Business
Leasing of Uchchamunai peninsula likely to uproot 400 families of early settlers
US$ 400mn hotel project
By Sanath Nanayakkare
Sri Lanka Tourism Development Authority (SLTDA) is moving towards establishing new tourism resorts under eco-tourism concept, and an agreement was signed on May 11, 2022 to build an eco-friendly hotel project worth US$ 417.5 million in Uchchamunai peninsula in the proposed Kalpitiya integrated tourism resort project.
All Ceylon Tourism Service Providers Association (ACTSPA) that visited the peninsula recently told The Island Financial Review that the lease agreement signed for a period of 30 years with a Switzerland-based company is aimed at driving much needed Foreign Direct Investments (FDIs) to the country, but doubt whether SLTDA has paid enough attention to the project’s impact on its innocent early settlers and pristine island habitat.
Suranjith Wevita, Secretary ACTSPA said, “According to The International Ecotourism Society (TIES), eco-tourism is responsible travel to natural areas that conserves the environment and improves the wellbeing of local people. This means those who implement and participate in eco-tourism activities should follow eco-tourism principles. They should minimise environmental impact, respect cultural norms of the community, provide positive experiences for both visitors as well as residents and enable financial benefits and empowerment for local people.”
“During our visit to Uchchamunai, we observed that the residents were a water-locked, Tamil speaking indigenous community who still lead the lifestyle of a primitive people. No one has told them that their peninsula is going to be part of a Tourism Master Plan of SLTDA.
About 400 families live in Uchchaminai. There are four churches and a school. Several leading local conglomerates have done some commendable social responsibility work for the wellbeing of this community. They told us that what they only knew was some time ago, a helicopter flew so low and took pictures of their land and the 13 islets adjacent to it. They have been told nothing about a mega hotel project being planned to be built in the island they have been living for hundreds of years.”
“The Tourism Master Plan has proposed housing for these people, but they haven’t been made aware of it either. They have a right to know that their day-to-day life is not going to be the same in the near future when this FDI project takes off.”
“Uchchamunai is one of the most beautiful islands in the North Western region. It is a bio diversity hotspot. It has a diverse ecological system ranging from bar reefs, flat coastal plains, salt marshes, mangrove forests and sand dune beeches with significant potential for tourism. SLTDA should have the vision to create a niche offering of community-based tourism in Uchchamunai with greater sustainability, instead of establishing an artificial resort island which is commonplace in many tourism destinations in the world.”
“In fact, Uchchamunai as a community-based tourism island will attract tourists to discover it in its absolute natural formation and not as an artificial, built-environment. Stressed foreign travellers would love to relax in a place like that. They will appreciate and respect the traditional culture, rituals and conventional wisdom of these primitive people. Of course, tourist accommodation and facilities should be of sufficient standard for the visitors. But there will be many tourists who will look for simple, rural accommodation and food because that will be the whole purpose of their visit. They won’t seek star class hospitality in an eco-friendly island. Thus the residents will play a bigger role in the service jobs and earn a good income which won’t be the case in a star class hotel operation. Hotel developers will definitely bring in professional service providers and the real owners of the island will be marginalised in their own territory. Do you think it’s fair?”
“When the islanders are the beneficiaries of truly authentic eco-tourism, they will be aware of the commercial and social value placed on their natural and cultural heritage. That will foster community-based conservation of these resources.”
“We shouldn’t ignore the fact that this community’s main livelihood is fishing and they lead a very simple, contented life showing gratitude for what they already have and not aiming for ‘vistas of prosperity’. So it remains to be seen how they will take to being uprooted from their contented life in their so peaceful island,” ACTSPA secretary said.
However, according to Kalpitiya Urban Development Plan 2021-2030, the resident people have ”demonstrated” their eagerness to this tourism sector development through the establishment of trade stalls to carry out businesses related to tourism.
Making reference to environment, the Development Plan further says: “The ocean, the lagoon and the islets form an array of diverse eco systems providing home to an equally diverse life forms of both fauna and flora some of which are endemic, have naturally become ‘very sensitive and fragile’ beside their scenic beauty and exploration curiosity.”
In addition to concerns on the residents and the environment, the fact that SLTDA signed the above agreement with the Switzerland-based company on May 11, 2022 when there was virtually no government in place let alone a minister of tourism to authorise it, could raise questions of its legal position at some point in the future. The Island Financial Review posed this question at Kimarli Fernando former chairperson of SLTDA through her secretary on May 19, five days before her resignation to which a response had been pending.
Business
Global regulators convene in Colombo for key IOSCO enforcement and cooperation discussions
The Securities and Exchange Commission of Sri Lanka (SEC) successfully hosted a series of high-level meetings of the International Organization of Securities Commissions (IOSCO), bringing together leading securities regulators and enforcement officials from around the world to discuss emerging regulatory challenges, strengthen international cooperation, and enhance collective efforts to combat cross-border securities market misconduct.
