VOL 4 – PUBLISHED IN TORONTO, CANADA BY THE TIMES OF SRI LANKA JANUARY 2011 ISSUE JANUARY 2011 SSRRII LLAANNKKAA:: 22001100 TTOOUURRIISSTT AARRRRIIVVAALLSS TTOOTTAALL 665544,,447766 Twenty-six years of civil war and ethnic conflict in Sri Lanka contributed to the country’s sluggish tourism industry from that fateful day on July 23, 1983 to May 18, 2009. Sri Lanka was literally on siege during this period thus deterring the steady inflow of tourist traffic to the “Wonder of Asia”. Given the fact that tourists from the western hemisphere avoid travelling to countries with security issues, Sri Lanka tourism suffered for the better part of 26 years. The island nation lost its fair share of leisure tourist inflow. However, let’s not dwell on the past but look forward to a bright and rosy future going forward. There is no doubt that Sri Lanka is heading towards a tourism revolution. Once the country puts into place much needed tourism infrastructure coupled with a solid network of roads and highways in the eastern and northern provinces tourism is bound to experience an upward trend. In a remarkable turnaround last year, Sri Lanka has seen its tourist arrivals swell to large numbers in a short period in time of peace – 20 months. But the best is yet to come. Sri Lanka tourist arrivals up 46.1-pct in 2010 Tourist arrivals in November were startling - 72,251 tourists arrived in the country, a 63.1% increase as compared to the previous year. Sri Lanka Tourism (SLT) launched a campaign - Refreshingly Sri Lanka Visit Sri Lanka 2011 with 12 events spread across the year. Refreshingly Sri Lanka Visit 2011 will have twelve different theme events happening throughout the year, in keeping with the 12 letters that has been used for the tagline "Wonder of Asia". SLT will offer similar complimentary packages to the 250,000th, 500,000th, 600,000th and 700,000th tourist that arrives in the island in 2011. Sri Lanka's tourist arrivals in December 2010 rose 48.8 percent to 84,627 from a year earlier. For the full calendar year 2010, arrivals were up 46.1 percent to 654,476. Tourist arrivals from Western Europe shot up by 54 percent in December 2010 to 30,855 after travel warning in many countries were relaxed or removed after the end of a 26-year war. T h e island's peak tourism season coincides with the northern hemisphere winter. In December, visitors from the United Kingdom, a key market, rose 16.6 percent to 10,176 while those from Germany, went up 23.6 percent to 4,468 people in October, data from the tourist promotion office showed. The number of visitors from France shot up 74 percent to 3,190, Dutch visitors were up 92.6 percent to 2,340. Tourists from Denmark, Finland and Sweden saw increases of over one hundred percent during the month. Visitors from South Asia were up 50.5 percent to 23,087 with Indians increasing 51.2 percent to 15,753. Maldivian visitors were up 44.5 percent to 5,670. South Asian visitors were up 39.2 percent to 175,694 in the Jan to Dec period. Total arrivals to December were up 46.1 percent to 654,476 from a year earlier. India emerges Sri Lanka's biggest tourist generator Sri Lanka has had the highest number of tourist arrivals last year from India. Recent figures released by the Tourism Ministry indicate that Indian tourists visiting Sri Lanka reached 126,882, taking a bigger lead over British tourists who numbered 105,496 last year. In 2009 too, Indians were leading, but marginally with 83,634 compared to 81,594 Britons. The total tourist arrivals of 654.476 in calendar year 2010 compared with 447,890 in 2009, marking a 46.1 per cent increase in tourist arrivals. The ending of nearly 40 years of ethnic conflict in the island in May 2009 has seen a surge in the hospitality industry with prices too soaring to new highs. Five star rooms which cost USD 60 a night in 2009 has now more than doubled. Restaurant rates too have skyrocketed because of huge demand. British tourist arrivals up A 31 percent increase has been recorded in the number of British tourist arrivals to Sri Lanka from January 1 to November 30 this year compared to the same period in 2009, Sri Lanka Tourism Development Authority statistics revealed. From the total number of 569,849 tourists arrived in the country during the above mentioned period 17 percent are British tourists. According to the statistics 95,320 British tourists have visited the country during past 11 months while this number was 72, 858 in the same period of 2009. The British High Commission web site reports that the British Government no longer advises against travel to any part of Sri Lanka and it has eased travel advice to Sri Lanka. British tourists who stay in the country for more than a month are asked to register themselves on the Consular database prior to their visit. The