Business
Youth migration: Challenges and opportunities for Sri Lanka
By Thisuri Ekanayake
A great deal of discussion is underway on what appears to be the latest wave of migration from Sri Lanka. These conversations focus on the desire of young people to migrate in search of greener pastures in the face of the soaring cost of living and uncertainty about the country’s future. While the exact scale and nature of youth migration remain unclear, the costs of brain drain dominate these discussions. The brain drain concern is valid, yet focusing on it alone can limit our understanding of the complex implications of migration. This blog argues that apart from its challenges, youth migration can also present some surprising opportunities for socio-economic development if strategically managed.
Youth Migrants
According to the latest Social and Economic Statistics and the Labour Force Surveys of Sri Lanka, departures for foreign employment among young people aged 15-29 years in relation to their population has not seen a noticeable rise in the recent past.
While it can be argued that the perceived increase in migration is a more recent phenomenon accentuated by the pandemic in 2020, it is also possible that young people depart more frequently for other pursuits such as education, for which statistics are not publicly available. To further complicate matters, it is unclear whether most youth consider education as a pathway for long-term residence abroad or intend to return to Sri Lanka with their acquired qualifications.
An Opinion Tracker Survey carried out by the Institute of Health Policy provides a clearer answer. This survey suggested that youth aged 18-29 have the highest desire to migrate at around 48%. But it was people in areas such as the Western province who indicated greater capability of preparing for migration. This is likely due to the high initial cost including airfare, tuition fees, and initial living expenses. Departures in categories other than short-term employment, therefore, seem to be mainly associated with high and middle-income groups. One frequently discussed implication of this is brain drain or the emigration of highly knowledgeable people. Out-migration can also affect economic growth as these social segments provide a stable source of demand for goods and services and contribute to investments. Beyond economic impacts, such communities also hold significant socio-political power in the country. Although understanding the full extent of the desire of young people to migrate remains difficult due to the lack of comprehensive data, a more strategic approach is still warranted to mitigate the adverse effects of migration and leverage its unique advantages.
Youth Migration and Development
Return Migration
As human capital is one of the most valuable resources in Sri Lanka, brain drain can be detrimental. Conversely, return-migration of those who have acquired greater knowledge and skills would increase the stock of human capital. However, the challenges of absorbing returning youth must also be acknowledged, since there can be a mismatch in acquired skills, expectations, and the existing labour market demand. Aside from this, a high unemployment rate (26.5%) among those aged 15-24 years is already prevalent in the country. As such, it is necessary to create more opportunities for youth especially in areas such as science and technology which have a potential for growth and innovation, and also facilitate a conducive business environment and financial system so that knowledge and skills can be utilised in a productive, profitable manner.
Remittances
Migration and remittances have been widely discussed in relation to the current foreign exchange shortage in the country. Although there is some difficulty in estimating the remittances by the youth alone due to data availability, the Sri Lanka Foreign Employment Bureau finds that in 2020, the overall highest contributions originated from areas such as the Middle East (51.7%) and the European Union (19%) whereas destinations such as North America or Australia and New Zealand only account for 2.5% of the total remittances each. This can be expected as many who depart to the former regions are temporary workers regularly remitting to support their families and livelihoods in Sri Lanka.
There is some potential then, to improve flows from the latter regions with sizable communities of Sri Lankans or those of Sri Lankan origin. Proactive engagement of young people can be carried out especially through networks such as school or university alumni associations, voluntary groups, and educational institutions in collaboration with government and non-government bodies.
Investment
As a somewhat risk-averse society, investment and entrepreneurship in Sri Lanka tend to suffer, especially among the youth. But this is understandable given the volatile economic conditions, relatively poor business environment (99th position in the Ease of Doing Business Index in 2020), limited capital, and negative societal attitudes. Conversely, youth from diaspora communities, once securely established are likely to have greater access to capital and may also be less risk-averse due to their exposure to new norms and attitudes.
Another benefit of connecting with expatriate communities is that they tend to be mutually interested in maintaining ties with their country of origin due to various reasons including economic opportunities, a desire to support family and friends and even to contribute towards national development. Identifying and communicating opportunities, as well as facilitating ventures through simpler processes and incentives are some measures that can be taken to achieve this win-win outcome.
