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Tourist arrivals in Sri Lanka fell 20.3 percent in July from a year earlier, the island's tourist board said on Tuesday, blaming security fears related to the renewed war between the state and Tamil Tiger rebels.
The civil unrest reduced arrivals by 23.7 percent in the first seven months of the year and many hotels struggling with low occupancy are discounting rooms in a bid to lure clients. Tourist arrivals in July totalled 44,142 compared to 55,354 a year earlier. Arrivals in June were down 30 percent.
"The arrivals have come down because of the country's security situation but the (performance) has improved," said S. Kalaiselvam, director general of the Sri Lanka Tourist Board. "July is an off-season, so arrivals of more than 40,000 tourists is a considerable achievement amid the current situation."
A number of foreign embassies have advised nationals to avoid north and east Sri Lanka because of the new chapter in a two-decade civil war that has killed nearly 70,000 people since 1983 and around 4,500 people since last year.
In March, the rebels bombed an air force base adjacent to the island's international airport, which is 20 miles (32 km) north of the capital, Colombo. Night flights were halted for weeks.
According to central bank data, earnings from tourism in January to April fell by 14.8 percent compared with last year to $130.8 million. The rebels, who are fighting for an independent homeland on the north and east of the teardrop-shaped island in the Indian Ocean, said last month they were aiming to cripple the island's economy with major attacks on military and economic targets.

Copyright Reuters, 2007

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