Consular also promotes cultural sensitivity among British tourists to Sri Lanka and publishes annual travel brochures with required information while focusing on respect for religion and religious monuments and sites, awareness of local laws, customs and common sense advice. Welcoming the 600,000 tourist into the country December 14 was a historic day for Sri Lanka Tourism (SLT). On this day, SLT Chairman Dr. Nalaka Godahewa and his team welcomed the 600,000th tourist at Bandaranaike International Airport (BIA). Dr. Godahewa said, "This marks a significant moment in the history of tourism. Sri Lanka is now on the world map as a unique safe destination. With this, we hope to achieve the 700,000 target set for Visit Sri Lanka 2011". The lucky guest was presented with a 6 night 7 day package which includes hotel accommodation, ground transport and entrance tickets to historical tourist sites in the island. TradeWinds e-Magazine January 2011 Page 1 of 28 PPRREESSIIIDDEENNTT MMAAHHIIINNDDAA RRAAJJAAPPAAKKSSAA UUNNVVEEIIILLSS 22001111 NNAATTIIIOONNAALL EECCOONNOOMMIIICC PPRROOGGRRAAMMMMEE On January 4, Sri Lanka President Mahinda Rajapaksa launched the country’s National Economic Programme for 2011. President Rajapaksa who is also Minister of Finance said that during 2011, country’s economy would realize people’s expectations of development launched during the humanitarian operations and the Finance Ministry has a decisive task in the journey towards the development. He added that development projects already implemented by the government, has earned many commendations from the international community. Treasury Secretary Dr. P.B. Jayasundara said that economic victories of 2010 surpassed the desired goals and expressed confidence that the country would achieve double digit economic growth soon. Senior Minister for International Monetary Cooperation Dr. Sarath Amunugama, Deputy Minister Geetanjana Gunawardena, and the staff of the Finance Ministry were also present. Meanwhile country’s banking and finance watchdog- the Central Bank of Sri Lanka (CBSL) unveiling its ‘Roadmap: Economic and Financial Sector Policies for 2011 and Beyond’, on Tuesday announced that the country in 2010 accomplished rapid decline of poverty levels, low and stable inflation, stable exchange rates, Middle-income Emerging Market Country status among other achievements. CBSL said that economy maintained historically high foreign reserves levels amounting over US $ 6.6 Billion by the end of 2010. Sri Lanka showed strong growth momentum last year as peace dividend was clearly observed with impressive performance in all sectors and more confidence shown by the business sector, it added. Proper road network essential for development – President Rajapaksa The Highways Ministry has to play a major role to fulfill the hopes and aspirations of the people by making the development program a reality, said President Mahinda Rajapaksa presiding over a special conference held at the Highways Ministry recently. The President said the maintenance of a proper road network is most essential to carry out the development program in an efficient manner to deliver the fruits of development to the people. At this conference which focused on the activities of the ministry during the past six years and its future plans, the President said the government had made the biggest allocation of Rs 102 billion to the Highways Ministry in the past. Such a big allocation was made with the sole intention of providing an efficient and systematic road network and thereby improves community life. Therefore officials should dedicate themselves to ensure the highest dividends to the people. A press release by the President’s Media Division said officials attending the discussion pointed out that although the target of the Maga Neguma road development project was to complete 720km of roads they had been able to exceed the target to 855 km. It was also pointed out that a major part of the Matara-Colombo Expressway was already complete and the entire expressway could be opened for the public by June this year. Nearly 30 percent of the Katunayake- Colombo expressway was also complete and it would be possible to complete the entire expressway by the end of 2012. The work on the Highways Secretariat which started last year was complete up to three levels and the entire building would be ready for opening by the end of this year. The President also directed officials to complete the construction and rehabilitation of roads in the areas where the world cup cricket matches are due to be held soon to facilitate local and foreign tourists expected during the world cup season. The President also noted that the country’s transport service should also be extended with the extension of the road network.