News & market updates

Sri Lanka ranked 49th in Travel And Tour World’s Top 50 Medical Tourism Destinations for 2026. The ranking highlights its integrated healthcare journeys combining advanced clinical services (cardiology, oncology, fertility) with Ayurveda and recovery hubs in Colombo, Kandy, Galle and Bentota.

DIMO (Diesel & Motor Engineering PLC) concluded the 32nd MercedesTrophy Sri Lanka 2026 in Nuwara Eliya (5–7 June), celebrating Mercedes‑Benz's 140th anniversary and reinforcing customer engagement through golf, luxury hospitality and driving experiences.

FitsAir will launch thrice-weekly direct Ahmedabad–Colombo flights from 19 June 2026 (about 3h40m), partnered with City of Dreams Sri Lanka and Cinnamon Hotels & Resorts, improving access for Gujarat travellers and expected to boost inbound tourism to Colombo.

Sri Lanka and Thailand plan to deepen trade and investment using the Sri Lanka–Thailand FTA and enhanced B2B engagement, targeting tourism, hospitality, food processing, agriculture, logistics and other sectors to boost bilateral ties and supply‑chain links.

Sri Lanka recorded a record 145,745 foreign tourist arrivals in May 2026, up 9.65% year-on-year. Despite the rise in arrivals, May tourism earnings fell to USD 155.7m (−5.11% YoY) while rising to Rs. 50.6bn (+3.05%) due to a stronger USD; YTD Jan–May earnings were USD 1,360m (−11.9% YoY).

Lakarcade has been appointed as a National Entity Member of the World Crafts Council AISBL, elevating Sri Lankan handicrafts to an international platform. The membership enables Lakarcade to represent Sri Lankan craft at global forums and support artisan communities and craft development initiatives.

Emirates is offering complimentary stays at the JW Marriott Marquis for return tickets to or stopping over in Dubai (two nights for First/Business; one night for Premium Economy/Economy) for travel between 25 June–30 September. It also relaunches My Emirates Pass with 600+ offers and notes three daily Colombo–Dubai flights.

FitsAir began the only non-stop Colombo–Ahmedabad service on 19 June 2026, operating three times weekly. The new route is intended to boost connectivity between Sri Lanka and Gujarat, supporting tourism, trade and business travel.

Government aims to lift gem and jewellery exports from about $300m to around $1–1.2bn by boosting value‑addition and marketing and tackling smuggling. Plans include regulatory reforms, a proposed Gem and Jewellery Experience Centre and the Gem City Ratnapura Exhibition (31 Aug–2 Sep 2026) to attract international buyers.

Sri Lanka's Tourism Promotion Bureau participated in the Let’s Travel ITF 2026 in Moscow (10–14 June) and won the Let’s Travel First-Degree Laureate Award. The delegation held meetings on destination promotion and air connectivity and ran a busy pavilion engaging visitors and Russian tour operators, strengthening bilateral tourism ties.

INSEE Lanka partnered with the Sri Lanka Coast Guard to launch a coastal protection initiative targeting the annual planting of 10,000 Mudilla and Mangrove trees; Phase I planted 1,000 Mudilla and 750 Mangrove saplings and included a ceremonial planting of 100 Mudilla on June 5, 2026 at Panadura beach.

The Foreign Affairs Ministry and EDB held a diplomatic briefing on 12 June to promote the rescheduled Sri Lanka Expo 2027, attended by about 100 diplomatic representatives. The Expo is set for 14–17 January 2027 at BMICH, Colombo, and organisers are seeking diplomatic support to attract buyers, investors and business delegations.

Fitch says a rising share of emerging-market sector outlooks are 'deteriorating' as the US–Iran war disrupts oil supplies, explicitly flagging APAC banks in Sri Lanka and the Philippines as hit by the shock. Sovereigns may see spillovers to growth, inflation and bond yields.

Sri Lanka Customs will implement a new comprehensive fee and operational framework from 1 July 2026, revising customs service charges, cargo examination fees and ICT user fees (e.g., FCL export exam fee set at Rs.600 for the first container; BOI ICT fee Rs.16,000 per user).

Serendib Hotels PLC has appointed Minor Hotel Group CFO Wayne Williams as a Non-Executive Director. Williams brings nearly 20 years at Minor International and experience from a hotel group operating over 560 hotels and generating more than $5bn in revenue.

