New Productivity Plan To Drive Sri Lanka’s Tourism And Economic Growth

Published on November 21, 2025

On November 20, 2025, the government of Sri Lanka presented the first of its kind National Productivity Master Plan. This plan aims for a radical transformation of the country on an economic level within a five-year span. This plan, which covers the period from 2024 to 2029, is designed to achieve productivity-driven, export-oriented economic growth with a strategic focus on the revitalization of Sri Lanka`s critically important tourism industry. This growth plan is the result of collaborative work done by the National Productivity Secretariat and the Ministry of Industry and Entrepreneurship Development, with technical assistance from the Asian Productivity Organization (APO).

The Productivity Master Plan is a linchpin in moving the country in a positive direction after the economic turmoil and challenges the country has experienced in the past few years. The plan aims to provide the country with an economic recovery and provide a pathway to sustainable economic growth in the long run at an economic, social and technological level. Innovation, public and private human resources, and infrastructural development will be of supreme importance in the new economic order. However, the development of Tourism and related industries as fully fledged economic activities will be one of the major pillars in augmenting the economic base of the country.

Tourism’s Role in Economic Transformation

Tourism has long been a cornerstone of Sri Lanka’s economy, contributing significantly to both foreign exchange earnings and employment. The National Productivity Master Plan seeks to harness the full potential of the tourism sector by introducing strategies aimed at increasing its global competitiveness. These strategies include improvements in infrastructure, smarter public institutions, and skill development tailored to the needs of the tourism industry.

The government recognises that in order to attract more international tourists, it must provide world-class services, better facilities, and a seamless experience for visitors. Investment in tourism infrastructure, including transportation, accommodations, and digital services, is a top priority. By doing so, Sri Lanka aims to position itself as a leading destination in the Asia-Pacific region, offering a diverse range of experiences from cultural heritage sites to eco-tourism and beach resorts.

Furthermore, the plan emphasizes the importance of sector-specific strategies, particularly for the tourism industry, which has faced challenges in the past due to global economic fluctuations and local disruptions. The Master Plan outlines ways to improve competitiveness within the tourism sector, including training and development programs for local workers, promoting sustainable tourism practices, and enhancing the quality of tourism services. These initiatives are designed to not only attract more visitors but also to ensure that the industry remains resilient in the face of external shocks.

Connecting Tourism with Broader Economic Goals

The National Productivity Master Plan also seeks to integrate tourism growth with broader economic objectives. By enhancing productivity across multiple sectors, the plan aims to drive up the country’s total export revenues, projected to reach USD 45 billion by 2030. Tourism will play a key role in this, with the sector expected to contribute significantly to the industrial and total export revenue goals.

Moreover, the Master Plan highlights the importance of aligning the skills of the workforce with the demands of the tourism industry. As part of its strategy, the government plans to invest in human capital development, ensuring that the tourism sector is equipped with a skilled workforce capable of meeting international standards. This will include specialised training in areas such as hospitality management, digital marketing, and sustainable tourism practices.

The tourism sector’s growth will also be tied to the development of other industries, such as agriculture, fisheries, and textiles. By creating a more diversified economy, the Master Plan envisions a situation where the tourism industry will not only thrive but also contribute to the development of related sectors, thereby fostering a more balanced and robust economy.

A Vision for Long-Term Prosperity

With an overarching focus on long-term structural transformation, the National Productivity Master Plan aims to position Sri Lanka as a competitive player in the global market. The tourism sector, as one of the country’s key industries, will benefit from a series of coordinated efforts to increase its global appeal, improve service delivery, and enhance infrastructure.

By focusing on these areas, the Sri Lankan government aims to make tourism a central part of the country’s economic resurgence. This long-term vision, which spans from 2024 to 2029, is expected to drive substantial improvements in the country’s productivity, setting the stage for sustainable, export-oriented growth that will benefit the tourism sector and the economy as a whole.

Overview

NPC Master Plan Launching is one of the first signs of Sri Lanka’s Economic Recovery after the Challenges Faced over the Years. Tourism has now become a main focal area of growth. Optimizing the sector will fulfill multiple other needs of the economy. With a focus on Sustainability, the Future of Sri Lanka is Prosperous. Tourism will help develop a positive change in the economy and the growth will be sustainable.