News & market updates

Radisson Hotels Sri Lanka has deployed a purpose-built electric van fleet from Evolution Auto (King Long and KYC models) across properties in Colombo, Galle and Kandy for staff transport, property mobility and internal logistics to support sustainability and operational efficiency.

LankaPay, the SLTDA and Alipay+ signed an MoU to promote Sri Lanka tourism and enable cross-border LankaQR payments via Alipay+'s network reaching over 1.8 billion user accounts. The initiative offers targeted promotions to APAC travellers, aims to boost tourist spending and help SMEs adopt digital payments.

ADB projects Sri Lanka's growth will slow to 4.0% in 2026 from 5% last year, and warned a prolonged Middle East conflict could cut 0.5–0.8 percentage points from 2026 growth. It said lower tourism revenues, higher energy and fertilizer import costs and possible remittance weakness could also add 3–5 percentage points to projected 5.2% inflation.

ADB forecasts Sri Lanka's GDP to moderate to 4.0% in 2026 and 4.2% in 2027, with inflation set to rise to 5.2% largely due to the Middle East conflict. The economy remained resilient in 2025 with strong private consumption, record remittances, a primary surplus and higher reserves, but higher energy costs and weaker tourism/trade pose risks.

Tourist arrivals to Sri Lanka fell 22% YoY to 39,627 in the first eight days of April as the Middle East conflict disrupted air travel; cumulative arrivals remain marginally up 1% YTD at 780,261 by 8 April.

CeylonEat.com launched a digital platform integrating online reservations, instant payments and digital dining vouchers for premium hotels and restaurants in Sri Lanka, offering vendor dashboards and targeted promotions to reduce no-shows and boost revenue.

The IMF and Sri Lankan authorities reached a staff-level agreement on the combined 5th and 6th reviews of the EFF that, if approved by the Executive Board, would unlock about US$700m, conditional on restoring cost‑recovery fuel and electricity pricing, financing assurances and debt restructuring. The IMF also urged rebuilding reserves with exchange‑rate flexibility, fiscal and revenue reforms, stronger social safety nets, and progress on NPLs and governance reforms.

IMF staff and Sri Lankan authorities reached staff-level agreement on the combined Fifth and Sixth Reviews of the EFF, which, if approved by the IMF Executive Board, would unlock about US$700 million in financing. Approval is contingent on restoring cost‑recovery fuel and electricity pricing and completing financing assurances and debt restructuring.

Sri Lanka's recovery from Cyclone Ditwah has slowed, with more than 149,000 people still displaced and $23.4m pledged of the $35.3m required for the humanitarian plan. OCHA warns rising fuel and energy costs, supply-chain disruptions, heat-reduced hydro output and funding gaps risk food security, livelihoods, tourism and resettlement.

Cinnamon Bentota Beach (John Keells Hotels) held a 'Jaffna Night' on 31 March, launching a 'Jaffna Culinary Journey' video series and a Jaffna Food Festival to showcase Northern Sri Lanka's cuisine and culture. The event aimed to bring authentic Jaffna flavours and experiences to resort guests.

SriLankan Airlines warns of an escalation in impersonation scams via phone and WhatsApp, telling customers not to share OTPs, PINs, credit card details or install apps and to verify communications through its official website or verified social channels.

Cabinet approved relocating the High Court and Magistrate’s Court from Galle Fort to a new judicial complex in Beligaha, handing vacated heritage buildings to the Urban Development Authority for PPP-led tourism redevelopment under the Galle Purnajeewana Project. The move aims to ease congestion, improve accessibility and revitalise underutilised spaces to boost heritage tourism.

Sentido Heritance Negombo (Aitken Spence Hotel Holdings) marks its 10th anniversary with the 'Decade One' campaign. Opened in April 2016, the beachfront hotel highlights LEED and five-star credentials, Travelife Gold, a 5% reduction in CO2 per room night in 2025, community programmes and a new restaurant.

City of Dreams Sri Lanka will host "Signature Avurudu", a four-day Sinhala and Tamil New Year cultural celebration from 11–14 April 2026 featuring traditional performances, a Pahan Pujava lamp ceremony, and Avurudu-themed food and beverages.

Uber Eats has launched in Nuwara Eliya, enabling local restaurants to reach more customers and offering late-evening deliveries using temperature-controlled insulated bags to keep meals hot.