ITC Ratnadipa, Colombo is hosting a Father’s Day Brunch at the Indian Ocean Pavilion on 21 June 2026 priced at LKR 9,500 nett per person (served 12:30–15:30); bookings by 19 June receive a 20% discount. Nutmeg, the hotel's gourmet shop, will offer Father’s Day cakes and cupcakes on 20–21 June.

Kurundu Wellness at Cinnamon Life is hosting an International Yoga Day Signature Experience on 20–21 June 2026, limited to 50 participants per day with packages priced at LKR 25,000++, LKR 40,000++ and LKR 55,000++. Packages include yoga, sound healing, access to wellness facilities and optional signature massage.

Emirates marks 40 years of service to Colombo, having carried over 15 million passengers on more than 97,000 flights and currently operating three daily services linking Colombo to 135+ destinations. It has uplifted 403,000 tonnes of cargo over the past two decades and expanded interline ties with SriLankan Airlines to 30 routes.

A Peking University delegation led by Prof. Wang Weijia held high-level meetings in Colombo to explore deeper Sri Lanka–China cooperation, prioritizing trade and FDI in logistics, energy, tourism and Port City Colombo and potential areas like high‑tech manufacturing and pharmaceuticals.

A diplomatic briefing on 12 June 2026 was held to promote the rescheduled Sri Lanka Expo 2027, now set for 14–17 January 2027 at BMICH, with about 100 foreign mission representatives invited to support attracting buyers, investors and business delegations.

Ceylinco Life’s Family Savari 19 grand-prize winners completed an all-expenses-paid Beijing tour. Five policyholder families (20 people) visited landmarks including the Great Wall, Forbidden City and the 2008 Olympic Stadium; Family Savari has run since 2007 and has benefited over 37,000 people.

The Kingsbury PLC obtained an enjoining order from the Colombo District Court on 8 June 2026 restraining former minister Wimal Weerawansa from republishing a video alleged to defame the hotel; the company sought Rs. 1 billion in damages and the case is listed for 22 June 2026.

Prime and Melwa acquired a third Marina District land parcel in Port City Colombo, bringing their combined holding to about 16 acres and becoming the largest property investor in Port City. The parcel will be developed as a mixed-use project in the Marina District, a limited (≈1%) waterfront area slated for early completion.

Manufacturing PMI rose to 56.6 and Services PMI to 56.9 in May, indicating expansion in both sectors. Manufacturing was driven by food & beverages and textiles, while services growth was led by financial, professional services and IT; outlook buoyed by expected tourist arrivals but risks from the Middle East conflict persist.

The Presidential Task Force chaired by Tourism Minister Vijitha Herath reviewed major tourism initiatives, including the proposed Southern Mist Corridor across Galle, Matara and Ratnapura and a 10-year Maritime Tourism Corridor with phased ferry services starting from Jaffna. The meeting also covered film-tourism facilitation, skydiving development at Koggala, whale-watching rules and visa/security measures.

Prime and Melwa acquired a third Marina Area land parcel in Port City Colombo, bringing their combined holding to about 16 acres and making them the largest property investor in Port City. The parcel will be developed as a mixed-use project in the Marina District, a highly limited waterfront area due for completion within five years.

The Shoppes at City of Dreams Sri Lanka will host Cake Date on 27 June, a community gathering celebrating connection through shared cake. Retailers within The Shoppes will join the activation as part of a broader calendar of community-driven events to build the destination’s role as a social and lifestyle hub.

A Sweden–Sri Lanka Business Council dialogue study found members prioritise simplified visa procedures, predictable tax rules, smoother compliant capital flows, clearer profit repatriation, reliable banking relations and measures to curb brain drain. The 20-respondent study will guide the Board's priorities and engagement with embassies.

The Foreign Affairs, Foreign Employment and Tourism Ministry hosted an Economic Diplomacy networking reception on 8 June to connect diplomats, government and the private sector to promote trade and attract quality investment. About 100 participants attended and ministers pledged support to facilitate partnerships and investment opportunities.

Arthur Carmazzi arrived in Sri Lanka and will conduct the full-day "Reset the Brain" workshop on 19 June 2026 at the Monarch Imperial Hotel, focusing on team dynamics, leadership and organisational culture. The event is hosted by the Daily FT in partnership with Ads Store.