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The Sri Lankan government has launched an agenda for vigorous growth title Regaining Sri Lanka. There the private sector is given a central role in driving the economic recovery. This review highlights that Sri Lanka has the potential to regain its past glory when its economic performance in 1965 had even surpassed the present day dynamic economies of East and South East Asia. It subsequently lagged behind while these economies accelerated fuelled mainly by high growth in investment. The review provides recommendations to increase the role of foreign and domestic investments to achieving long term in growth. The country will have to be proactive by providing a superb investment climate through regulatory and tax reforms and more effective investment generation through institutional reforms.