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SL’s niche tourism could suffer from an absence of Israeli tourists – Andre Fernando

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Andre Fernando

By Harischandra Gunaratna

While Israeli tourists represent a notable segment, they do not dominate Sri Lanka’s overall tourist arrivals. However, their absence could still have a ripple effect on specific sectors, particularly in niche areas like adventure tourism, eco-tourism and local businesses that cater to backpackers and mid-range travelers. Smaller hotels, hostels and restaurants in popular Israeli tourist spots like Arugam Bay and Ella could face short-term revenue losses, Managing Director, MAC Holdings (Private) Ltd. Andre Fernando told The Island Financial Review in an interview.

Extracts from the interview: ‘In the grander scheme however, Sri Lanka’s tourism industry may not be severely impacted by the absence of Israeli visitors alone. Given the current state of global tourism, where many countries are diversifying their tourist profiles post-pandemic, Sri Lanka can mitigate potential losses by targeting emerging markets or enhancing promotional efforts in its more established tourist countries.

‘The presence of Israeli tourists in Sri Lanka does raise legitimate concerns about security, particularly given the volatile situation in the Middle East. Israel has been involved in numerous geopolitical conflicts and Israeli nationals are sometimes targeted in acts of terror or political violence, both at home and abroad. But this risk can’t be identified and isolated to Sri Lanka alone.

’Today terrorism is a common issue faced by the world and not necessarily common to Sri Lanka. However, the art of the suicide terror missions commenced here during the North- East war. Traveling on a busy London tube, holidaying in a Bali resort or walking on a New York street could be riskier for them, than visiting Arugam bay in Sri Lanka. So don’t forget that there are many other destinations that Israeli tourist do visit.

‘In Sri Lanka’s case, the concern would be whether Israeli visitors might become targets for extremist groups, thereby posing a broader security risk to the general tourist population. Sri Lanka has already experienced the devastating consequences of such terrorist attacks, most notably the 2019 Easter Sunday bombings, which targeted churches and luxury hotels, causing a significant decline in tourist arrivals.

‘However, it is essential to note that the Sri Lankan government has substantially strengthened its security apparatus since those attacks, improving intelligence-sharing, airport security and hotel safety protocols. While the presence of Israeli tourists could make certain locations more attractive to potential attackers, it is unlikely that this would lead to a large-scale security threat for all tourists. Sri Lankan authorities are well aware of the need to ensure a safe and secure environment for both local citizens and international visitors.

‘While the absence of Israeli tourists would have some economic impact on specific sectors & areas, it is unlikely to cripple Sri Lanka’s tourism industry as a whole. On the other hand, their presence, given the current security landscape does raise legitimate concerns about targeted attacks, but the overall risk to other tourists remains relatively low.

‘The challenge for Sri Lanka will be to continue strengthening its security measures while maintaining an open and welcoming environment for visitors from all nations, including Israel. For the tourism industry to thrive, perception matters as much as reality. Ensuring the safety of all tourists, whether Israeli or from any other country, will be crucial in maintaining Sri Lanka’s reputation as a safe and desirable destination.’



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Cost-effective clearance of goods across borders to determine worth of Customs Paperless Declaration

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Containers held up at the Port of Colombo

By Ifham Nizam

The introduction of the Customs Paperless Declaration from October 1 could mark an important step in Sri Lanka’s efforts to modernise trade, but its real value will depend on whether it reduces the time and cost of moving goods through the country’s borders, Customs House Agents & Traders Association President Mohamed Niyas said.

Niyas warned that digitising Customs declarations alone would not necessarily translate into faster cargo clearance or lower costs for businesses.

‘Expecting a dramatic improvement in clearance speed under the present conditions is like expecting Ferrari performance from a Morris Minor configuration, he said.

For importers and exporters, the issue extends well beyond paperwork. Every additional hour or day that cargo remains in the clearance chain can have wider consequences for businesses, including increased port and storage-related costs, additional working-capital requirements, uncertainty over delivery schedules and disruptions to production and distribution.

Niyas said the competitiveness of Sri Lanka’s trading sector ultimately depended on how efficiently goods could move through the country’s border-clearance system.

‘The real bottleneck is not merely the absence of paper. It is the entire clearance ecosystem—the limitations of the existing ASYCUDA World system, excessive regulatory interventions by Other

Government Agencies, multiple approvals, physical examinations, manual interventions, fragmented processes and institutional constraints, he said.

