By: Staff Writer
October 13, Colombo (LNW): Sri Lanka’s tourism industry, which has weathered years of political instability and economic turbulence, is entering a transformative phase with the launch of the Grand Serendib Colombo the nation’s first AI-powered hotel project. The initiative, unveiled at the Shangri-La Hotel Colombo on October 10, symbolizes the new government’s push to integrate artificial intelligence (AI) and smart infrastructure into its broader tourism revival strategy.
The inauguration was attended by Minister of Foreign Affairs, Foreign Employment and Tourism Vijitha Herath, who called the project a “milestone investment” that will “redefine Sri Lanka’s smart hospitality landscape.” The event also marked the 20th anniversary of ABEC, the company spearheading the development. Joining the minister were Sri Lanka National Cricket Team Head Coach Sanath Jayasuriya, ABEC Premier Dilip K. Herath, and several diplomats and academics, emphasizing the project’s national significance.
The Grand Serendib Colombo is expected to incorporate AI across multiple service dimensions from personalized guest experiences and predictive maintenance to energy optimization and smart logistics. According to ABEC executives, AI-driven analytics will enable the hotel to anticipate tourist demand patterns, manage resources efficiently, and improve sustainability metrics.
This aligns closely with the government’s Smart Tourism Strategy 2025, which aims to reposition Sri Lanka as a tech-driven destination that blends digital innovation with its natural and cultural heritage. The Ministry of Tourism has already introduced digital visa processing, destination intelligence platforms, and AI-based visitor analytics to track spending, stay duration, and travel behavior.
Recent data from the Sri Lanka Tourism Development Authority (SLTDA) shows a 35% year-on-year rise in tourist arrivals during the first nine months of 2025, reaching nearly 1.7 million visitors, with India, Russia, and the UK leading source markets. Tourism revenue crossed USD 2.8 billion, a 28% increase compared to the same period last year a strong rebound supported by diversified promotional campaigns and improved air connectivity.
However, industry analysts caution that while tourist arrivals are rising, average spending per visitor remains stagnant, and infrastructure outside Colombo continues to lag. Projects like Grand Serendib are seen as test cases for integrating technology to enhance value addition rather than volume growth.
Minister Herath stressed that Sri Lanka must transition “from traditional sun-and-sand tourism to data-driven, sustainable hospitality.” He added that AI will play a pivotal role in “improving service quality, optimizing resources, and strengthening Sri Lanka’s global tourism competitiveness.”
Academics at the event highlighted that AI-based predictive models could help forecast seasonal trends, personalize marketing strategies, and reduce operational inefficiencies areas long neglected in Sri Lanka’s tourism sector.
As the island prepares for its Tourism Vision 2030, which targets USD 10 billion in annual revenue, the Grand Serendib Colombo stands as a symbol of innovation-led recovery. It represents not only a step toward smarter tourism but also a broader shift in how Sri Lanka leverages technology to rebuild confidence, attract investors, and reshape its global image as a next-generation tourism hub in South Asia.
