Sri Lanka proposes Mattala International Airport to Emirates and Qatar Airways
The Morning: The Sri Lankan Government has initiated preliminary discussions with both Emirates and Qatar Airways, with the intent of offering Sri Lanka’s Mattala Rajapaksa International Airport (HRI) as an alternative hub for the foreseeable future.
Both airlines have reportedly “expressed strong interest” in moving some of their operations to the southern Sri Lankan Airport. Though the billion-dollar airport opened back in 2013, it has unfortunately seen very little commercial service.
Sri Lanka hopes that such a setup could provide a vital economic lifeline to the country, especially as the current situation in the Middle East has caused a steep decline in tourism to Sri Lanka, due to flight cancellations.
OSL take:
Sri Lanka’s strategic positioning in the Indian Ocean, the many trade agreements as well as trade concessions enjoyed with many foreign countries, the improving business conducive environment and the target of becoming a hub in the South Asian region have all made Sri Lanka an emerging business destination in the region. The increasing economic activities in the country as well as the growing tourism industry has resulted in the increase of flights operated by international airlines to the country as well. All these developments created an expansion in key economic sectors including business, trade, tourism and aviation. All these also resulted in the expansion of business/investment opportunities in all key economic sectors in the country. However, one of the key unique selling points of Sri Lanka is its location in the Asian region and most often considered as a gateway to Asia. Sri Lanka therefore presents the ideal business/investment destination for foreign businesses/investors in the Middle East region, who are looking for alternative locations in the Asian region to shift operations due to the ongoing conflict in the Middle East. Also, foreign businesses could look at expanding operations in Sri Lanka through local collaborations given the strong and growing private sector in the country.
| Article Code : | VBS/AT/20260331/Z_2 |