Sri Lanka is luring enough foreign capital to meet its growth targets even as the U.S. increases pressure on the country to address allegations of human rights violations, central bank Governor Ajith Nivard Cabraal said.

The U.S. has sponsored three United Nations resolutions in as many years, calling on Sri Lanka to address alleged violations of international law committed during its three-decade civil war. Cabraal, who wants to more than double Sri Lanka’s $67-billion economy by 2020, said that while pressure from human rights groups has put a “damper” on some investor interest, the country is still meeting its goals.

{module LOLC}

“We don’t think there is going to be any risk of these issues going to a level in which there can be major complications for the country,” Cabraal said in an interview yesterday at Bloomberg’s headquarters in New York. “It’s only a matter of time before that story will not have traction.”

American officials have criticized Sri Lanka for ordering civil society groups to stop speaking with the media and called on it to protect minorities after an outbreak of religious violence.

Sri Lanka’s economy will expand 7.8 percent this year, said Cabraal, who aims to increase gross domestic product to $150 billion by 2020. To reach that goal, the country needs to achieve 8 percent growth a year, fueled by investments amounting to 33 percent of GDP, with 5 percent of that coming from foreign investors, he said.

The Sri Lanka Colombo Stock Exchange All Share Index (CSEALL) has climbed more than 19 percent this year. It rose to the highest level since June 2011 yesterday. The country’s stocks, which have a total market value of $21.6 billion, are rallying as falling interest rates bolster corporate profits. (Bloomberg)