In short, while some young people have recently shown a greater desire to migrate, this scenario presents both challenges as well as opportunities. Young migrants residing abroad maintain a significant potential to contribute to Sri Lanka’s development if they are proactively engaged. However, such initiatives should be carried out with caution since false commitments and major inconveniences can dishearten and discourage migrant communities from further attempts at maintaining ties with their motherland.
Link to the full Talking Economics Blog: https://www.ips.lk/talkingeconomics/2022/02/07/youth-migration-challenges-and-opportunities-for-sri-lanka/
Thisuri is a Research Assistant working on migration and urbanisation policy research at IPS. She holds a BA (Honours) in Economics from the University of Colombo. Thisuri participated in the 2020 IMF Fund Challenge and was selected to present a paper at the FISU World Conference on Innovation, Education and Sport in Lucerne, Switzerland. As an undergraduate, Thisuri received a scholarship for obtaining the best results in the first-year examination of the Faculty of Arts. (Talk with Thisuri: thisuri@ips.lk)
Business
Priority areas for deepening Japan-SL economic ties
Japan Business Council (SLJBC) of The Ceylon Chamber of Commerce recently held its 47th AGM, with the Ambassador of Japan and the Patron of the Council, Akio ISOMATA, attending as the Chief Guest.
Addressing the gathering, Ambassador ISOMATA outlined three priorities for deepening bilateral economic relations: an effective and forward-looking trade and investment policy, the promotion of domestic industrial policy, and expanded investment in renewable energy. He noted that Sri Lanka’s ongoing review of its Free Trade Agreement policy would be important in shaping the country’s future negotiating landscape. He encouraged Sri Lanka to look Eastward toward Southeast Asia and Japan, proposing that the country adopt an export-oriented industrial model. The Ambassador welcomed the Government’s National Export Development Plan 2026 and National Mineral Policy 2026 as consistent with Japan’s vision of connecting Sri Lanka’s export-related manufacturing sectors with India’s high-growth manufacturing base.
In his address, President Athulla R F Edirisinghe reflected on nearly seven decades of humanitarian and development support extended by Japan to Sri Lanka, and paid tribute to the Chairman of the Sasakawa Peace Foundation Yohei Sasakawa, for his magnanimity in establishing the Foundation. Reflecting on the history of Japanese investment in the region from the 1970s onward, he observed that Sri Lanka had missed many opportunities to attract Japanese foreign direct investment. Highlighting the 2025 proposal for a Sri Lanka – Japan Economic Corridor by the Ministry of Economy, Trade, and Industry Japan, he called on Sri Lankan businesses, industry associations, and the wider community to come together in dialogue with the Government to ensure the country does not miss this opportunity as well.
2026/27 Committee: President: Athulla R F Edirisinghe – Director, Hirohama Ceylon (Pvt) Ltd, Senior Vice President – Ruwan Waidyaratne – Managing Director, Hayleys Advantis Ltd, Vice – President – Shamil Mendis – Managing Director, Spear International (Pvt) Ltd, Treasurer – Rohitha Mendis – Managing Director of Prudential Shipping Lines (Pte) Ltd, Immediate Past President – Mahen Kariyawasan – Managing Director, Andrew The Travel Company (Pvt) Ltd, representatives from Amano Lanka Engineering (Pvt) Ltd, BOV Capital (Pvt) Ltd, Brandix Apparel (Pvt) Ltd, Heritage Teas (Pvt) Ltd, Kalhari Enterprises (Pvt) Ltd, Lanka Harness (Pvt) Ltd, Dentsu Grant (Pvt) Ltd, MAC Holdings (Pvt) Ltd, and Vidullanka PLC. By invitation: HVA Foods PLC (subsidiary of George Steuart & Co), Spillburg Holdings (Pvt) Ltd, and Vaughan Chemicals (Pvt) Ltd.
The Sri Lanka – Japan Business Council plays an important role in promoting trade, tourism, and investments between Japan and Sri Lanka. For membership inquiries contact Kiyara at The Ceylon Chamber of Commerce via E-mail: businesscouncils1@chamber.lk or Tel.: 011 5588875/ 5588800.
