Sri Lanka tourism receipts rise to Rs50bn in half year
ECONOMYNEXT – Sri Lanka’s estimated tourism receipts rose 19 percent from a year earlier to Rs50 billion in the first six month of 2016, with tourist arrivals also going up 16.2 percent, official data showed.
In rupee terms, estimated tourism receipts expanded 29.4 percent to Rs50.5 billion as the rupee collapsed over late 2015 after the Central Bank resisted interest rate increases with massive printing of money that drove credit and imports to unsustainable levels.
Interest rates have since been allowed to go up, after the rupee collapsed, in a familiar phenomenon analysts call ‘rawulath ne kendeth ne’.
In the six months to June 2016, tourist arrivals rose 16.2 percent to 964,267.
Since the end of civil war in 2009, Sri Lanka’s tourism sector has boomed with almost East Asian-style growth patterns driven by booking engines and small start-up properties, bringing broad-based benefits and employment.
Sri Lanka is expecting 2.2 million tourists this year. (Colombo/Aug17/2016 – Corrected headline Rs50bn)