2018-09-14

Sri Lankan Government Plans to Cut Airport Charges

According to the study done by the Sri Lankan government, They are now reviewing airport charges at all Sri Lanka international airports.

As per the study, Sri Lanka charges about 30 % to 40% of airfare as airport charges and it is very high when comparing to other countries.  It is around 10% to 15% for most airports.

Further reports say that landing charges and Fueling chargers are also going to reduce.  Ceyleon Petroleum Corporation (CPC) has monopoly to supply fuel and there is no competition. CPC is which is fully owned by the Sri Lankan Government.

These actions are taken to increase tourist arrivals and make Sri Lanka a tourism hub by offering attractive prices.

But This blogger believes all Sri Lankan governments have not taken timely actions to expand Bandaranaike international airport and now it is overcrowded.

As per this blogger reducing chargers may effect Sri Lankan economy via Airport and Aviation Services LTD and CPC directly.

Overcrowded BIA cannot handle even another 1% increased in passenger arrivals and departures. Therefore the government should take actions to speed up expansion projects rather than reducing charges without a plan. 

VAT Refunds for Tourists at Airport in Sri Lanka

As per the finance minister, Sri Lankan government has started new tax refund counter at Bandaranaike International Airport, Katunayake to make the island a competitive trading hub.

Whatever purchase made by tourists within Sri Lanka is technically export. Therefore tourist can reclaim 15% tax which charges around Sri Lanka.

Eighteen establishments those who have registered to the department of inland revenue make use of this facility.

Institution those who wish to make use of the facility can register at inland revenue department.

Counter is in operation from September 11, 2018.

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