US Ambassador Eric Meyer has warned that unpredictable policies and regulations remain the biggest obstacle to attracting foreign capital to Sri Lanka, despite the country’s economic progress.

According to Daily FT, Meyer made the remarks at the 10th Annual General Meeting of the Sri Lanka–USA Business Council on 14 October, calling for greater transparency, stronger intellectual property protection and fair competition.

He said abrupt policy changes and the reversal of projects discouraged investors from committing funds to long term ventures. A stable regulatory environment, he stressed, would help strengthen confidence among American businesses considering opportunities in Sri Lanka.

Meyer reaffirmed the United States’ commitment to developing bilateral commercial relations and working with the private sector to overcome investment barriers.

He revealed that the US Embassy had secured funding to bring American technical expertise to support the modernisation of Sri Lanka’s ports, energy and advanced technology sectors. He also highlighted opportunities for cooperation in infrastructure and logistics.

Encouraging investment in both directions, Meyer urged Sri Lankan companies to explore the American market and participate in the forthcoming SelectUSA Investment Summit.

The Ambassador praised the Council’s advocacy on regulatory improvements and intellectual property rights, urging business leaders to turn ongoing discussions into practical reforms.

He thanked outgoing President Tilak Gunawardana and the leadership board, while congratulating the newly elected office bearers as the Council marked its tenth anniversary.

Meyer expressed confidence that closer cooperation and a more predictable investment climate would create opportunities for businesses in both countries to expand their operations.