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Monday, October 3, 2016

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Infrastructure growth to fuel tourism growth To ensure rapid growth of tourism in the future, tourism projects will need to be complemented with infrastructure development. We expect that with improvements in road infrastructure and development of the new airport in Hambantota, various new destinations will emerge in the country, especially to the north and the east, as these areas have abundant natural beauty to attract tourists but currently suffer from poor connectivity. We expect more airlines to operate in the country as the second airport develops. Airlines such as Etihad have recently started operating flights to Sri Lanka; an increase in frequency of current operational airlines and charter movements in the winter months from Europe and Russia is also expected.  Source markets in Asia and Middle East to drive demand. Sri Lanka’s proximity to source markets such as India and its connectivity to the Middle East and China will help in sustaining tourism growth. The rise in per capita income and therefore consumer spending in these source markets will aid the growth in tourism.  Growth of MICE segment As new hotels with large inventories and meeting spaces enter the market, we anticipate Sri Lanka to become a lucrative MICE destination, especially for companies located in India

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