A USD 77 million project will be launched to restore historic buildings in the Colombo Fort area and develop the location into a major tourism zone, President Anura Kumara Dissanayake announced in the 2027 Budget.
Presenting the Budget in Parliament today (12), the President said the initiative would be implemented with financial assistance from the World Bank, while preserving the historical and architectural significance of the buildings.
The Government also plans to develop Sri Lanka’s historic Dutch forts in Jaffna, Mannar, Kalpitiya and Batticaloa as tourism hubs through public-private partnerships (PPPs). An allocation of Rs. 240 million is expected to be made available for this purpose using underutilised funds of the Sri Lanka Tourism Development Authority (SLTDA).
As part of efforts to expand the country’s cruise tourism industry, the Government has proposed establishing a passenger terminal for cruise ships at the Port of Colombo.
A further Rs. 240 million from SLTDA funds will be used to modernise passenger terminal facilities in Galle, Tangalle and Trincomalee and expand services for tourists.
The Budget also proposes a Rs. 500 million concessionary loan scheme for tourism service providers to purchase equipment, including boats, needed to expand marine tourism. The programme will be funded through the Sri Lanka Tourism Promotion Bureau.
Meanwhile, Rs. 300 million from SLTDA funds will be allocated to review and further develop the Southern Mist Triangle tourism project. The initiative is centred on the Sinharaja evergreen rainforest and covers the Galle, Matara and Ratnapura districts.
An additional Rs. 35 million has been proposed to establish a centralised online electronic ticketing system for major tourist attractions across the country. This will supplement the Rs. 133 million in capital funding already provided by the SLTDA.
The Government has also allocated Rs. 500 million to develop the Indian-assisted trilingual school premises in Polonnaruwa into a hotel school and further upgrade the Pinnawala Hotel School.
Addressing tourist safety, President Dissanayake announced plans to strengthen the Tourist Police service through specialised training, multilingual officers and dedicated patrol units around major tourist attractions. The proposed measures also include a 24-hour tourist emergency hotline and a mobile application.
The President highlighted Sri Lanka’s diverse tourism attractions as a key strength of the industry, which contributes to foreign exchange earnings and employment generation.
Tourism earnings had reached USD 2,245 million by September this year, he said, adding that the Government was seeking to expand tourism opportunities to support rural economies and create more employment.
