Sri Lanka Celebrates 100 SMEs for Leading the Way in Sustainable Tourism

Colombo, Sri Lanka, 21 July 2025 – One hundred small and medium-sized enterprises (SMEs) across Sri Lanka have been awarded the National Sustainable Tourism Certification (NSTC) by the Sri Lanka Tourism Development Authority (SLTDA), in collaboration with the United Nations Development Programme (UNDP) through the Biodiversity Finance Initiative (BIOFIN).

These awards recognize local businesses that have adopted environmentally, socially, and economically sustainable practices, supporting Sri Lanka’s efforts toward a greener, more inclusive recovery. Notably, 27 of the certified SMEs are women-owned, which is five times the industry average, marking significant progress in reducing gender disparities in the tourism sector.

UNDP Resident Representative in Sri Lanka, Azusa Kubota, emphasized the need for collaboration:

“To position Sri Lanka as a truly sustainable and resilient tourism destination, government ministries, local communities, the private sector, and development partners must come together. By engaging youth and marginalized groups, promoting responsible tourism, and empowering SMEs, we can ensure tourism benefits are shared fairly and contribute to inclusive, people-centered growth.”

Since 2018, BIOFIN—supported globally by the Governments of Germany, France, the United Kingdom, Switzerland, and the European Union—has worked with SLTDA to expand sustainable tourism standards. What began with accommodation providers and destinations was extended to SMEs in 2023, with a special focus on supporting women entrepreneurs and unlocking green market opportunities.

As global demand for eco-conscious and wellness tourism grows—expected to reach over US$1 trillion by 2025—Sri Lanka is well-positioned to respond, leveraging its rich biodiversity, Ayurvedic heritage, and cultural traditions. By encouraging businesses to adopt responsible, future-ready practices, the NSTC scheme supports income generation, skilled jobs, and biodiversity conservation.

Ms. Kubota highlighted recent milestones, including the launch of the Sustainable Tourism Office in 2023 and Sri Lanka’s alignment with global sustainability frameworks such as the Paris Agreement and the Kunming-Montreal Global Biodiversity Framework.
She also urged a shift to a broader, more strategic investment mindset:

“Sri Lanka should invest 12.5% of GDP each year to meet the SDGs by 2030. We need a whole-of-society approach to financing ecosystem and climate action.”

Government officials echoed this commitment. Deputy Minister of Tourism, Ruwan Ranasinghe, noted:

“Tourism isn’t just about building big hotels. It’s about preserving our values, heritage, ecology, and communities. These SMEs have shown us how tourism can shape a better future.”

SLTDA Chairman Buddika Hewawasam stressed inclusivity:

“We want tourism development that includes all, across ethnic groups, villages, and people with disabilities. Everyone should have access and opportunity.”

Through initiatives like the NSTC, Sri Lanka is creating a model for sustainable tourism built on local leadership, cultural pride, and community innovation, offering the world a glimpse of how tourism can thrive in harmony with both people and nature.