Retiring in Sri Lanka from Australia: costs, visas, pension and health cover (2026)

Who Sri Lanka suits, and what to weigh up

Right now Sri Lanka suits a long winter away better than a permanent move. Australians get a free 30-day ETA, and Sri Lanka’s immigration department lets tourists extend their stay, with its fee chart running to day 270.

Moving for good is harder than it was. The Department of Immigration and Emigration says its My Dream Home programme, the residence visa for older foreigners, now takes extensions only from people who already hold it. What stays open for a long stay are residence classes for the foreign spouse of a Sri Lankan citizen and for former Sri Lankan citizens.

Health care is the other thing to weigh up. Smartraveller says medical services in Colombo are below Australian standards and extremely limited outside it, so anything serious means evacuation. Foreigners can’t buy land, and an apartment has to be paid for in full with money sent from overseas.

Department of Social Services figures released under freedom of information show 45 people getting the Age Pension in Sri Lanka at the end of 2025, down from 80 at the end of 2020. They were paid an average of about A$732 a fortnight each.

What a month costs

Our estimate for a month in Colombo is about A$2,810 for a couple and A$2,040 for one person, rent included.

A month in Colombo	Couple	One person
Rent, one-bedroom flat in the centre	A$830	A$830
Living costs (food, transport, bills)	A$1,330	A$740
Eating out, local trips and extras (30%)	A$650	A$470
Total	A$2,810	A$2,040

How a month in Sri Lanka compares

For a couple

Sri Lanka, our estimate

A$2,810

Comfortable in Australia

A$6,580

Age Pension, the most paid in Australia

A$4,040

About A$3,770 a month less than a comfortable month in Australia.

For one person

Sri Lanka, our estimate

A$2,040

Comfortable in Australia

A$4,680

Age Pension, the most paid in Australia

A$2,680

About A$2,640 a month less than a comfortable month in Australia.

Not built the same way: Australia's figure (ASFA Retirement Standard, comfortable, June quarter 2026) assumes you own your home and includes health insurance; our estimate for Sri Lanka includes rent and leaves health insurance out. Age Pension: the most paid in Australia from 20 September 2026; living overseas for good, the base rate is about A$3,710 a month for a couple and A$2,460 for one person.

Our estimate: Numbeo’s living costs for one person (without rent) plus a one-bedroom city-centre rent, plus 30% for eating out, local trips and extras. For a couple, living costs times 1.8. Converted at the Reserve Bank of Australia’s average exchange rate for the 12 months to September 2026 (A$1 = 0.6919 US dollars). Health insurance is not included. The RBA does not publish a rate for the Sri Lankan rupee, so we use Numbeo’s US dollar figures, converted at the RBA’s average US dollar rate. Numbeo’s Colombo page, last updated 20 October 2026, puts living costs for one person at about US$511 a month (about A$740) and a central one-bedroom flat at about US$576 (about A$830).

We would rather have used Galle. Numbeo’s Galle page has prices for food and transport but no rents, and only 7 people have added prices in 18 months, so we use Colombo instead. Rent in a smaller town may be quite different. Short furnished lets usually cost more than the long-term rent in this table.

Against the Age Pension. After 12 weeks away, the most the pension pays is the base rate. That is about A$2,460 a month for one person and A$3,710 for a couple, before tax (rates from 20 September 2026). That is about A$900 a month more than our Colombo estimate for a couple, and about A$420 more for one person, before health insurance. Our guide to living overseas on the Age Pension sets out the numbers.

What costs more than you’d expect. Health cover is the big one, and our estimate leaves it out. Smartraveller says private hospitals ask for a deposit or proof of insurance before they treat you, and that some medicines are in short supply. Colombo’s average high is 30°C or more in every month, on the Department of Meteorology’s figures, so air conditioning runs for much of the year. A car is dear to come by: Sri Lanka only let personal vehicles back in from 1 February 2025, after about five years without imports, Ada Derana reported. Then there are flights home, which run non-stop from Sydney and Melbourne only.

Renting long term. We found no official guide to how residential leases work for foreigners in Sri Lanka, so the terms are whatever you and the landlord agree. Things to have in writing before signing: the rent, what it covers, the deposit, how many months are paid in advance and who pays for repairs. A furnished short let for the first month or two lets you see the street in the monsoon before you commit to a year.

Visas for Australians

You can visit on a free 30-day ETA and extend it, but there is no retirement visa open to new applicants at the moment.

Visiting. Smartraveller says you need an approved Electronic Travel Authorisation (ETA) before you fly, because you can no longer get one on arrival. It is free for Australians travelling for tourism and lets you stay 30 days. Sri Lanka’s immigration department lists Australia among 40 countries with a free 30-day tourist ETA, in a scheme that started on 25 May 2026. The ETA allows two entries within its 30 days. The department says ETA payments go only through the official site, eta.gov.lk, and warns against paying again at the port of entry.

