Tourism earnings hit over $ 330 m in first 2 months

A group of tourists in the city last week

 - Pic by Ruwan Walpola  

• February earnings at $ 169.9 m on top of $ 162 m in January
• Tourism Minister Harin Fernando aims to springboard from resilience to growth 2023 onwards
• Asserts pent-up demand for travel, global spotlight on destination SL has argued well for higher arrivals 
• Country welcomes over 100,000 arrivals in 2 consecutive months after 2019
• Russia leads as top source market, surpasses 50,000 arrivals YTD

By Charumini

 de Silva

The tourism industry has managed to rebound with earnings exceeding $ 330 million in tandem with the boost in arrivals in 2023.

The industry hit by multiple challenges post-Easter Sunday was the most vulnerable to COVID-pandemic and then to the adverse publicity of political and economic crises ‒ but it has proven again its resilience with a remarkable resurgence.

Tourism earnings in the first two months of 2023 were at $ 331.7 million reflecting a 3.3% increase from the corresponding period of last year, whilst February earnings stood at $ 169.9 million, as per the latest Central Bank data released.

“Our attempt is to springboard from resilience to become a more thriving industry by the end of this year,” Tourism Minister Harin Fernando told the Daily FT.

He expressed optimism about early indications of a significant recovery, whilst asserting that it was imperative to maintain the current momentum to achieve the set target of 1.55 million arrivals and over $ 2.88 billion in income in 2023. 

Minister Fernando said with the pent-up global travel demand after two-year hiatus post-pandemic and the continuous international spotlight on Sri Lanka for its attractiveness has augured well for boosted visitor numbers. 

“With Sri Lanka being listed among the destinations that are poised to benefit from Chinese tourists, I am confident the arrivals and earnings this year are going to be remarkable,” he said, adding that the country could easily achieve the set targets.

Sri Lanka lost over $ 10 billion in foreign exchange earnings, which generate over $ 4.3 billion annually, due to the pandemic during the past two years.

For the first time after 2019, Sri Lanka Tourism recorded over 100,000 tourist arrivals in two consecutive months of 2023.

After absorbing the brunt of many COVID waves in 2020 and 2021 and political instability and economic crisis in 2022, Sri Lanka’s tourism industry has made a strong comeback in 2023.

In February Sri Lanka welcomed a total of 107,639 tourists, pushing the cumulative figure to 210,184 in 2023 so far.

Boosted by Russian travellers, in February, a total of 107,639 tourists arrived in the country, propelling the cumulative figure to 210,184 continuing to lift up hopes for a good year.

“The credit of it should go to all stakeholders of the industry for all their tireless efforts,” Minister Fernando said.

As per data released by the Sri Lanka Tourism Development Authority, Russia leads as the top source market in February, reflecting 27% or 29,084 of total arrivals, followed by India with 13% or 13,714, the United Kingdom with 8% or 8,575, Germany with 7% or 7,930, and France with 6% or 6,118. 

In addition, tourists were also welcomed from Canada, Australia, the US, Israel and the Maldives.

The influx of Russians places it to remain strong as the top tourist source market for Sri Lanka YTD with a cumulative number of arrivals at 54,338, followed by India with 27,473, the UK with 17,058, Germany with 16,147 and France with 10,958.

Last week, a private-sector-driven new campaign was launched targeting young Indians to boost arrivals and earnings. 

The Tourism Minister pointed out that the negative publicity by Indian media remains a key reason why the arrivals from the neighbouring country have not picked up despite running several roadshows in September 2022.

“We are excited about 2023, as plans are underway to make Sri Lanka a year-round destination,” Fernando added.