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Leasing of Uchchamunai peninsula likely to uproot 400 families of early settlers

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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.



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Ceylon Chamber Re-elects Chairperson Krishan Balendra at 187th AGM

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Seated Left to Right - Vinod Hirdaramani, British High Commissioner Andrew Patrick, Krishan Balendra, Bingumal Thewarathanthri, Shiran Fernando

The Ceylon Chamber of Commerce announced the re-election of Chairperson Krishan Balendra and the election of its Board for the Year 2026/27 at the Chamber’s 187 th  Annual General Meeting on June 25. High Commissioner of Britain to Sri Lanka, Andrew Patrick, attended as Chief Guest.

The 2026/27 office-bearers are Chairperson Krishan Balendra, – Chairperson John Keells Holdings PLC, Vice Chairperson Bingumal Thewarathanthri – CEO, Standard Chartered Bank Sri Lanka, and Deputy Vice-Chairperson Vinod Hirdaramani – Chairman, Hirdaramani Group.

Jayanthi Dharmasena – Managing Director, Hayleys Agriculture Holdings Ltd., Kasturi Chellaraja Wilson – Chief Operating Officer, Head of APAC – 5Hour International Corporation Singapore, Shibani Thambiayah – Managing Director, Renuka Hotels PLC,Supun Weerasinghe – Director/Group CEO – Dialog Axiata PLC, and Shiran Fernando – Secretary-General and CEO will serve as Board Members. Rohana Dissanayake – Group Chairman and Managing Director of David Pieris Motor Company Pvt. Ltd. will also join the Board, replacing Bernhard Stefan – Managing Director – Nestlé Lanka PLC, who relocated overseas.

In his remarks, Balendra noted that over the past year, the Chamber adopted a more solutions-oriented approach to advocacy, focusing not only on identifying challenges but also on developing constructive recommendations in collaboration with government, industry stakeholders, and development partners, with this approach yielding stronger results. “Through our engagement in the Budget 2026 process, eighteen recommendations proposed by the Chamber were incorporated into the national budget, covering areas such as trade facilitation, investment promotion, digitalisation, infrastructure, and improving the ease of doing business.

This builds upon the strong momentum established in previous years and demonstrates the value of evidence-based, constructive engagement.

The Chamber also contributed to addressing emerging global trade challenges, including tariff-related issues affecting Sri Lankan exports. By representing private sector perspectives in Presidential Committees, we supported efforts to safeguard export competitiveness and strengthen trade resilience.”

Beyond advocacy, it significantly expanded its engagement footprint, strengthening bilateral partnerships across more than twenty countries, and supporting more than 1,800 SMEs through training, advisory services, and market access initiatives.

He added that over the next year, the Ceylon Chamber is committed to deepening engagement with members, strengthening global partnerships, enhancing support for SMEs, and accelerating efforts to promote exports and attract investment, and is committed to working with the Government and stakeholders to ensure a resilient and prosperous Sri Lanka.

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Kandy’s singing couple striking a harmonious chord

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Vijitha Kingsley Bandara and Umesha Kalhari Navaratne

In the hill capital of Kandy, a husband-and-wife duo has won the admiration of music lovers with their shared passion for singing and their dedication to the art.

Vijitha Kingsley Bandara and Umesha Kalhari Navaratne have become familiar voices among audiences in Kandy, entertaining crowds with their musical talents while building a reputation as a versatile singing couple.

Kingsley began his musical journey at the age of 17, performing at outdoor musical shows before gaining opportunities to showcase his talent at several hotels in the Kandy area. His performances for local and foreign tourists further enhanced his reputation as a singer. He later took his musical talents overseas, entertaining audiences in several countries.

For the past 12 years, Kingsley has been engaged in singing at establishments operated by the Devon Group and The Grand Kandyan Hotel in Kandy, following an opportunity extended by Group Chairman Gamini Weeraratne.

Supporting him both in life and music, Umesha has also established herself as a singer, performing at Devon establishments. She also runs a home-based cake-making venture.

The couple, who continue to receive appreciation from music enthusiasts, said they are ready to accept invitations to perform at musical events across the country. They can be contacted on 071-1519130.

Text and Pic by SK Samaranayake

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ComBank unveils GIG+ for Lanka’s digital workforce

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Recognising the rapid emergence of the gig economy in Sri Lanka, the Commercial Bank of Ceylon has introduced ‘ComBank GIG+’ – a specialised banking solution designed for freelancers, digital entrepreneurs, social media influencers, and individuals and businesses earning in foreign currency through overseas engagements to receive their foreign earnings, including PayPal-linked withdrawals, through a structured banking account.

ComBank GIG+ reflects a decisive shift in the country’s employment landscape, where a growing number of professionals are leveraging global digital platforms and remote work opportunities to build independent income streams. From freelance service providers operating on platforms such as Fiverr, Upwork and Freelancer.com, to content creators monetising audiences across YouTube, TikTok, Meta and X, this segment represents a dynamic and increasingly influential contributor to foreign exchange inflows.

ComBank GIG+ is tailored to meet the specific needs of these digital earners, offering account options in Sri Lanka Rupees as well as major foreign currencies including USD, EUR, GBP and AUD. The account is available to Sri Lankan citizens aged 18 and above residing in the country, as well as duly registered business entities, subject to verification of foreign currency income derived through recognised digital and remote work channels.

Commenting on the introduction of ComBank GIG+, Hasrath Munasinghe, Chief Operating Officer of Commercial Bank said: “The rise of independent digital earners represents a structural shift in how value is created and exported from Sri Lanka. With ComBank GIG+, we are establishing a banking framework that not only recognises this segment, but also integrates it more meaningfully into the formal financial system. This enables individuals and businesses operating beyond traditional employment models to build a verifiable financial track record, access formal financial services, scale their operations, and contribute more visibly to the country’s economic growth.”

The launch of ComBank GIG+ is particularly timely following Sri Lanka’s recent enablement of PayPal linked withdrawals, which has simplified the process of bringing overseas digital earnings into the country.

In addition to facilitating PayPal-linked withdrawals and foreign currency inflows, the Bank said the ComBank GIG+ account offers a range of value-added benefits including first-year fee waivers on credit cards and digital banking services, preferential foreign exchange rates for qualifying conversions into Sri Lanka Rupees, and the opportunity to establish a structured banking relationship that may support future access to financing and other financial solutions. These features are designed to enhance financial efficiency while supporting the day-to-day banking needs of digitally active customers.

By aligning its product innovation with evolving global work patterns, Commercial Bank continues to strengthen its position as a forward-looking, technology-driven institution. The introduction of ComBank GIG+ underscores the Bank’s commitment to supporting new economic segments, enhancing financial inclusion, and enabling Sri Lankan talent to participate more effectively in the global digital economy.

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