Tuesday May 12, 2026 3:13 pm
Tuesday May 12, 2026 3:13 pm
ECONOMYNEXT – Sri Lanka has invited foreign investors to operate the Chinese-built airport in the country’s deep southern district of Hambantota, the Board of Investment (BOI) said in a statement.
The loss-making Mattala Airport is located next to the Chinese-owned seaport in Hambantota.
“(The) Ministry of Ports & Civil Aviation has launched a formal drive to attract both local and international investors to Mattala Rajapaksa International Airport (MRIA),” the Ministry said in a statement.
“The Board of Investment of Sri Lanka will work with all stakeholders and prospective investors as a facilitator for this important investment opportunity.”
The Ministry has invited Expressions of Interest (EOIs) for Airside/Aerodrome operations and Landside Operations.
MRIA’s investment proposition spans diverse sectors, including Cargo Services, Logistics, Maintenance, Repair & Overhaul (MRO) Operations, Aircraft Spares Manufacturing, Industrial Parks for manufacturing, packaging, and warehousing, Renewable Energy projects, and Resort Hotels and Hospitality Services.
“Authorities are positioning the airport’s proximity to the Hambantota Port and major international shipping lanes as a key competitive advantage, enabling integrated air-sea connectivity,” the Ministry said.
“The initiative forms part of a broader effort to attract foreign direct investment and elevate Sri Lanka’s profile in the global aviation sector,” the BOI said.
The Airport was inaugurated in March 2013 as the country’s second international gateway.
Constructed with an investment of approximately $209 million, largely funded by loans from the Export-Import Bank of China, it was envisioned as a catalyst for regional development, intended to support a logistics hub, a tourism surge in the southern province, and a sea-air transshipment link with the nearby Magampura Mahinda Rajapaksa Port.
Magampura Mahinda Rajapaksa Port is leased to China under a 99-year tenure.
The Airport facility was designed to handle one million passengers annually and features a 3,500-meter runway capable of accommodating large aircraft like the Airbus A380.
Despite its high-tech infrastructure, MRIA has consistently incurred massive financial losses since its inception, earning the moniker of the world’s emptiest international airport.
In an attempt to mitigate these losses, the Sri Lankan government recently entered into a management agreement with a joint venture between Indian and Russian firms to operationalize the airport through a 30-year lease, aimed at converting it into a profitable entity through transit flights and specialized cargo operations.
However, the deal was cancelled later after both Russian and Indian firms were blacklisted by the U.S. State Department.
The BOI said flexible investment models are on offer, including joint ventures, public-private partnerships, and direct investments, with the aim to lower barriers and appeal to investors with varying risk appetites and capital commitments.
The EOI process is open to both domestic and international entities. The documents can be obtained free of charge from Sri Lanka’s main airport in Katunayake or downloaded from AASL’s website at www.airport.lk. (Colombo/May 12/2026)
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