Sri Lanka Tourism Development Authority
Priority 1: Placing tourism in global, regional and national agendas. Building better and strong institutions: Data, Standards, Governance, Policies and Legislation.
Priority 2: Market intelligence, rethinking destination positioning and product development.
Priority 3: Fostering sustainability, inclusiveness and resilience: circularity, climate action, and biodiversity. Reduce inequalities and promote culture.
UN Tourism, in collaboration with the Sri Lanka Tourism Development Authority (SLTDA), convened a national validation workshop in Colombo on 28 January 2026 to advance concrete action on reducing economic leakages in Sri Lanka’s tourism sector.
The workshop marked a critical transition from analysis to implementation, following a Rapid Assessment on Tourism Economic Leakages conducted in June-July 2025. While tourism generated USD 3.17 billion in receipts in 2024, the assessment revealed that at least USD 956 million per year is lost from the sector in selected tourism sub-sectors, including accommodation, travel intermediaries and wellness tourism.
Designed as a structured multi-stakeholder dialogue, the workshop brought together public authorities, private sector representatives and experts to validate findings, assess feasibility and prioritise solutions and actions to retain greater tourism value within local economies.
Held at the Taj Samudra Hotel in Colombo, the workshop brought together senior national authorities and UN Tourism experts to review the assessment findings. Discussions focused on translating evidence into practical and coordinated measures aligned with Sri Lanka’s tourism development priorities.
Participants examined the scale and drivers of economic leakages, including informality, import dependency and limited local value-chain integration. Key findings highlighted that procurement related leakages exceed USD 800 million annually, while informality results in an estimated USD 84.8 million in lost fiscal revenue each year.
Deliberations were organised around three strategic action clusters:
Through moderated panel discussions and a collective prioritisation exercise, stakeholders assessed the feasibility, impact and sequencing of proposed interventions. The process reinforced the importance of coordinated governance, private sector engagement and skills development to ensure tourism growth delivers inclusive economic benefits.
The outcomes of the validation workshop will inform the development of a three-year implementation roadmap, to be led by SLTDA with technical support from UN Tourism. The roadmap will prioritise early impact measures while laying the groundwork for systemic reforms to reduce leakages and strengthen local economic participation.
Building on this momentum, UN Tourism and national partners will continue supporting Sri Lanka in transforming tourism into a more resilient, inclusive and locally anchored engine of growth. Ensuring that tourism revenues increasingly benefit communities and contribute meaningfully to sustainable development.
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