Business
Rekawa turns turtle conservation into a 30-year community business model
By Ifham Nizam
What started 30 years ago as an effort to protect sea turtles has evolved into a community-based economic model that has generated livelihoods, attracted tourists and transformed Rekawa into one of Sri Lanka’s best-known nature tourism destinations.
The Rekawa Turtle Conservation Project, launched on September 2, 1996, by the Turtle Conservation Project (TCP) in partnership with the Department of Wildlife Conservation and the Rekawa community, marked its 30th anniversary last week, demonstrating how biodiversity protection can become an economic opportunity for communities living alongside sensitive natural resources.
Speaking at the anniversary celebrations, TCP chairman Thushan Kapurusinghe said the project currently provides direct livelihoods for 28 people, but its economic impact extends considerably beyond those directly employed by the programme.
‘Today, 28 people directly earn their livelihood through this project. But its impact goes far beyond those 28 individuals, Kapurusinghe said.
He pointed to the transformation of the area over the past three decades, arguing that the growth of tourism in the community has been closely linked to the turtle conservation programme.
‘If you travel from Netolpitiya to this area, you can clearly see how much the village has transformed over the years. There is no doubt that the growth of tourism in this community has been driven by the Turtle Conservation Project, he said.
The economic significance of Rekawa lies in its ability to convert the protection of a natural asset into a source of recurring community income.
Tourists do not come to Rekawa merely to see a beach. They come to witness sea turtles emerging from the ocean and nesting in their natural habitat—a tourism experience that depends directly on the continued protection of the nesting beach.
Kapurusinghe said tour operators regularly bring visitors to Rekawa, with some tourists traveling there after visiting major attractions such as the Kandy Esala Perahera.
The model represents a fundamental shift from viewing conservation as an expense to recognising biodiversity as an economic asset that can generate sustainable livelihoods when properly managed.
The 30th anniversary celebration at the Rekawa Turtle Conservation Project Information Centre brought together Southern Wildlife Region Director of the Department of Wildlife Conservation Channa Suraweera, government officials, conservation organisations, community representatives and long-standing supporters of the initiative.
Individuals who had contributed to the project over the past three decades were also recognised with awards for their service to sea turtle and environmental conservation.
Rekawa’s experience has attracted international attention because of precisely this combination of conservation and community development. The project has received international recognition as well as the Green Employment Award from the Ministry of Environment and Natural Resources. Earlier international recognition included a highly commended ‘Tourism for Tomorrow’ award, while the project’s turtle-watch programme subsequently received further recognition in responsible tourism and conservation.
Business
Ceylinco Life brings premium policyholders closer to the magic of the Kandy Perahera
For an evening, the timeless spectacle of the Kandy Esala Perahera unfolded at especially close quarters for a select group of Ceylinco Life’s most valued policyholders and their families, who were hosted to an exclusive viewing experience by the Company’s Customer Relations Division.
Held at the Ceylinco Life Kandy Branch on Kings Street, the annual event coincided with the second Randoli Perahera, bringing guests into the heart of one of Sri Lanka’s most spectacular expressions of culture, tradition and pageantry.
As the procession made its majestic passage through the streets of Kandy, guests enjoyed VIP seating at a prime vantage point, allowing them to experience the colour, movement and grandeur of the Perahera up close. The evening offered a fitting setting for Ceylinco Life to celebrate its enduring relationships with its premium clientele.
The experience extended well beyond the spectacle outside. Guests were welcomed with evening refreshments and an exclusive dinner buffet presented by the prestigious Amaya Hills Resort, adding a fine-dining dimension to an already memorable evening.
Families, too, were at the centre of the occasion. A private movie theatre experience provided entertainment for children and adults alike, while each attending family received a beautifully framed family photograph as a personalised souvenir, a tangible reminder of an evening shared together against the backdrop of one of Sri Lanka’s most treasured cultural traditions.
Besides being a much sought-after opportunity to watch the Perahera, the occasion was an expression of appreciation. Through its continuing Customer Relationship Management activities, Ceylinco Life seeks to create experiences that recognise its most valued policyholders not simply as customers, but as relationships to be celebrated and nurtured. And on this particular August evening, the enduring splendour of the Kandy Perahera provided the perfect setting for doing just that.
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