Under Section 17.10 of the Telecommunications Act, as amended in 2024, the Commission shall have the authority to issue directions to any operator to whom a licence has been issued, requiring the sharing of any infrastructure owned or used by such operator with another operator specified by the Commission. The Act’s definition of infrastructure includes passive infrastructure.
Section 7 of the Telecommunications Infrastructure Sharing Regulations released in 2024 states that these Regulations establish an infrastructure sharing regime that enables the sharing of applicable telecommunications infrastructure among the requesting operators, sharing operators, and owning operators.

The government holds an equity stake in a telecommunications company, with the Secretary to the Treasury possessing 50.2% of the issued share capital of Sri Lanka Telecom PLC as 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 with the objective of remedying 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.

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 are offered in competition 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 Manual clarifies that domestic preference for goods is granted based on local value addition, rather than the nationality of the bidder or manufacturer. Specifically, to qualify, the goods must contain at least 30% local content in the EXW (ex-works) price—comprising local labour, raw materials, or components—as defined in Section 5.15 of the Manual. Bidders must be registered under the Companies Act No. 7 of 2007 and are required to submit an affidavit and certified audited financial statements demonstrating the local value addition. The applicable margin of preference is 20% for contracts funded by the Government of Sri Lanka, while for contracts financed by Foreign Funded Agencies, the margin is determined in accordance with the relevant loan or credit agreement. The preference is implemented by adding the specified percentage to the evaluated bid price of non-qualifying bidders for comparison purposes only; the final contract award price remains unchanged.

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.

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 2023.

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 may be undertaken by foreigners. 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% ownership, however the term "mass communications" is not defined.

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.

It is reported that a shortage of personnel at the National Intellectual Property Office (NIPO) has led to a significant backlog in the processing of patent applications. This staffing inadequacy is reported as the principal factor contributing to delays in application processing.

Sri Lanka is not a signatory of the 1996 World Trade Organization (WTO) Information Technology Agreement (ITA) nor the 2015 expansion (ITA II).

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 in the presence of limited local capacity or competition, as well as in cases involving complex procurements 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.

Chapter V of "Decree-Law No. 15/2012 of 28 March 2012 on the Regulation of the Telecommunications Sector" mandates that any natural or legal person intending to provide telecommunications services must first register with the National Communications Authority. In accordance with Annex A of the "ANC Guidelines on Registration", telecommunications services includes cross-border services that either originate in or terminate within the territory of Timor-Leste. This scope explicitly encompasses value-added network application services, which, pursuant to Schedule 58, include electronic transaction services such as e-commerce. In addition, a registrant is required to deliver such services via a service node located within Timor-Leste or through a local access node that is interconnected with the public telecommunications network.

It is reported that the Central Bank has imposed regulatory limits on the Mosan and T-Pay systems, both of which are providers of e-wallet services. Specifically, for the Mosan system, there is an upper limit of USD 500 for the maximum account balance, alongside a daily deposit cap of USD 300. In the case of the T-Pay system, the maximum permissible transaction value is USD 300 per day, with a maximum account balance limited to USD 300.

It is reported that goods imported into Timor-Leste are exempt from import duties if the amount of duty that would otherwise be payable does not exceed USD 10. Given that the country applies a flat rate of 5% tariffs to all products, it can be inferred that the de minimis threshold—defined as the minimum value of goods below which customs duties are not levied—is set at USD 200. This is the threshold recommended by the International Chamber of Commerce (ICC).