Sri Lanka tourism industry begins to recover after attacks, election is next hurdle

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Tourist arrivals from Europe and Asia-Pacific, which account for 90% of the total visitors to Sri Lanka, nearly halved in July from a year ago.

COLOMBO - Sri Lanka's tourism industry, badly hurt by Easter day bombings, is showing signs of gradual recovery, industry executives say, although a national election later this year is likely to weigh on holiday season arrivals.

SriLankan Airlines, the country's lone carrier, will likely post a loss of as much as $160 million in the financial year to end-March 2020 as it lost business after the attacks, its chief executive officer told Reuters. The holiday season, from November through January, is the busiest time of the year for Sri Lanka's tourism industry, which accounts for nearly 5% of the country's GDP and was its third-biggest source of foreign exchange in 2018.

Boosting it will likely be a challenge as an impending presidential election, preceded by political campaigning, could persuade tourists to steer clear of Sri Lanka.

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