Sunday, August 4, 2024
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Sri Lanka’s Supreme Court on Friday suspended the government’s plan to hand over visa processing to an India-based consortium set to earn billions of dollars from the deal.
Opposition parties and Tourism Minister Harin Fernando have opposed the privatization of Sri Lanka’s eTA process, claiming it would deter tourists.
Despite these objections, the government went ahead with the outsourcing process in April, contracting India’s GBS Technology Services and IVS Global FZCO, along with VFS Global as technology partner.
The Supreme Court on Friday issued an injunction suspending the agreement and temporarily re-starting the local telecom company that had previously handled visa processing.
The petitioners alleged that the contract was not awarded transparently, and claimed that the foreign consortium would earn up to $2.75 billion over 16 years.
Under the outsourcing agreement, any foreigner entering Sri Lanka will have to pay US$25 for visa processing, even those coming from countries that offer visa-free travel arrangements.
The next court hearing is scheduled for October.
