News, Sri Lanka tourism

Sri Lanka Tourism Spend Shifts Beyond Colombo

13 Dec, 2025

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Sri Lanka’s inbound tourism is undergoing a clear shift, with visitor spending increasingly moving beyond Colombo to emerging inland and coastal destinations, according to new data from the Mastercard Economics Institute.

While Colombo remains the country’s main tourism hub, accounting for about 25% of total tourism-related transactions, its share has moderated as travellers explore other parts of the island. Destinations such as Ella and towns along the Southern Belt, including Ahangama, Weligama, Mirissa, Dickwella and Matara, are recording strong growth, reflecting changing visitor preferences.

Industry data shows rising arrivals from key markets such as India, Russia and the United Kingdom, with many travellers opting for experiential travel, longer stays and less urban locations. Ella has emerged as a major inland hub, while the Southern coastal belt has seen sustained increases in visitor spending.

Commenting on the trend, Mastercard Sri Lanka and Maldives Country Manager Sandun Hapugoda said tourism growth is becoming more geographically distributed and locally impactful, rather than concentrated in traditional centres.

Despite modest declines in transaction share in established destinations such as Kandy and Galle, overall tourism momentum remains strong. The shift is also driving changes in the airline and hospitality sectors, with expanded connectivity and growing investment in boutique and resort-style accommodation across emerging regions.

The Mastercard Economics Institute projects Sri Lanka’s GDP growth to moderate in 2026, but notes that tourism, along with private consumption and investment, continues to support broader economic resilience.

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