Colombo bourse opened mixed: ASPI rose 0.04% to 21,126.60 while the S&P SL20 fell 0.24%; market turnover exceeded Rs. 3bn and foreign investors were net sellers of Rs. 804.7m. Food & beverage and capital goods led turnover with heavy crossings in Melstacorp.

Malaysia Airlines is expanding its East Asia network—adding Shenzhen and Changsha, resuming Fukuoka—and will increase flight frequencies to Colombo. Ticket sales start today and the new China services (bringing the network to nine gateways) begin between July and September 2026.

John Keells Foundation and City of Dreams Sri Lanka completed auditions and selected a local cast for the West End–licensed musical La Bamba – Song of Veracruz, with performances set for 24–28 April at The Forum, City of Dreams. Tickets are available via Cinnamon Box Office with a 10% early-bird discount for Nations Trust Bank American Express and Mastercard holders.

BOI held a full-day FDI promotion session with a 15-member Malaysian delegation to showcase ready projects, land and infrastructure for immediate investment, drawing interest in ICT/data centers, solar renewable energy, manufacturing, FMCG, agri-processing and tourism.

The World Bank Group and the Government of Sri Lanka launched a five-year Country Partnership Framework mobilizing more than $1 billion in IFC investment and up to $1 billion in low-interest World Bank financing to support private-sector-led job creation and growth. The program targets easier business rules, port and energy infrastructure (70% renewables by 2030, +1 GW), tourism and agriculture support, and a first $100m REVIVE project to create about 3,000 jobs in the Northern and Eastern provi

Sri Lanka and the World Bank Group launched a five-year Country Partnership Framework mobilising over $1bn in IFC investment and up to $1bn in low-interest World Bank financing, with a first approved $100m REVIVE project for the Northern and Eastern Provinces. The plan targets easier business rules, Port of Colombo expansion, 1 GW of new clean power by 2030, tourism and agriculture job creation, and climate resilience.

Sri Lanka tourist arrivals fell 20% YoY to 183,979 in March (YTD arrivals +2.5% to 740,634). The decline was driven by Middle East war-related air travel disruptions; the Cabinet approved a free tourist visa for 39 countries to help stimulate demand.

Solo Sri Lankan was named among Tripadvisor Travellers’ Choice Awards 2025 winners, placing in the top 10% of listings worldwide based on traveller reviews. The recognition is expected to strengthen the company's standing in Sri Lanka's tourism industry.

LankaPay partnered with Weixin Pay to enable cross-border Weixin Pay QR acceptance at over 400,000 LANKAQR merchants in Sri Lanka, launched 24 March 2026. The integration aims to ease payments for Chinese tourists and boost digital payment adoption among local merchants, supporting tourism growth.

The IEA, IMF and World Bank have formed a coordination group to align analysis and mobilize support for countries hit by the Middle East war's energy and economic shocks, prioritizing low-income energy importers and assessing energy prices, trade flows, inflation and financing needs. The group may provide targeted policy advice, concessional financing and risk-mitigation tools.

LVIA, a subsidiary of Nyne Hotels, is rolling out an integrated sales, reservations and e-commerce platform to help Sri Lanka's boutique hotels, villas and bungalows boost visibility and revenue while simplifying commercial operations.

Russell Peters performed to a packed audience at Cinnamon Life at City of Dreams, Colombo, as part of his 'Relax' World Tour, delivering about an hour of comedy. The show was powered by Australian Migration Consultants (Ceilao Group) and presented by Home Lands, with Wijeya Newspapers as print partner.

Agoda has included Sri Lanka’s Yala National Park in its list of top jungle safari destinations in Asia, highlighting the park’s high leopard density and distinctive coastal safari landscapes.

Seylan Bank PLC launched an Avurudu campaign for Seylan Credit and Debit Cards with 300+ merchant partners, offering discounts, dining offers and 0% easy payment plans up to 36 months for transactions of Rs.100,000–3,000,000 (14 Mar–15 Apr 2026).

The Cabinet approved compensating fuel importers up to Rs.20/litre for 92 Octane petrol and up to Rs.100/litre for diesel, with Rs.20 billion allocated for the measure. It also froze fuel allowances for ministers, MPs and public officials at March 1, 2026 rates and said retail prices are expected to remain unchanged through April unless global prices rise sharply.