News & market updates

Sun Siyam Pasikudah hosted 24 Miss Polski 2026 finalists and a 45-member production crew for an exclusive photoshoot on Sri Lanka's East Coast as part of a Sri Lanka Tourism–organised pre-final tour, showcasing the resort and region to Polish media.

The Sri Lanka Institute of Directors will host the Sri Lanka Corporate Director Summit 2026 on 22 July at Cinnamon Grand Colombo focused on governance, reputation and sustainable leadership. Keynote speaker Vivek Sharma will discuss reputation risk and panels include Nestlé Lanka's MD and Commercial Bank of Ceylon Chairman Sharhan Muhseen.

Sri Lanka launched the "Buddha Wandana" Buddhist Trail tour package on 16 July to attract pilgrims from Viet Nam ahead of direct flights starting 18 August 2026. The government-backed initiative aims to boost rural tourism, support local SMEs and deepen cultural tourism links with Viet Nam.

KPMG says Sri Lanka's credit rebound faces a major test after the Central Bank raised the policy rate by 100 basis points to 8.75%, a move expected to moderate private-sector credit growth. Lower fuel and vehicle imports, resilient remittances and stronger tax revenue are seen supporting a return to a current-account surplus and fiscal consolidation.

Sri Lanka welcomed 9,122 tourists in the first 15 days of July 2026, bringing cumulative 2026 arrivals to over 1.23 million (YTD arrivals 2% below last year). India remained the top source market with 314,163 visitors year-to-date.

Nojili Group CEO L.A.D. Palitha completed a business development visit to Myanmar (11–17 June 2026) to explore collaboration in gemstones, jewellery, tourism and investment. Meetings in Yangon and participation in the UMTA Travel Fair focused on eco-, cultural- and heritage-tourism and trade partnerships.

Sri Lanka's High Commissioner and the Federation of Malaysian Sri Lankan Organisations agreed to strengthen engagement to promote tourism and investment, exploring direct Malaysia–Northern Province air links and projects including hotels, golf, leisure and theme-park developments.

FACETS Sri Lanka 2027, the 34th annual international gem and jewellery exhibition, will be held 4–6 January in Colombo and will bring over 100 exhibitors and buyers from the USA, Europe, the Middle East, India, China and other markets. Organisers say the event aims to boost SME exporters, sustainable sourcing and market access for Sri Lankan gem and jewellery businesses.

Western Province cut entertainment tax rates for cinemas, sports and concerts in the Colombo Municipal Council area — cinema admissions cut to 7% from 10%, international sporting events to 14% from 15%, and foreign-artist concerts to 10% from 15%. A 5% concessional rate and exemptions for certain charity/veteran-artist events are retained.

FACETS Sri Lanka 2027, organised by the Sri Lanka Gem & Jewellery Association, will be held 4–6 Jan 2027 at Cinnamon Life and will bring together over 100 exhibitors and international buyers to Colombo.

The George Keyt Foundation and the British High Commission will present "19th Century Views of Ceylon" at Westminster House from July 30 to Aug 1, 2026; British Airways is the primary partner and Nations Trust Bank is a supporting sponsor.

Sri Lanka's services PMI rose to 58.5 in June 2026 (from 56.9 in May), with growth driven by financial and professional services and gains in insurance. Employment and new business increased and firms expect stronger activity into the next quarter aided by tourism, though global uncertainties remain a risk.

Port City Colombo, a $15 billion SEZ, is placing India at the centre of its growth plan and aims to double annual Indian tourist arrivals to about 1.2 million by 2030. The development will add new attractions, convention facilities, duty-free retail and target Indian IT/GCCs as business tenants.

Colombo Municipal Council cut the Entertainment Tax — including local concerts from 12% to 7% — under the CMC's 2026 budget (Gazette issued) to support the creative industry. The mayor urged event organisers to pass savings to consumers by lowering ticket prices.

PMI: Manufacturing at 53.0 and Services at 58.5 in June 2026, indicating continued expansion in both sectors. Manufacturing growth slowed with production led by food & beverages and firms citing labour shortages and longer supplier delivery times; services expansion was driven by financial/professional services and insurance, with tourism expected to boost activity.

THASL CEO Priantha Fernando urges Sri Lanka to pivot from mass tourism to high-value experiential travel—targeting India and China—and backs a revised 2026 target of about 2.5 million arrivals and $3.5 billion in earnings. He calls for stronger destination marketing, MICE/wellness/sports focus, digital integration and restored airline capacity.

Vietjet Air held high-level talks with the Civil Aviation Authority of Sri Lanka to prepare for the airline's upcoming launch and to strengthen aviation connectivity between Sri Lanka and Vietnam.

Sri Lanka's Manufacturing PMI was 53 in June and the Services PMI 58.5, indicating continued expansion while manufacturing slowed from May; outlook for both sectors remains positive but downside risks persist from the Middle East conflict and global uncertainties.

Bandaranaike International Airport handled 4,748,481 passenger movements in the first six months of 2026. The airport also recorded 30,659 aircraft movements, 424,856 transit passengers and 1.14 million tourist arrivals (down 1.8% year‑on‑year).

Citrus Leisure (REEF.N0000) has partnered with RateGain to deploy the UNO Direct Stack across its hotel portfolio to boost direct bookings, improve conversion and increase direct revenue.

CAHM students won multiple top prizes at the 31st National Bartenders Competition and Dainties 2026, with Anurasi Chandrasoma winning the Hotel School Category and the Cocktail VTA and CAHM sweeping the top three places in the Cocktail VTA. Dishala Gunawardhana won the Mocktail VTA and students also placed in culinary categories.

BrandRadar (Roar Global) released "The State of AI Visibility in Sri Lanka 2026", a three-month study of 198 brands across six industries showing editorial authority and third-party citations strongly predict AI visibility. The report finds Toyota and BYD scored above 89 across platforms while some brands (e.g., Ceylinco General Insurance) show large visibility variance between AI systems.

MAC Hotels and Villas (a subsidiary of MAC Holdings Pvt Ltd) acquired Serene Pavilions and in January 2026 reopened it after refurbishment and rebranding as CLOVE Beach – Wadduwa, a 15-room luxury boutique hotel in Wadduwa.

Serendib Hotels PLC appointed banking veteran Janakan Selvaratnam as an Independent Director. He has 25 years at Citibank Sri Lanka, consults to Sampath Bank's Board Credit Committee, and serves on the boards of Eden Hotel Lanka and Palm Garden Hotels.

A three-night luxury destination wedding for 600 guests at Cinnamon Bentota Beach showcased Sri Lanka's capacity to host international high-end weddings. The event highlighted economic opportunities for hospitality, event production, catering, transport and other local service providers.

FitsAir renewed its partnership with the Lanka Premier League as the Official Airline Partner for the 2026 season. The tie-up is intended to support tourism by attracting international players, travelling fans and global broadcast audiences.

NÜWA at City of Dreams Sri Lanka celebrates its first anniversary and has been awarded a Five-Star Classification by the Sri Lanka Tourism Development Authority, marking the 113-room hotel as a flagship luxury property in Colombo.