The meetings, held at the Hilton Colombo from 13 to 16 October 2026, included sessions of the IOSCO Enforcement and Cooperation Committee and its Screening Group (Committee 4/SG), as well as meetings of the Monitoring Group and the Steering Committee. The event attracted approximately 50 senior representatives from securities regulators and exchanges across several jurisdictions, including Australia, Japan, the United States, the United Kingdom, France, Italy, Canada, New Zealand, India, Germany, Belgium, Singapore, China and Spain, reflecting the global significance of the discussions and the growing importance of international regulatory collaboration.
Welcoming delegates to Sri Lanka, Senior Professor D.B.P.H. Dissabandara, Chairman of the SEC, emphasized the critical role of international cooperation in safeguarding market integrity and investor confidence in an increasingly interconnected financial landscape.
“No regulator can effectively address cross-border misconduct in isolation. The speed with which information, transactions and illicit activities can move across borders requires an equally coordinated and timely regulatory response. Strong international cooperation, effective information sharing and mutual trust among regulators are essential to maintaining fair, transparent and resilient capital markets,” he stated.
The discussions focused on a range of enforcement and cooperation matters, including mechanisms for enhancing cross-border information exchange, strengthening investigative collaboration among regulators, addressing increasingly sophisticated forms of securities fraud and market abuse, and promoting the effective implementation of international standards and best practices. Participants also exchanged experiences and insights on emerging enforcement challenges arising from technological developments, digitalization of financial services, and increasingly interconnected global markets.
IOSCO is recognized as the leading international body that brings together the world’s securities regulators and serves as the global standard setter for securities regulation. Through its policy work and cooperative initiatives, IOSCO plays a central role in promoting investor protection, ensuring that markets are fair, efficient and transparent, reducing systemic risk, and strengthening confidence in capital markets worldwide.
Sri Lanka has maintained a strong and active relationship with IOSCO for more than three decades. The SEC became an Ordinary Member of IOSCO in 1993 and has been a signatory to the IOSCO Multilateral Memorandum of Understanding (MMoU) since 2004. The MMoU is the internationally recognised benchmark for cooperation and information sharing among securities regulators and serves as a critical tool in facilitating cross-border investigations and enforcement actions.
Business
Pan Asia Bank partners Ideal Motors to offer leasing solutions
Pan Asia Bank recently entered into a one-year Memorandum of Understanding (MOU) with Ideal Motors (Pvt) Ltd, creating a new financing avenue for customers purchasing vehicles from the authorised Mahindra dealer. The strategic partnership will enable customers of Ideal Motors to access leasing facilities from Pan Asia Bank, making vehicle financing more convenient while supporting their mobility and business requirements. The agreement also provides an opportunity for the Bank to expand its leasing portfolio and strengthen its presence in Sri Lanka’s vehicle financing market.
Ideal Motors is the authorised dealer for the Mahindra vehicle range in Sri Lanka, including the Mahindra Bolero CPU Truck and Scorpio Jeep/Pickup. The vehicles cater to a range of requirements, from commercial and business applications to personal mobility, making accessible financing an important part of the purchasing decision.
The Bank’s vehicle leasing facilities are designed to simplify the financing process, with convenient repayment options and professional support to help customers select a solution suited to their requirements. For customers, the arrangement brings vehicle selection and financing closer together, reducing the need to navigate the two processes separately.
“Our partnership with Ideal Motors enables us to bring financing closer to customers at the point of vehicle purchase. We remain focused on providing convenient and flexible leasing solutions that support both personal mobility and the needs of businesses,” said Naleen Edirisinghe, Director/CEO of Pan Asia Bank.
Pan Asia Bank and Ideal Motors will work closely during the one-year partnership to maximise business opportunities and deliver a seamless financing experience to customers. The collaboration is expected to strengthen both organisations’ ability to respond to demand for commercial and personal vehicles while creating greater value for customers.
Yohan Ebell, Head of Retail Credit, Pan Asia Bank, said: “Through this partnership, we aim to make vehicle financing simpler and more accessible, with leasing solutions designed to meet the varied requirements of Ideal Motors’ customers.”
The collaboration also reflects Pan Asia Bank’s commitment to building partnerships that make financial services more accessible and responsive to the needs of individuals and businesses.
Pan Asia Bank has established a growing presence in vehicle financing, offering leasing solutions designed around customer convenience and flexibility. Its leasing proposition is supported by a nationwide branch network and a customer-focused approach, enabling customers to obtain guidance on financing options while completing their vehicle purchase.
Business
Heritance Hotels and Resorts secures four wins at World Travel Awards 2026
Heritance Hotels and Resorts has secured four distinguished titles at the World Travel Awards 2026, with three national awards recognising its Sri Lankan properties and an international title for Heritance Aarah in the Maldives.
The three Sri Lankan titles recognise Heritance Tea Factory as Sri Lanka’s Leading Heritage Hotel 2026, Heritance Ahungalla as Sri Lanka’s Leading Luxury Hotel 2026, and Heritance Kandalama as Sri Lanka’s Leading Wedding Hotel 2026. Heritance Aarah was named the Indian Ocean’s Leading All-Inclusive Resort 2026.
Internationally recognised within the global travel and tourism industry, the World Travel Awards celebrate excellence across hotels, resorts, and destinations. Recognition at this level affirms the quality, distinctiveness, and consistency of the experiences delivered by Heritance Hotels and Resorts.
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