Sri Lanka Proposes Mattala Airport PPP to Attract Global Aviation Investment

December 27, 2025 at 12:00 AM•2 min read

Sri Lanka's Minister of Ports and Civil Aviation proposed a Public-Private Partnership (PPP) for Mattala Rajapaksa International Airport (MRIA) to attract investment in MRO and

Key Points

1Minister Dr. Anura Karunathilaka confirmed a proposal for a Public-Private Partnership (PPP) at Mattala Rajapaksa International Airport (MRIA).
2The PPP is specifically designed to attract investment in non-core services, including aircraft maintenance, training, and fuel supply.
3The government will submit the proposal to the Cabinet and invite Expressions of Interest (EoI); three companies have already expressed interest.
4This initiative aims to transform the loss-making MRIA into a profitable venture while avoiding full privatization of the state asset.

The Sri Lankan government is moving forward with a plan to attract private sector investment to the Mattala Rajapaksa International Airport (MRIA). Dr. Anura Karunathilaka, the Minister of Ports and Civil Aviation, confirmed a proposal for a Public-Private Partnership (PPP) program. This initiative aims to utilize the airport's assets and infrastructure more effectively. The Minister stressed that this process is not a full privatization of the airport.

Proposal Details and Next Steps

The PPP proposal is set for submission to the Cabinet of Ministers for formal approval. Following approval, the government will invite Expressions of Interest (EoI) from potential investors. Already, three private companies have shown preliminary interest in conducting business activities at the airport. The government's goal is to transform the underutilized facility into a profitable venture.

Targeted Investment Opportunities

This new program focuses on opening investment in several key areas. These opportunities are primarily for non-core aviation services. The areas highlighted for private investment include:

Aircraft maintenance, repair, and overhaul (MRO) facilities.
Aviation-related training activities.
Fuel supply and logistics operations.

This segmented approach allows the state to retain control over critical functions. Essential services like air traffic control and airport security will remain under the Civil Aviation Authority of Sri Lanka (CAASL).

Context of MRIA and Aviation Sector Impact

Mattala Rajapaksa International Airport has been a challenging asset since its 2013 opening. It has consistently faced criticism for low flight numbers and significant financial losses. Previous attempts to hand over management to foreign entities were unsuccessful due to legal restrictions.

This new Public-Private Partnership model is a strategic pivot. It seeks to leverage the airport's large-scale infrastructure. The focus on MRO and training is a recognized global trend. Many airports use these services to generate non-aeronautical revenue. Attracting private capital is crucial for the airport's financial stability. It also boosts the entire Sri Lanka aviation sector by creating new jobs. The investment in aircraft maintenance training will also help develop local technical expertise. This is a vital step for regional commercial aviation news and growth. The government hopes this move will finally turn the airport into a profitable hub. For more updates on global aviation news, visit flying.flights.