Economy

Tourism industry hit by immigration delays and inefficiencies

Published

2 years ago

September 2, 2024

Sri Lanka’s tourism industry is facing severe setbacks due to prolonged delays and inefficiencies at the country’s main airport, Bandaranaike International Airport (BIA).

Reports of long-queues, slow moving lines for visa on arrival, and indifferent service by immigration officers have marred the experience for tourists and returning Sri Lankans alike, resulting in a significant drop in daily arrivals and substantial economic impact.

According to the Sri Lanka Tourism Development Authority (SLTDA), daily arrivals have dropped drastically from around 6,000 visitors to 2,000 since 18 August.

Industry feedback suggests that the country may have lost around 40,000 potential tourists in August alone, reflecting an estimated economic loss of $ 120 million.

Despite these alarming figures, there has been little response from the authorities responsible for immigration.

“We have repeatedly been trying to engage with the Department of Immigration and Emigration Controller General for over a week without success,” a top official of Sri Lanka Tourism told the Daily FT.

He said that Sri Lanka Tourism has been lobbying alongside the Tourism Ministry to address these issues, including the simple step of increasing the number of counters for on-arrival visas. Yet, these efforts have been met with silence.

The situation has sparked criticism from industry stakeholders and travellers. Complaints highlight the stark contrast between the warm welcome Sri Lanka promises and the cold, apathetic reality encountered at its main airport.

These issues have raised concerns about the commitment of immigration services to supporting the tourism industry, a vital foreign exchange generating industry to the economy.

Industry stakeholders claimed that the silence from officials and the lack of concrete actions to improve the situation only add to the frustration.

“The inefficiencies at the BIA are not only deterring tourists, but also tarnishing the image of Sri Lanka as a welcoming destination. Immediate reforms are crucial to streamline the visa, immigration process to show a genuine commitment to reviving the tourism industry,” industry stakeholders pointed out.

Source – DailyFT

Economy

Vehicle imports generate Rs. 512.5 billion in tax revenue

Published

1 day ago

September 8, 2026

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Sri Lanka imported 316,000 vehicles during the first six months of 2026, generating Rs. 512.547 billion in tax revenue, according to officials from Sri Lanka Customs.

The figures were revealed during a review of the operations and revenue performance of Sri Lanka Customs by the Parliamentary Committee on Ways and Means.

Of the total tax revenue generated through vehicle imports, motor vehicles imports accounted for the largest share, contributing Rs. 386.726 billion.

Petrol-powered cars with engine capacities below 1,000cc emerged as the highest revenue-generating category, contributing Rs. 137.4 billion in Customs revenue. This represented 9.96% of total Customs revenue.

Meanwhile, Sri Lanka Customs recorded total revenue of Rs. 1.379 trillion by June 30, 2026, against an expected revenue of Rs. 1.061 trillion for the period, representing 130% of the targeted revenue.

Officials informed the committee that customs revenue had exceeded monthly targets throughout the year and had recorded higher revenue compared with the corresponding months of 2025.

Economy

Rs. 5.8bn World Bank-backed project to rehabilitate 296 irrigation tanks

Published

3 days ago

September 6, 2026

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Sri Lanka has begun rehabilitating 296 minor irrigation tanks under a World Bank-funded programme aimed at strengthening irrigation infrastructure and improving climate resilience.

More than Rs. 5.8 billion has been allocated for the work under the Integrated Rurban Development and Climate Resilience Project (IRDCRP), which is planned to continue until 2029.

Of the 296 tanks, 290 are located across 18 districts and were damaged by Cyclone Ditwah. About Rs. 5.58 billion has been allocated for their rehabilitation under the project’s Contingent Emergency Response Component.

The largest number of affected tanks is in Badulla, where 97 are being rehabilitated, followed by Ratnapura with 29, Mannar with 24 and Kurunegala with 19. Fifteen tanks each are being rehabilitated in Kandy and Vavuniya.

A further six minor irrigation tanks in Polonnaruwa, Hambantota and Jaffna are also being rehabilitated at a cost of about Rs. 256.2 million.

Economy

Sri Lanka exports to India grow 7.2% to USD 669mn in first seven months

Published

5 days ago

September 4, 2026

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Sri Lanka’s merchandise exports to India increased by 7.22% year-on-year during the first seven months of 2026, reaching US$669.36 million, according to data from the Export Development Board (EDB).

Exports to India during the January-July period rose from US$624.31 million recorded during the corresponding period of 2025.

In July alone, exports to India increased by 9.12% year-on-year to US$129.51 million, compared with US$118.69 million in July 2025.

The EDB said the cumulative growth in exports to India was mainly supported by increased shipments of boilers, piston engines, pumps and vacuum pumps, petroleum oils, animal feed and base metal products.

The growth also came amid a broader expansion in Sri Lanka’s exports to the South Asian region.

Exports to South Asian markets increased by 11.98% year-on-year to US$916.55 million during the January-July 2026 period.