The CEO of the Pegasus hotel chain has said that the one million tourists that visited Sri Lanka last year had not made the expected impact on the hotel industry, in his company’s annual report.
"It is therefore prudent to surmise that this influx of tourists have patronized the bungalows, guest houses and residences of relatives as their preferred abode as opposed to regular hotels," he said.
"Whilst this casts doubt on the classification of "tourist", it certainly displays the lower spending potential of tourists which doesn’t auger well for the industry as a whole."
A significant proportion of the foreigners visiting Sri Lanka are thought to be disapora Tamils returning to visit relatives in their native towns and villages in the northeast of the island.
Tourist numbers increase, as Indian visitors fall (27 May 2013)
Sri Lankan police to track foreign tourists (16 Apr 2013)
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