Tourism, foreign exchange and loss of dignity

In July 2022 our then government accepted  that the country was bankrupt. We had lost the ability to repay our foreign debts and import essential food items for our people. It left millions of Sri Lankans struggling to buy food, medicine and fuel. Hundreds of thousands lost employment. The then Governor of the Central Bank estimated that over 500,000 daily paid workers lost employment.

An India line of credit (over $ 4 billion) and an IMF Extended Fund Facility (EFF) of $2.9 billion, helped keep the country afloat. With starvation facing them in the face, thousands of Lankans began seeking employment abroad. The Middle East was the favourite destination of most persons seeking employment overseas. 

In the aftermath of Israel’s war of attrition in Palestine, the job market in that country opened. Not surprisingly, Lankan’s desperate to help their families survive the economic crisis in our country sought and received employment in Israel despite the ongoing war in that country. Our people are so desperate that numbers of them even opted to actively participate in the Russo-Ukraine war.

Income from migrant workers contribute the largest share of foreign exchange to government coffers. In fiscal year 2024, Sri Lanka’s migrant workers earned and remitted a record-breaking US$6.58 billion. This significant inflow was a 10.1% increase compared to 2023, according to Public Finance.lk.

Government too, desperately needs to increase its earnings in foreign exchange to repay its external debt, repay India’s line of credit, repay the IMF loan as well as build up reserves. Perhaps it was this desperation which drove our own government to sign an agreement with the government of Israel to provide employment opportunities to Lankan workers in Israel. 

However, with increased numbers of Lankans moving to Israel, we have witnessed large numbers of Israelis entering this country as tourists especially in the Arugam Bay area. In a strange twist however, the incoming Israeli tourists, contrary to the laws of this country started opening up businesses in the country. 

This is raising concerns about foreign influence, specifically Israeli-backed ventures taking over key areas of the local economy. Israelis are focusing on the surfing sector where their influence is growing.

Arugam Bay has witnessed an influx of Israeli tourists. These visitors often arrive in large groups. Included among them are medical staff and  Israeli military personnel resting from their activities in occupied Palestine. A number of them have been accused of committing war crimes against Palestinians.

These tourists rely on Israeli-run restaurants and services. 

Some of the Israeli tourists have even purchased scooters and tuk-tuks, not only for their personal use, but to run a parallel tourist transport service for ‘Israelis only’, separate from the local community. Little if any of the income they are expected to bring in to the country can therefore expected to remain here.

The most visible symbol of Israeli presence in Arugam Bay is the illegally constructed Chabad House, a place of worship for Israeli tourists. Services are conducted at the Chadab House on Fridays and are rather noisy. They clash with the prayer time of the local Muslim community and are a source of harassment to the local Muslim community.

Though not approved by the local authority, the Chadab House located on Mafasa Mosque Road is being provided security. Many sign boards in the area too,  are now in Hebrew.

Worsening the situation has been the sale of land to these illegal ‘Israeli foreign investors’ who are here on tourist visas and working in collaboration with local partners. Will this be allowed in any self-respecting country? In India for example? 

People are beginning to see a familiar pattern in events taking place here, to what happened in Palestine in the aftermath of the UN partition of Palestine. There too, Israelis began by purchasing lands from local communities, before    violently forcing them out.

We understand the importance of tourism to our country’s economy. We know the value of foreign exchange. But it cannot be at the expense of selling the country’s sovereignty. Nor can we permit a band of foreigners who have been accused of war crimes and worse to break laws of our land with disdain.

The law needs be applied equally whether it be Colombo, Jaffna, Kaththankudy or Arugam Bay. Else, we will be seen as easy targets to imperialist powers who attempt to use tariffs to  impose their will on weaker states.