Colombo, Jul 30 (IANS): Sri Lanka's cabinet has decided to amend the Colombo Port City Economic Commission Act in efforts to enhance Colombo Port City's position as a globally competitive special economic zone, a press statement from the Department of Government Information said on Tuesday.

In announcing the cabinet decision on Monday, the information department said the amendments are expected to remove existing obstacles to business operations there.

The amendments are proposed by President Ranil Wickremesinghe in his capacity as the Minister of Investment Promotion, said the statement, Xinhua news agency reported.

The Colombo Port City is being established as a service-oriented special economic zone on 269 hectares of land reclaimed from the ocean.

The Colombo Port City has great potential to facilitate the economic transformation Sri Lanka seeks, the South Asian country's central bank Governor Nandalal Weerasinghe said in December last year.

International accounting agencies have estimated that the Port City would attract 15 billion U.S. dollars in investments, said Weerasinghe.