The Cabinet of Ministers in Sri Lanka has given the green light to a proposal aimed at releasing underutilized lands and properties to investors for optimal development, according to Cabinet Spokesman Nalinda Jayatissa.

Sri Lanka has a significant amount of underutilized land, much of which is owned by the state or state-run enterprises such as plantations, railways, and agrarian boards. These lands remain underutilized due to a variety of reasons, including fragmentation into uneconomic smallholdings, insecure tenure, inadequate titles or documentation, absentee ownership, labor shortages, high input costs, lack of funding and equipment, marketing challenges, and bureaucratic obstacles to land release.

Currently, efforts are underway to dispose of underutilized lands and properties identified in the first stage of the Sri Lanka State Plantation Corporation, the Janatha State Development Board, and the Elkaduwa Plantation Company, Jayatissa stated. He further noted that other underutilized lands and properties, not included in the first stage, remain under the jurisdiction of these institutions.

As a result, the Cabinet has resolved to lease additional lands and properties to suitable investors for optimal utilization. This includes underutilized properties identified in the second stage, owned by the Sri Lanka State Plantation Corporation, the Janatha State Development Board, and the Elkaduwa Plantation Company.

Additionally, the release encompasses 40.48 hectares in the Mawarala Watte land and the tea factory located in the Matara District, both part of the Tea Shakthi Fund, as well as 1,541 hectares of underutilized land in the Kondachchi Estate, managed by the Sri Lanka Cashew Corporation.

(Colombo/January 13/2026)