Extending a tourist stay. You apply online or at the department’s head office in Battaramulla, before your visa runs out, with a return ticket and your address in Sri Lanka. For Australians, the department’s fee chart is US$100 (about A$140) for days 31 to 90, US$150 (about A$220) for days 91 to 180 and US$200 (about A$290) for days 181 to 270. Leaving Sri Lanka during an extension cancels it, so you need a new visa to come back. The department also says a tourist visa does not allow you to live in Sri Lanka for a long period through frequent or successive visits. To enter, the department asks for a passport valid for at least six months from the date you arrive. For an extension, it must be valid for at least two months after your stay ends.

Overstaying is expensive. Leave within 7 days of your visa ending and you pay only the visa fee. Stay longer, up to 14 days, and there is a US$250 penalty (about A$360) on top; beyond 14 days it is US$500 (about A$720).

The retiree visa that closed. The My Dream Home visa took a US$15,000 fixed deposit (about A$21,680) in a Sri Lankan bank. It also needed US$1,500 a month (about A$2,170) sent in for the main applicant, plus US$750 (about A$1,080) for a spouse or each child under 18. It gave a two-year residence visa. The department now lists it as extension only for existing holders, and the Resident Guest Scheme for investors is the same. Holders renewing need medical insurance valid in Sri Lanka, a Sri Lankan police clearance and bank statements every six months. They pay US$200 (about A$290) a year and can’t do paid or unpaid work. Some websites still describe it as open; the department’s page, as we checked it on 21 October 2026, does not.

A partner, or a Sri Lankan spouse. A foreign spouse of a Sri Lankan citizen can get a residence visa free of charge. After more than five years of marriage, that spouse can apply for a Permanent Residence Visa. People of Sri Lankan descent and former Sri Lankan citizens can apply for one too, and former citizens can get a residence visa for US$100 (about A$140) a year. Former citizens can also apply for dual citizenship, which has a category for people who have turned 55. Smartraveller says Sri Lanka recognises dual nationality. For partners who aren’t married, the department decides what applies.

Documents to get in Australia before you go. For permanent residence, the department asks for a police report from your country of citizenship, issued within the last year. Dual citizenship asks for one no older than 12 months. A marriage certificate from overseas needs an English translation certified by the consular office. An Australian Federal Police national police check costs A$57, and the AFP says most online checks arrive within a few days; one with fingerprints costs A$114 and takes 15 to 30 business days. DFAT legalises Australian public documents with an apostille or an authentication certificate. It says the authority asking for the document can tell you which one it needs, and that processing times vary. A document that isn’t an original Australian public document needs a notary public first.

Visa rules change. The High Commission of Sri Lanka in Canberra, the Department of Immigration and Emigration, or a licensed visa agent in Sri Lanka can confirm what is open now. Our guide to visa agent and property scams covers the warning signs before you pay anyone.

Your Age Pension and Medicare in Sri Lanka

Services Australia says you may be able to get the Age Pension for the whole time you are outside Australia, even if you move to another country. After 6 weeks away the Energy Supplement stops and your Pensioner Concession Card is cancelled. The Pension Supplement stops at 12 weeks. If you lived in Australia less than 35 years between age 16 and pension age, your rate drops after 26 weeks to a share of the usual rate. For example, 10 years of residence gets you 10/35ths. The 6, 12 and 26-week rules explain each step.

Sri Lanka has no social security agreement with Australia. On the day you claim, you must be living in Australia and physically here, so you need to claim the Age Pension before you leave. If you move for good, you get the base rate only from the day you leave: A$29,520.40 a year single, A$44,506.80 for a couple.

Medicare never pays for treatment in Sri Lanka, and Smartraveller says there is no agreement between the two countries for free health care. If you are an Australian citizen and move overseas, you can still use Medicare for treatment in Australia, on a visit home for example, for up to 5 years after you leave. Visits home do not restart that clock. After 5 years, you re-enrol when you move back. Permanent residents are different: their enrolment ends 12 months after they leave.

Health care and insurance

Smartraveller says public hospitals are free for Sri Lankans only, so a foreigner’s care is paid by them or their insurer. It says medical care in Colombo is below Australian standards, and outside Colombo facilities are extremely limited, especially for mental health and emergencies. Private hospitals will ask for a deposit or proof of insurance before they treat you, and serious illness or injury means a medical evacuation, which can be very expensive.

