Tourist arrivals continue to increase

Sri Lanka has a growing tourism industry. Since gaining independence from the British in 1947, Sri Lanka has continued to attract foreign investors and tourists to the island. The country's important placement also enables it to attract transit visitors to the island.

Over the years, many beautiful resorts, hotels and spas have been opened. Incorporating the diverse culture of the country, the various tourist establishments offer visitors a unique, yet memorable experience to take along with.

The Ceylon Tourism Board was set up in 1966 and in 2005, under a new Act of Parliament, the Sri Lanka Tourism Development Authority (SLTDA) was formed. These institutes promote the tourism industry.

Tourism is a fast growing industry, but with the credit crunch in 2008, tourist figures dropped as people had less money to spend and companies are unable to expand rapidly.

There are a number of issues that tourism business needs to overcome.

The decrease in the strength of the Sterling Pound against the Euro means that for United Kingdom tourists the notion of going for a cheap holiday in Europe is disappearing. People are also becoming more aware of their carbon footprint and may want to decrease this by taking fewer flights.

Tourism expanded rapidly after 1966. The beach resorts were the main attractions while the ancient cities such as Anuradhapura, the historic city of Kandy and the mountainous region dominated by the tea plantations were the other attractions to visit.

Between 1976 and 1982, the number of tourist arrivals increased 24% per annum, rising to 407,230 before dropping to 337,342 in 1983. A large bulk of the tourists came from Western Europe. The civil conflict that started in July 1983 adversely affected tourism, with arrival figures reducing 43%, year-on-year (1982-3).

The number Total arrivals were 230,106 in 1986, down 43% from 1982. The Ceylon Tourist Board provided a range of concessions to the industry to help them survive the crisis. In 1987, the number o tourist arrivals declined 23% year-on-year (1986-7).

In the mid-1980s, the declining security situation began to have an increasingly negative impact on Sri Lanka's economy and in early 1988 economic prospects for the 1990s appeared to be linked in part to a resolution of the ethnic conflict.

The number of tourist arrivals in Sri Lanka increased to 1,527,153 in 2014 from 1,274,593 in 2013.

The number of tourist arrivals in Sri Lanka averaged 391,527 from 1970 until 2014, reaching an all time high of 1,527,153 in 2014 and a record low of 39,654 in 1971.

The number of tourist arrivals for January, 2015 was 156,246 (provisional).