MONEY SPINNING ARUGAM BAY NOT GAZETTED AS A TOURIST....

However, the insufficient attention paid by the SLTDA to these issues is concerning. Critics point out that due to these developments there could be a threat to security in the area, in the future. Moreover, the visibility of uniformed military personnel in the area has driven a sense of fear into some tourists. Therefore, during a recent meeting chaired by Pottuvil Divisional Secretary, it was decided upon that security personnel should be clad in civilian attire when providing protection to tourists.

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Chabad House

The 1,500 hotel rooms in Arugam Bay can accommodate between 2,500 and 3,000 tourists. Room prices typically start at US $100. Based on this, hoteliers in Arugam Bay can generate an estimated income of nearly Rs. 60 million per day through accommodations alone. However, there is currently no system in place to ensure that this income is properly regulated.

At present, Australian, European, American and, Israeli nationals have acquired land from Sinhala and Muslim landowners in Arugam Bay and have built hotels. Israelis also maintain a place called Chabad House in the area for their religious activities.