Sri Lanka which was at one time ranked around 100 in a ease of doing business indicator compiled by International Finance Corporation and World Bank has improved its place to 81.
"At the next assessment we will probably be able to reach 70th rank," Cabraal told a visiting delegation of Israeli businessmen.
"The President has given a challenging goal of developing our ranking to 30th by 2016."
Cabraal said at the same time macro-economic fundamentals were also being improved to the levels of advanced nations, which will help any Israeli businesses that was planning to set up shop here or engage in trade.
"We are very particular that Sri Lanka's macro fundamentals are also maintained at levels advanced nations are looking to have," he said.
"Sri Lanka has benign inflation, our interest rates, our interest rates are moderate, we have a stable banking environment."
Sri Lanka's central bank has it will target a mid-single digit inflation from next year but interest rates are still at double digit levels.
Developed countries have low single-digit inflation of less than 3 percent.
Analysts have said Sri Lanka's high rates come partly from a wide budget deficit but also due to a soft-pegged exchange rate system which is prone to high inflation and balance of payments troubles due to contradictory international and domestic operations.