Sri Lanka Tourism: Chicken and egg situation

For the 3^rd time this year, the Sri Lanka Tourism Development Authority (SLTDA) has revised its tourism arrival projections for 2022. However, in this instance, they have come out with dual targets based on two scenarios.

SLTDA Director General Dhammika Wijesinghe stated “We have considered two scenarios and developed our projections accordingly. The first scenario is if the current situation prevails, whereupon the anticipated tourist arrival for the year 2022 is 650,000. The second scenario is if the situation improves, whereupon the projected tourist arrivals for the year 2022 will be around 850, 000.” 

She further added that if Sri Lanka had a good winter season, tourist arrivals in 2022 may reach one million. However, she admitted that such a development would rely heavily upon the improvement of the current unfavorable conditions in the country. 

To summarize;

1. Total arrivals by end 2022 if the current prevailing situation continues; 650,000. Upto May 2022, the actual total arrivals totals 378,521. The prediction is for another 271,479 anticipated total arrivals between the remainder of the seven months (June – Dec) in the year.
2. Total arrivals by end 2022 if the current situation improves; 850,000. The prediction is for another 471,479 anticipated total arrivals between the remainder of the seven months in the year.
3. Total arrivals by end 2022 should the current situation further improves;1 Million. The prediction is based on Sri Lanka benefiting s from a good winter season with another 621,479 anticipated total arrivals between the remainder of the seven months in the year. 

Meanwhile, the Ministry of Tourism is in discussion with the Aviation Ministry to seek a reduction in the ground handling charges in the hope that it would reduce the total airfare and attract tourists – particularly from the identified targeted countries by the Ministry of Tourism, namely, India, Russia and certain Middle Eastern nations.

The UK softening its travel advisory on 10^th June by no longer advising against non-essential travel to Sri Lanka is an encouraging sign. However, it cautions travelers from the UK to expect shortages and queues for fuel, gas and medicines, including difficulties in obtaining taxis and public transport – not least of all the daily power cuts to electricity rationing.

The former secretary to the Ministry of Tourism likened the situation to the chicken and egg theory by stating that “If we bring more tourists, we can get more foreign exchange to import essential goods, but until electricity, fuel, and gas are sorted out they will not come. It is very difficult to reach the target (of 1.1 million arrivals set in April and since revised) for 2022.” 

Hospitality Sri Lanka

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