In the recent past Sri Lanka has not targeted FDIs into right sectors with a clear focus. With high energy cost and lack of work force, Sri Lanka has no comparative advantage for large scale manufacturing industries. Considering the Geographical advantages and the quality of available work force the country has advantages immediately to promote FDIs into services including Health, Higher Education, ICT , logistics and Port related services for International Trade. Agriculture Value addition is the most wanted manufacturing sector that should be promoted through domestic investments and small scale FDIs. Industrial manufacturing would be only sustainable if the country can develop infrastructure for adequate renewable energy generation using natural resources such as solar, wind and sea waves.