The first tourist hotel in Jaffna opened in November 2010 and came into operation having a room capacity of 40 rooms.

The total hotel room capacity as at the end of December 2010 stands at 15,270 rooms to date in the country.

In addition to this, there were 15 hotels coming under construction which also has a total room capacity of 697 rooms.

Consequently, the overall annual hotel room occupancy rate increased too to an unprecedented level of 70.1 % from the 48.4 % occupancy rate that was recorded in the previous year; an increase again of 21.7 percentage points. This was due to the unprecedented demand for hotel rooms, coming from both the domestic as well as the foreign tourists in the country.