He cautioned that unless these bottlenecks were addressed, there was a risk that the paperless initiative would merely digitise existing bureaucracy.

‘If these underlying constraints remain unchanged, there is a real risk that the new paperless system could become another “copy-and-paste road show”—where an old, complex clearance process is simply transferred onto a digital screen without fundamentally changing the process itself, Niyas said.

For businesses dependent on imported raw materials, machinery, components and other inputs, clearance efficiency can directly affect the wider supply chain.

Delays at the border can create uncertainty for manufacturers, distributors and retailers, while exporters can face difficulties meeting delivery schedules when imported inputs or export consignments are held up.

Niyas therefore argued that the success of the October 1 initiative should be judged by its impact on trade flows rather than by the number of declarations processed electronically.

‘Paperless does not automatically mean faster, he said. ‘Digitising a slow process does not make the process fast. It only makes the slow process digital.’

He said Sri Lanka needed to move towards what he described as “process-less Customs”—a system in which unnecessary procedures are eliminated rather than simply converted into electronic procedures.

Among the reforms he called for are simplification of Customs declarations and approval workflows, improvements to the functionality of ASYCUDA World, greater use of risk-based inspections and better integration of Other Government Agency approvals.

Niyas also called for the elimination of repetitive document submissions and physical endorsements, greater use of pre-arrival processing, sufficient capacity for digital document uploads and clearly defined service-level timelines for Customs and OGAs.

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China backs Sri Lanka’s Non-aligned stance to counter regional pressures

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Chinese Ambassador Wei Huaxiang delivering the keynote address in Colombo

By Sanath Nanayakkare

As global attention has fixed on the high-level diplomatic choreography at the United Nations General Assembly in New York, a subtler, yet profound geopolitical signal was sent from Colombo, yesterday.

In a major address marking the founding anniversary of the People’s Republic of China, newly appointed Chinese Ambassador Wei Huaxiang chose to anchor bilateral relations not just in modern trade or infrastructure, but in a shared respect for Sri Lanka’s legacy of non-aligned independence.

By explicitly invoking Sri Lanka’s foundational role in the 1976 Non-Aligned Summit, Beijing was doing something unexpected in an era defined by fierce great-power rivalry: it was officially validating a small island nation’s right to maintain an independent foreign policy stance.

The Strategic Value of Independence

For decades, nations caught in the crosshairs of major-power competition have faced intense pressure to pick sides. Yet, Ambassador Wei’s embrace of Colombo’s non-aligned tradition signaled a different diplomatic playbook. Instead of demanding alignment, Beijing was framing its partnership as a reliable counterbalance to regional pressures. By honouring Sri Lanka’s diplomatic autonomy, China was effectively reassuring smaller economies that sovereign independence and robust economic cooperation can coexist.

Beyond Ports and Industrial Zones

This diplomatic framing reframed the narrative surrounding major collaborative ventures like the Colombo Port City and Hambantota Port. While foreign analysts often view these projects exclusively through the lens of strategic rivalry, Beijing’s diplomatic messaging tied them back to a historical ethos of solidarity—evoking memories of the 1952 Rubber-Rice Pact.

By marrying economic projects with a stated respect for non-alignment, China is positioning itself as a steadfast stakeholder that respects Sri Lanka’s internal agency during difficult economic and political seasons.

As both nations look toward major milestones in 2027—including the 70th anniversary of diplomatic ties—this nuanced diplomatic move revealed how historic traditions are being leveraged to navigate modern multipolar realities.

For global observers, the takeaway was clear: in the shifting architecture of Asian geopolitics, respecting a nation’s historical neutrality may just be the most effective way to secure a lasting partnership, a diplomatic masterclass that Ambassador Wei Huaxiang executed in style.

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Sri Lanka Insurance Life appoints Dr. Sameera Dharmasena Chief Executive Officer

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Dr. Sameera Dharmasena

Sri Lanka Insurance Life (SLIC Life), the nation’s largest and strongest Life Insurer, is pleased to announce the appointment of Dr. Sameera Dharmasena as its new Chief Executive Officer, effective 22nd September 2026.

Dr. Dharmasena is a distinguished insurance professional with over 21 years of experience in the Sri Lankan insurance industry, having held senior leadership positions across several leading insurance companies affiliated with some of Sri Lanka’s largest business conglomerates. His extensive career spans both local and multinational insurance environments, bringing together broad industry expertise, strategic leadership and a strong commitment to the advancement of the insurance profession.

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