Cinnamon Hotels Bets Big on India for Its Next Growth Phase

With Sri Lanka’s tourism sector on a strong recovery path, Cinnamon Hotels & Resorts is sharpening its India focus, betting on the country’s booming outbound travel and close proximity.

“At a market level, India is our most critical focus,” says Hishan Singhawansa, CEO of Cinnamon Hotels & Resorts. “While we are not pursuing hotel development in India at this stage, from a demand standpoint, India is absolutely central to our growth strategy.”

Headquartered in Colombo, Cinnamon Hotels & Resorts is Sri Lanka’s largest hospitality operator, with 17 hotels across Sri Lanka and the Maldives. Its portfolio includes 13 properties in Sri Lanka, four of which are located in Colombo, and four resorts in the Maldives, spanning city hotels, beachfront resorts, and large-scale integrated developments.

A cornerstone of the group’s urban vision is Cinnamon Life, City of Dreams Sri Lanka, a landmark mixed-use development in Colombo that is now operational.

“This is a transformational development for the city,” says Singhawansa. “It integrates two hotels with over 800 rooms, a luxury retail mall, Sri Lanka’s first world-class casino, residences, and office spaces into a single destination.”

Designed as a lifestyle and entertainment hub, Cinnamon Life is expected to play a key role in attracting short-haul travelers, particularly from India, and repositioning Colombo as a regional leisure and business destination.

Singhawansa highlights India’s economic momentum and growing appetite for international travel as major tailwinds.

“India is the fastest-growing large economy globally, with growth exceeding 7 percent,” he says. “Outbound travel is already substantial and is expected to rise sharply over the next five years.”

Sri Lanka’s location and cultural familiarity work strongly in its favour. “We are just a short flight away, culturally aligned, and well suited for Indian leisure travellers,” he adds. “A significant portion of India’s outbound growth will naturally flow to nearby destinations like Sri Lanka.”

Indian travellers have traditionally shown strong interest in coastal destinations such as Bentota, which Singhawansa notes remains among the most popular Sri Lankan locations for Indian guests. Cinnamon’s island-wide resort presence allows it to cater to Indian travellers across multiple segments and price points.

“FY 2025 has been the best year in our history,” says Singhawansa. “We’ve surpassed pre-pandemic benchmarks across the portfolio, with consistently strong results.”

The group operates under a clear owner–operator structure, with John Keells Holdings, Sri Lanka’s largest publicly listed conglomerate, as the principal owner, and Cinnamon Hotels Management Limited (CHML) as the operator.

“We work on a management fee model, which means performance and delivery are non-negotiable,” he explains. “That discipline has served us well.”

To further ease travel for Indian guests, Cinnamon has rolled out UPI payment acceptance across all its hotels and restaurants in Sri Lanka.

“Indian guests can now use UPI just as they would back home,” says Singhawansa. “From hotel stays to dining, the experience is completely seamless.”

The initiative, enabled through banking partnerships and government support, reflects Cinnamon’s broader focus on reducing friction and enhancing guest convenience for Indian travellers.

Looking ahead, India will remain at the core of Cinnamon’s strategy, particularly for flagship assets such as Cinnamon Life – City of Dreams Sri Lanka.

“India represents the biggest opportunity for us,” Singhawansa concludes. “With improved connectivity and continued outbound growth, it will be a key driver of our business in the years ahead.”