What is where. The German Embassy in Colombo keeps a short list of hospitals (dated October 2023), and it shows how care thins out. Colombo has several private hospitals, with a teaching hospital nearby at Ragama. Galle has a teaching hospital, a maternity hospital and a private hospital, and Matara further along the coast has a general hospital and a private one. Kandy has a general hospital and private hospitals, with a teaching hospital at Peradeniya just outside the city. Nuwara Eliya, in the tea country, has a district general hospital. The embassy notes that doctors often have no rooms of their own and see patients at several hospitals during the week, by appointment.

When care means travelling. The German Embassy suggests coming to Colombo for difficult cases where possible. For anything Colombo can’t handle, Smartraveller says you’ll need evacuation to a place with better facilities. Its page on retiring overseas says a medical repatriation can cost hundreds of thousands of dollars. For a medical emergency, call 110; in Colombo you can also call +94 11 269 1111.

Your medicines. Smartraveller says import delays and shortages affect some medicines, so bring enough of your own, with a copy of the prescription and a letter from your doctor. It also says some medicines legal in Australia are illegal elsewhere, even on a prescription. The High Commission of Sri Lanka in Canberra can say whether a medicine you take daily is allowed. Our guide to taking medicines overseas has the Australian side.

Dengue is a risk everywhere, and cases rise in the wetter months: May to October in the south-west and December to March in the north-east. Chikungunya and Japanese encephalitis also occur. Rabies is found in dogs, cats, monkeys and bats, and Smartraveller says a bite or scratch needs urgent care. Mental health services are limited and below Australian standards.

For a visit, Smartraveller says your travel insurance must cover all medical costs, including evacuation. To live there, the usual type is international health insurance, made for people based overseas. Ask the oldest age you can join, whether cover continues as you get older, and whether it pays for evacuation. The age limits for international health insurance are worth checking early. If you’d like help working out where to start, book a free planning session on Zoom.

Where Australians live

There are no official figures on where Australians settle in Sri Lanka. These are five areas to compare, with rough driving times to the international airport at Katunayake, north of Colombo.

Area	What it’s like	Getting around	Hospital	Airport
Colombo	The largest city; our cost base	Flat; tuk-tuks and ride-hailing apps	Several private hospitals	About 45 minutes
Negombo	Beach town on the west coast	Flat; tuk-tuks	Nearest on the embassy list: a teaching hospital at Ragama	About 20 minutes
Galle and the south coast	Old fort town and the beach towns around it	Flat along the coast; Galle Fort is walkable	Teaching and private hospitals in Galle; general and private in Matara	About 2 and a half hours
Kandy	Hill city in the middle of the island	Hilly	General, teaching and private hospitals	About 3 hours
Nuwara Eliya and the tea country	Cool, high country among tea estates	Steep, winding roads	District general hospital	About 5 hours

Driving times are rough; traffic and rain stretch them.

Colombo has the Australian High Commission, the immigration head office at nearby Battaramulla, and private hospitals. Smartraveller says care outside Colombo is extremely limited.

Negombo is the closest beach town to the airport. Smartraveller notes that the 2019 terrorist attacks on hotels and churches hit Colombo, Negombo and Batticaloa, and says the risk of attacks continues.

Galle and the south coast take in the walled fort town and the beach towns along the south-west coast. Galle’s wettest month is October, with about 323 mm.

Kandy is inland and higher up. Smartraveller says Cyclone Ditwah damaged the central mountain areas in November 2025. Most affected areas have been cleared and tourist places are operating as usual, but repairs to rail lines, bridges and landslide areas will go on for some time.

Nuwara Eliya and the tea country are cooler again: average lows there sit between 9°C and 13°C all year.

Smartraveller warns of marked and unmarked minefields and unexploded weapons in the Northern Province and parts of the Eastern Province, and says to stay on main roads there. None of the five areas above is in those provinces.

Renting or buying a home

Foreigners can rent and lease, but can’t buy land. The Land (Restrictions on Alienation) Act of 2014 bars transferring title to any land to a foreigner, or to a company that is half or more foreign-owned.

What the law allows. Under a 2018 amendment, a foreigner can buy a condominium parcel, an apartment with its own title. The whole price has to be paid upfront from overseas before the deed is signed. A lease of land to a foreigner can run for up to 99 years. Dual Sri Lankan citizens are exempt from the restriction, and so are some transfers by inheritance or gift to next of kin.

The risks. The US State Department’s 2025 investment report says Sri Lanka’s property registration system still has problems with fraud and documents. It cites a finding that only about 3% of land holdings have clear titles, and says registering deeds wasn’t compulsory before 2022. It also warns that under the Prescription Ordinance, someone who occupies land unchallenged for 10 years can gain ownership rights.

Smartraveller’s retirement advice says you may not have the same rights as a local partner when it comes to owning real estate. To register a title deed, even a non-resident needs a Sri Lankan Taxpayer Identification Number, the High Commission of Sri Lanka in Canberra says.

