Sri Lanka reopens bids for Bentota lake resort after investor proposals fall short

Sri Lanka’s government announced it will re‑invite Expressions of Interest for the long‑delayed Dedduwa Lake‑Based Tourist Resort Development Project in Bentota after two investors failed to provide sufficient financial proof. Prime Minister Dr. Harini Amarasuriya told Parliament that “neither investor submitted sufficient financial proof to confirm the required financial capacity; therefore, the Development Proposal Evaluation Committee did not recommend any proposal.”

The project plans to transform 694.54 ha of inland land into an eco‑friendly lake resort featuring floating accommodation, water‑sports, nature activities and agri‑tourism, aiming to diversify Bentota’s coastal tourism economy. Land acquisition, completed between 2005 and 2017, compensated 1,068 owners with Rs 147.3 million and paid Rs 88.8 million in interest; the land is now vested with the Sri Lanka Tourism Development Authority (SLTDA). Authorities are addressing infrastructure gaps, including acquiring an additional 27‑30 acres for an access road from Galle Road and demarcating boundaries to resolve unauthorised encroachments.