The Tourist Industry in Sri Lanaka.

Tourism currently ranks fourth after garments, remittances form foreign employment and tea in terms of foreign exchange earning to Sri Lanaka. The country 's annual earnings form tourism in the year 1999 amounted to approximately Rs. 19 billion. The financial year 1999/2000 was a record year for tourist arrivals with a growth of approximately 8.2%  .  This growth was achieved despite the spate of bomb attacks during the culmination of the Presidential Elections in December and sporadic attacks thereafter, resulting in a reduction in arrivals during the months of December and January.

Arrivals form Western Europe representing 63% of the total arrivals to Sri Lanaka increased by 7.4%. The united Kindom was the main contributor with 19% of overall arrivals while Germany followed with 17% contribution to the total European arrivals. There was a 36% growth in the tourist arrivals form the Australian market mainly due to the introduction of Sri Lankan Airlines flights direct to Australia. Arrivals form East Asian and South Asian markets also grew substantially during the period.

Despite the lull in December and January it was noteworthy that arrivals during February and March improved significantly and quickly. Increased competition form countries within the South Asian region and also destinations as far away as South America and Africa have exerted pressure on the industry, particularly with regard to pricing.

The present day tourists carry higher expectations of infrastructure services at their destinations such as better quality roads, communication, airport and transport facilities. Security and privacy of tourists on the beaches and tourist site also play an important role in the decision of a holiday destination by travellers. The support of the Government is required to meet these needs which are presently a setback to promote Sri Lanaka as ideal tourist destination. Nevertheless, the company is pleased to note that an initiative has been taken by the Tourist Hotels Association, Travel Agents Association and the Association of Group Tour Agencies to work closely with the Ceylon Tourist Board, the Tourism Ministry and the Government in addressing these urgent issues, and improving the competitiveness of the country and the image of the destination in our major global markets. The Government is planning to promote Sri Lanaka in some of the principal markets together with active private sector participation. This has been a long felt need and the tourist industry should derive positive results form this exercise.