Paytm wants Sri Lanka to build "world's most seamless travel corridor" for Indian tourists

PAYTM CEO for Travel and COO for Consumer Payments Vikash Jalan on Wednesday urged Sri Lanka to position itself as the "most frictionless, trusted, and convenient overseas destination" for Indian travellers, insisting that digital payments and fintech infrastructure will be just as critical as flights, hotels, and marketing in shaping the country's next phase of tourism growth.

- BY CHARUMINI DE SILVA

Speaking at the India-Sri Lanka Tourism Connect forum on the theme “Role of Fintech in Tourism Experiences,” Jalan said modern tourism is increasingly defined by action and ease, not advertising, and that seamless payment experiences are now fundamental to destination choice, visitor satisfaction, and spending levels.

“A traveller shouldn’t have to worry about currency, conversion, or acceptance. When payments disappear into the background, destinations become instantly more attractive,” he pointed out.

He explained that payments are often invisible when they work smoothly, but “painfully visible” when they don’t; affecting not only the individual tourist, but also a destination’s revenue, reputation, and repeat visitation.

A frictionless payment layer, he said, creates a self-reinforcing cycle; destination choices expand, travellers increase, revenues rise, and experience quality improves, helping that destination win in a highly competitive regional market.

Jalan stressed that India’s payments ecosystem is now among the most advanced in the world, driven by Unified Payments Interface (UPI), which processed 85 billion transactions last year, accounting for over 83% of all noncash retail payments.

“India has gone from ‘cash-first to mobilefirst in less than a decade’ and Sri Lanka’s rapid progress in digital payments places it on a parallel track,” he said.

He said over 67% of Sri Lanka’s merchant transactions now run through digital channels, and with UPI acceptance enabled in Sri Lanka in 2024, Indian travellers can simply ‘scan and pay’ as they would at home.

“This changes everything,” Jalan said, pointing to the sharp rise in Indian arrivals.