Tourism is the main competitive sector in the Central Province. World Heritage and other historical sites attract the majority of visitors who come to the Central Province. Places of worship and the National Parks are the most attractive for the tourists.
Sri Lanka hosts around 400,000 tourists each year with the potential for this figure to increase substantially.
Growing acceptance of Sri Lanka as a major tourist destination offers excellent opportunities for strategic investments in the leisure industry.
Investments of more than Rs 10 million in hotels, recreational complexes, golf courses and other projects related to tourism and leisure attract a tax rate of 15 per cent for 15 years. During the implementation (construction) period, such projects may also import equipment and construction materials free of import duty.
Enterprises in this category may also obtain foreign loans to meet cost of imports with the prior approval of the Controller of Exchange. Note that tourism, recreation and leisure projects that exceed Rs 500 million (US$ 8.0 inn) qualify for incentives under Large-Scale Projects.