Mihin Lanka, Selendiva Among 33 Loss-Making State Enterprises To Be Shut Down

by Zulfick Farzan 04-09-2025 | 5:34 PM

COLOMBO (News 1st); Approval has been granted by the Cabinet of Ministers to systematically wind down 33 state-owned enterprises that are currently non-operational, including Mihin Lanka, Selendiva, and Lanka Cement, under a two-phase process.

This decision follows the review of a Cabinet memorandum presented by the President.

Selendiva Investments, which was initially tasked by the Gotabaya Rajapaksa administration with attracting investors for high-value state-owned properties such as Hilton Colombo, Grand Hyatt, and Grand Oriental Hotel, had also proposed bringing the Ministry of Foreign Affairs building under its purview for potential investment.

Mihin Lanka, launched under the Mahinda Rajapaksa government, continued to incur losses and is now among the entities approved for closure.

The Expressway Transport Company, a subsidiary of the Road Development Authority that operated over 20 buses on expressways, is also included in the list of enterprises to be dissolved.

Additionally, Lanka Logistics, which operated under the Ministry of Defence and was responsible for the procurement of arms and defence equipment, has also been approved for closure.

Other entities on the closure list include:

Asian Games Pvt. Ltd.

Thuru Saviya Fund

Commonwealth Games Hambantota Pvt. Ltd.

Magampura Port Management Company

Technopark Development Company

Media Training Institute

and Lanka Cement, among others.

“Many of these enterprises were established with the intention of delivering public services or promoting strategic economic activities. However, due to their misalignment with current national priorities and market demands, as well as poor financial performance, they have become inactive. These institutions—ranging from statutory bodies to state-owned companies—no longer contribute meaningfully to the national economy or public service delivery. Maintaining them has become a financial burden to the state. Therefore, the government has identified closure as the most practical course of action,” said Cabinet Spokesperson Minister (Dr) Nalinda Jayatissa on Thursday (4).