consulting Services

Public Procurement Manual 2024
Under Section 7.7.1 of the 2024 Procurement Guidelines, domestic preference may be applied in procurement processes conducted under either International Competitive Bidding (ICB) or National Competitive Bidding (NCB). This preference aims to promote national construction and manufacturing industries and may be granted when domestic contractors and/or locally manufactured or locally value-added goods and information systems compete with foreign contractors and imported goods. The Guidelines establish the overarching entitlement and conditions under which preference can be considered, but refer to the Procurement Manual for the operational criteria and procedures.
Section 7.7.1 of the Procurement Manual 2024 provides a margin of preference for domestically manufactured goods, including information systems products, where this preference is expressly stated in the bidding documents. To qualify, the goods must contain at least 30% local content in the ex-works price, consisting of local labour, raw materials, or components, as defined in Section 5.15 of the Manual. The bidder must be registered under the Companies Act No. 7 of 2007 and must submit an affidavit together with certified audited financial statements demonstrating the required level of local value addition. For contracts funded by the Government of Sri Lanka, the applicable margin of preference is 20%. For contracts financed by foreign funding agencies, the applicable margin is determined by the relevant loan or credit agreement. The preference is applied solely for bid evaluation purposes by adding the relevant percentage to the evaluated price of non-qualifying bids, and it does not affect the final contract price. The Manual does not establish an equivalent margin of preference for services generally.
Coverage Horizontal

SRI LANKA

Reported in 2022

Pillar Telecom infrastructure & competition  |  Indicator Licensing restrictions to operate in the telecom market
Reported statutory limits on telecommunications licensing
The licensing of the telecommunications sector is regulated under Part II of the Sri Lanka Telecommunications Act, No. 25 of 1991, as last amended in July 2024. The Telecommunications Regulatory Commission of Sri Lanka (TRCSL) considers applications on a case-by-case basis, taking into account the market dynamics, competition and other sectoral factors. No new telecom licenses have been issued in the last 10 years. It is reported that TRCSL has a documented history of failing to be transparent in its recommendations on the issuance of licences to telecommunications providers.
Coverage Telecommunications sector

SRI LANKA

Reported in 2017, last reported in 2025

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Lack of transparency in tenders
There is no public procurement law in Sri Lanka, and all government procurement is conducted in accordance with established guidelines and manuals. It is reported that the absence of a dedicated procurement law creates ambiguity within the legal framework and has contributed to elevated levels of political involvement in the selection of procurement awardees, inadequate contract management, limited transparency, and insufficient oversight of procurement processes and outcomes.
Foreign stakeholders have also noted that opaque procurement practices and the uneven enforcement of anti-corruption measures may distort competition in public tenders, creating disadvantages for firms committed to high compliance standards.
Coverage Horizontal

SRI LANKA

N/A

Pillar Public procurement of ICT goods and online services  |  Indicator Signatory of the WTO Agreement on Government Procurement (GPA) with coverage of the most relevant services sectors (CPC 752, 754, 84)
Lack of participation in the WTO Agreement on Government Procurement (GPA)
Sri Lanka is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA); however, it has held observer status since April 2003.
Coverage Horizontal

SRI LANKA

Since July 2017
Since February 2021

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Foreign Exchange Act, No. 12 of 2017

Foreign Exchange (Classes of Capital Transactions Undertaken in Sri Lanka by a Person Resident Outside Sri Lanka) Regulations No. 2 of 2021
Foreign investment in Sri Lanka is governed by the Foreign Exchange Act. The Foreign Exchange Regulations No. 2 of 2021, issued under this Act, specify the types of investments that foreigners may undertake. There are no limitations on foreign ownership in sectors relevant to digital trade. Section A.8 of Part I of the Schedule to the Regulations restricts foreign ownership in mass communications to 40%; however, the term "mass communications" is not defined.
Coverage Horizontal

