An Echelon Media Company
Monday April 15th, 2024

Sri Lanka to lose only 10-pct arrivals to Easter blasts with rapid recovery

ECONOMYNEXT – Sri Lanka is expecting a 10 percent fall in tourists to 2.1 million in 2019, sharply lower than the 30 percent loss initially estimated, as security forces shut down a terror network quickly, travel advisories were lifted and hotels cut rates, officials said.

“We expect about 2.1 million tourists in 2019,” Sri Lanka Tourism Development Authority Chairman Johanne Jayaratne said in Colombo,

“By October we expect arrivals to reach last year’s level.”

Sri Lanka’s police and military shut down a terror network rapidly and Western governments and as wel as IIndia, the top generating markets, quickly removed travel advisories.

“Russia has still not lifted the travel advisory,” Amaratunga said. “I hope they will also relax it now as we have lifted the emergency law.”

Sri Lanka’s hotels also slashed prices helping make Sri Lanka more attractive and competitive with East Asia.

Amaratunga said hotels in Colombo, big, small and apartments were fully booked due to a convention involving a Bora religious dignitary which is drawing over 20,000 extra visitors.

Sri Lanka welcomed 2.33 million tourists in 2018, bringing revenues of 4.4 billion US dollars and officials estimated a loss of 30 percent in arrivals and 1.5 billion US dollars in revenues after Easter Sunday blasts.

Jayaratne is now forecasting revenues of at least 3.5 billion US dollars which is a 20 percent fall.

The revenue loss is bigger than the arrival loss partly due to discounts.

Sri Lanka’s tourism sector growth was held back by minimum prices in Colombo, set by a politically influential lobby, which compared unfavourably with East Asian capitals, where service levels were higher and there were more activities for tourists. (Colombo/Aug28/2019)

Leave a Comment

Your email address will not be published. Required fields are marked *

Leave a Comment

Leave a Comment

Cancel reply

Your email address will not be published. Required fields are marked *

Sri Lanka to discuss two contentious points with bondholders: report

ECONOMYNEXT – Sri Lanka and sovereign bondholders are to discuss two matters in the near future which the two sides failed to reach agreement at March talks in London, a media report quoting a top aide to President Wickremesinghe as saying.

Sri Lanka and bondholders had discussed four matters on restructuring international sovereign bonds in late March and agreement had been reached on two, President’s Chief of Staff Sagala Ratnayake was quoted as saying on state-run ITN television.

A restructuring proposal by bondholders was not in line with IMF requirements, and Sri Lanka had sent a counter proposal, he said.

The matters will be discussed at round of talks in the near future.

Sri Lanka was optimistic of reaching an agreement with the bondholders before June, officials have said.

According to matters already in the public domain, sovereign bond holders are keen to get a bond tied to dollar gross domestic product, as they feel IMF growth projections are too low.

In past re-structuring so-called value recovery instruments, a type of warrant, gave their owners extra payments if a country did better than expected and were tied to items like oil prices.

Bondholders had initially proposed bond which would have a lower hair cut initially, and it will have additional hair cuts if growth is low (about 3.1 percent) as projected in an IMF debt sustainability analysis. (Colombo/Apr15/2024)

Continue Reading

BIMSTEC Secretary General visits Sri Lanka, discusses regional cooperation

ECONOMYNEXT – The Secretary General of the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC), discussed measures to enhance regional cooperation, during his visit to the island last week.

Ambassador Indra Mani Pandey, Secretary General of BIMSTEC visited Sri Lanka from 07 – 12 April 2024, following his assumption of office as Secretary General of BIMSTEC in January this year.

The Secretary General “met with senior officials of relevant Ministries/Agencies to discuss measures to enhance regional cooperation under various BIMSTEC initiatives,” the Foreign Ministry said in a statement.

Several BIMSTEC countries have bilateral trade agreements, such as Sri Lanka and India, Thailand and Myanmar, Sri Lanka and Thailand, but no collective regional agreement to enable intra-regional leverage.

During the visit, Secretary General Pandey held discussions with Ministry of Foreign Affairs officials and paid courtesy calls on the President and the Minister of Foreign Affairs.

Secretary General Pandey participated at an event on “Regional Cooperation through BIMSTEC” organized by the Lakshman Kadirgamar Institute (LKI) on 9 April. (Colombo/April15/2024)

Continue Reading

Sri Lanka rupee closes weaker at 299.00/10 to the US dollar

ECONOMYNEXT – Sri Lanka’s rupee closed at 299.00/10 to the US dollar in the spot forex market on Monday, from 298.50/55 on Wednesday, dealers said, while bond yields were broadly steady.

A bond maturing on 15.12.2026 closed stable at 11.30/35 percent.

A bond maturing on 15.09.2027 closed stable at 11.90/12.00 percent.

A bond maturing on 15.12.2028 closed at 12.10/20 percent up from 12.10/15 percent.

A bond maturing on 15.09.2029 closed stable at 12.20/40 percent. (Colombo/Apr15/2024)

Continue Reading