Sri Lanka Rolls the Dice on Casino Tourism to Power Post-Crisis Recovery

The Voice of Chandigarh :

In a bold move to revive its post-crisis economy, Sri Lanka has launched South Asia’s first integrated casino resort — the $1.2 billion “City of Dreams Colombo.” The mega-project, developed jointly by Melco Resorts & Entertainment of Macau and Sri Lanka’s own John Keells Holdings, is expected to reshape the island nation’s tourism industry.

Tourism, currently contributing about 4% of Sri Lanka’s GDP, is set to play a much larger role. The government has set ambitious targets to boost the sector’s share to 10%, aiming to attract at least 3 million visitors in 2025, up from 2 million last year.

India and China are key focus markets, with visa-free entry already extended to travelers from both countries. Officials hope the casino resort will position Colombo as a luxury gaming and entertainment hub, competing with destinations such as Macau, Singapore, and Manila.

To oversee the growing industry, a new Gambling Regulatory Authority has been established, tasked with licensing, compliance, and taxation. While supporters see the move as a game-changer for foreign exchange earnings and job creation, critics have raised concerns about social and financial risks.

“This is about reimagining Sri Lanka’s global image,” said a senior tourism official. “We want to move beyond beaches and heritage and attract high-value travelers looking for world-class entertainment.”

With the “City of Dreams” set to open in Colombo, Sri Lanka is quite literally betting big on casino tourism to drive its economic revival and international profile.