SRI LANKA

Since November 2003, last amended in March 2022

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Intellectual Property Act, No. 36 of 2003
Pursuant to Section 71 of the Intellectual Property Act, where an applicant for the grant of a patent has neither an ordinary residence nor a principal place of business within Sri Lanka, such applicant must be represented by an agent domiciled in Sri Lanka. The name and address of the agent must be included in the application, which shall also be accompanied by a power of attorney duly executed in favour of the agent by the applicant.
Coverage Horizontal

SRI LANKA

Reported in 2024

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Reported delays in patent processing
It is reported that a shortage of personnel at the National Intellectual Property Office (NIPO) has led to a significant backlog in patent application processing. This staffing inadequacy is reported as the principal factor contributing to delays in application processing.
Coverage Horizontal
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ITA: [{"meta_value":"1.00"}]

SRI LANKA

ITA signatory? I II

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Effective tariff rate on ICT goods (applied weighted average)
Effective tariff rate to ICT goods (applied weighted average)
4.34%
Coverage rate of zero-tariffs on ICT goods (%)
63.99%
Coverage: ICT goods

SRI LANKA

N/A

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Participation in the WTO Information Technology Agreement (ITA) and 2015 expansion (ITA II)
Lack of participation in the Information Technology Agreement (ITA) and in ITA Expansion Agreement (ITA II)
Sri Lanka is not a signatory of the 1996 World Trade Organization (WTO) Information Technology Agreement (ITA) nor the 2015 expansion (ITA II).
Coverage ICT goods

PAPUA NEW GUINEA

Since March 2015

Pillar Technical standards applied to ICT goods and online services  |  Indicator Self-certification for product safety
Type Approval Guideline - TA100 G
Papua New Guinea permits self-certification of ICT equipment compliance, including, where relevant, radio transmission requirements and electromagnetic compatibility/interference (EMC/EMI), through a Supplier’s Declaration of Conformity (SDoC) submitted under NICTA’s type approval/registration framework. Under NICTA’s Type Approval Guideline (TA100 G), the SDoC is a written undertaking by the registered dealer that the apparatus complies with specified requirements and standards, and expressly indicates that the dealer has performed its own conformity assessment on the basis of independent test data or certification from the manufacturer or an accredited or internationally recognised test laboratory, applying standards recognised by NICTA.
The Guideline requires that type approval/registration applications be accompanied by an SDoC, together with any Declaration of Conformity (DoC) and supporting test reports or certificates (including EMC and EMR reports, where applicable). However, the detailed supporting documentation underpinning the SDoC is generally retained by the supplier and needs only to be provided to NICTA upon request.
Coverage Electronic products

PAPUA NEW GUINEA

Since November 1951, last amended in June 2010

Pillar Online sales and transactions  |  Indicator Threshold for ‘De Minimis’ rule
Customs Regulation 1951
According to Art. 21.4 of the Customs Regulation 1951, the de minimis threshold, that is the minimum value of goods below which customs do not charge duties, is PGK 250 (approx. USD 60). This threshold remains below the USD 200 threshold recommended by the International Chamber of Commerce (ICC).
Coverage Horizontal

PAPUA NEW GUINEA

Since May 2025

Pillar Online sales and transactions  |  Indicator Restrictions on domain names
Registrant Agreement PNGUoT
The ".pg" registry (administered by the Papua New Guinea University of Technology, PNGUoT) regulates registrations through registry instruments, including the ".pg" Acceptable Use Policy (AUP) and the Registrant Agreement. According to Section 4 of the Agreement, registrants must provide a set of information to PNGUoT or its registrar, including a valid address. It is reported that applicants must have a local representative or local presence in the country.
Coverage Horizontal

PAPUA NEW GUINEA

N/A

Pillar Online sales and transactions  |  Indicator Framework for consumer protection applicable to online commerce
Lack of comprehensive consumer protection law applicable to online commerce
Papua New Guinea lacks a comprehensive framework for consumer protection that applies to online transactions.
Coverage Horizontal

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