Despite ongoing debates and allegations surrounding the transfer of Sri Lanka’s visa processing to the private entity VFS Global, the Government remains steadfast in its stance that the decision will not be revisited.
A senior Government official, speaking on condition of anonymity, told The Sunday Morning that while there may be diverse opinions on the visa handling process, it had already been delegated to VFS.
The official emphasised that this decision, being a governmental prerogative, stood without any grounds for reconsideration or reversal.
Sri Lanka recently implemented an outsourcing scheme for visa processing, resulting in a significant increase in fees starting last month. The Government is under intense scrutiny for outsourcing the process to a consortium led by VFS Global. Critics argue that this move could potentially earn the private company nearly $ 50 million annually if tourist arrival projections remain unchanged.
VFS Global works closely with 67 governments. It operates over 3,300 visa application centres in 151 countries and has processed over 285 million applications since its inception in 2001.
According to its website, VFS Global is headquartered in Zurich and Dubai and backed by majority shareholder Blackstone, along with the Swiss-based Kuoni and Hugentobler Foundation and EQT. It further claims to be committed to creating value for all stakeholders and leading in responsible, innovative solutions making government services more effective and efficient.
VFS has been operating in Sri Lanka since 2004, facilitating the visa application process for 23 governments including the UK, Australia, Canada, New Zealand, and Schengen countries such as France, Germany, Switzerland, Italy, Norway, Austria, Latvia, Hungary, Croatia, Malta, and Greece.
It operates six visa centres located in Colombo and Jaffna and employs over 123 Sri Lankan nationals. Since 2004, VFS Global Sri Lanka has processed over 3.2 million visa applications.
The Department of Immigration and Emigration has signed a tripartite contract with GBS Technology Services, IVS Global FZCO being the prime contractor, and VFS Global being the technology partner for the Government’s new e-visa solution – www.srilankavisa.lk.
The new system
The new visa facilitation system, which replaced the previous quick Electronic Travel Authorisation (ETA) process, encountered fresh controversy over visa denials.
The cost of Sri Lanka’s visa fees saw a sharp rise following the introduction of the new system, with an additional $ 18.50 service charge imposed for each visa. Furthermore, there has been criticism regarding the Government’s decision not to continue offering the single-entry $ 50 visa for 30 days, which was previously the cheapest tourist visa option.
Previously, Sri Lanka offered a double-entry visa for tourists at $ 50 ($ 30 for South Asia) along with a $ 1 processing fee through its ETA portal, which was swiftly processed. However, following the transition to the VFS Global website, the price surged to $ 100.77, including a $ 18.50 service charge and a $ 7.27 ‘convenience fee’.
Tourists have expressed astonishment at the steep increase in prices, noting that family groups now had to pay $ 500 or more to visit. Additionally, children under 12 used to receive free visas, but this option is no longer available.
Previously, the old double-entry visa had a validity period of six months. However, since transitioning to VFS Global, the validity period has been halved to three months.
Sudden implementation
Amidst these developments, the Government accused several Immigration officials of exacerbating the situation.
However, a senior Immigration official, speaking on condition of anonymity, emphasised that the officials were not opposed to the introduction of a new company or a new mechanism for visa handling but highlighted a lack of awareness.
“We had no prior knowledge of the new visa system. It was implemented suddenly. Our contention was that we should have been informed before VFS began recruitment. There was a lack of proper coordination between VFS officials and Immigration officials because we were not informed about anything. Ideally, there should have been a trial period before VFS was appointed,” stressed the official.
Meanwhile, the Committee on Public Finance (COPF) on Thursday (9) summoned the Secretary to the Ministry of Public Security and the Controller General of Immigration and Emigration to address the current controversy surrounding the exclusive visa agreement granted to VFS Global and will be meeting again on Tuesday (14) for further discussions.
Prior to the meeting, COPF Chairman Harsha de Silva, while announcing the meeting on X, said: “It is customary for all legislation related to public finance to go through the COPF, yet this particular issue did not follow that procedure, which is quite unusual.”
However, the outcomes of the meeting were not disclosed to the media last week by the committee, since it is scheduled to convene again this week.
VFS statement
VFS Global faced criticism regarding its visa issuance procedures and fees following the circulation of a video on social media featuring a frustrated Sri Lankan national. In the video, the individual alleged that Indian companies, responsible for visa processing at the Bandaranaike International Airport (BIA), were causing delays and imposing additional processing charges.
In response to these allegations, the Indian High Commission dismissed reports of Indian companies assuming control over visa issuance at the BIA, stating: “Any association with India in this matter is unfounded.”
In a recent statement, VFS Global emphasised its role as a leading outsourcing and technology service provider, particularly in employing innovative technologies such as generative Artificial Intelligence (AI) to assist governments and diplomatic missions worldwide. The company specialised in managing administrative tasks related to visa, passport, and consular services, allowing client governments to focus on assessment tasks, it noted.
The company statement further noted that it prioritised ethical practices and sustainability while adhering to international standards such as ISO 27001:2013, UK Cyber Essentials Plus, and others. It also ensures data security and compliance with data protection laws like the General Data Protection Regulation (GDPR).
VFS Global clarified that it handled non-judgemental administrative tasks only, leaving the decision to grant or reject visas to the Department of Immigration and Emigration. The company employs Sri Lankan nationals and aims to increase its workforce. Its digital platform is used by multiple governments worldwide, including Thailand and Dubai, and was adopted by Sri Lanka to streamline the visa process and boost tourism and investment opportunities.
Travellers can access a range of visa categories online and receive support in multiple languages through a dedicated contact centre. The service operates on a user-pay model, with all investments covered by the company. The approved service fee is $ 18.50, excluding payment processing charges and local taxes, according to the statement.
When contacted by The Sunday Morning, Public Security Ministry Secretary Viyani Gunatilaka stated that there had been no decision made at the ministry or at Cabinet level to reconsider the contract awarded to VFS as yet.
He clarified: “We have not made such a decision yet. We are hoping to continue operations with VFS. The VFS office at Bandaranaike International Airport (BIA) will also be reopened shortly.”