The person to ask is a lawyer in Sri Lanka who acts for you, not the seller, and who can check the title and how the price must be paid. Smartraveller also suggests reviewing your will and estate if you buy a house overseas. For the Australian side, see whether to keep, rent or sell the family home.

Tax: there and at home

Under Sri Lanka’s Inland Revenue Act, you are tax resident if you live there. You are also resident if you spend 183 days or more there in any 12 months that start or end in the tax year. The tax year runs from 1 April.

The Inland Revenue Department’s 2025/2026 tax chart taxes income above a personal relief at rates from 6% to 36%. Foreign-source income earned in foreign currency and sent to Sri Lanka through a bank is taxed at no more than 15%. The High Commission of Sri Lanka in Canberra says resident individuals aged 18 and over must register for a Taxpayer Identification Number. Non-residents need one to open a current account, register a vehicle or register title deeds.

Australia and Sri Lanka have a tax treaty, signed on 18 December 1989 and in force since 21 October 1991, Treasury’s list shows. A treaty settles which country taxes which income, so how it treats your pension, super or rent from Australia depends on the details.

At home, the ATO’s residency tests decide whether you are still an Australian resident for tax; our guide to tax residency when you retire overseas walks through them. If you become a foreign resident, you lose the tax-free threshold, so Australian income such as rent is taxed at 30% from the first dollar (2025-26), as the foreign resident tax rates show. Sell your Australian home while you are a foreign resident and, for sales after 30 June 2020, you generally lose the main residence exemption from capital gains tax, apart from narrow life events.

Talk to a registered tax agent in Australia, and to a tax adviser in Sri Lanka about how it treats your pension and super, before you go.

Money and banking

The Sri Lankan rupee is the currency. Smartraveller says you can change Australian dollars at the airport or at commercial banks in the major centres. Most major towns and cities have ATMs, though some don’t take international cards, and hotels and major shops take credit cards. Card skimming and credit card fraud happen, so Smartraveller suggests checking your statements often.

Your pension. Services Australia pays every 2 weeks into your Australian account if you’ll be away less than 12 months. Away longer, it pays every 4 weeks into an Australian or overseas account. Paid overseas, the money comes in the local currency or US dollars, depending on the country, and usually arrives within 2 to 6 days. Bank fees are yours.

A local account. A 2021 Central Bank of Sri Lanka direction lets banks open a personal foreign currency account for a foreigner living in Sri Lanka. Visitors, and people planning to visit, can open one too. A visitor can’t hold one jointly. For a rupee account, each bank sets what it needs from someone on your visa, and a current account needs a Taxpayer Identification Number.

Moving money. The main options are a transfer from your Australian bank, a currency transfer service, or cash from an ATM on an Australian card. Each can charge a fee and build a margin into its exchange rate, so both are worth asking about.

Cash at the border. Smartraveller says you may have to declare more than US$10,000 (about A$14,450) in foreign cash when you arrive and leave. More than US$15,000 (about A$21,680) in foreign currency in any form, cash, drafts, cheques and travel cards included, must be declared. There is also a small limit on Sri Lankan rupees carried in or out.

Currency swings. Prices are in rupees and your pension is in Australian dollars, so the exchange rate sets what a month really costs.

Day to day

Language. Sri Lanka’s Constitution makes Sinhala and Tamil the official languages and English the link language. Even a few words of Sinhala or Tamil help with landlords, tradespeople and markets.

Getting around without driving. Smartraveller says ride-hailing apps work in the major cities if you have a local SIM card, though vehicle standards vary. Safety standards on buses and trains may be lower than in Australia. It reports a high number of road deaths and injuries, especially on intercity buses, and fatal railway accidents in recent years.

Driving. To drive, Smartraveller says you need an International Driving Permit endorsed by the Automobile Association of Sri Lanka, or a temporary Sri Lankan licence from the Department of Motor Traffic. A digital Australian licence may not be accepted when you apply for the local one. Without one, your travel or vehicle insurance may not cover you. Under the National Fuel Authorisation System, a vehicle needs to be registered and given a QR code before it can get fuel. Smartraveller calls driving hazardous, with poor standards and badly maintained vehicles.

Safety. Smartraveller’s advice is to exercise a high degree of caution, because of public demonstrations and security risks. Petty theft happens at markets, on public transport and in hotels. Traders overcharge foreigners and sell fake gems and jewellery. Some beaches have strong rips and lifesavers are rare. Saltwater crocodiles are present in some places, so Smartraveller says not to swim in rivers or lagoons. Many tsunami warning towers don’t work.

Laws that catch visitors. Carry photo ID at all times, or you could be detained. It is illegal to mistreat Buddhist images, which includes posing for a photo next to a Buddha statue or wearing tattoos, clothing or jewellery associated with Buddhism. Drinking and smoking in most public places is illegal, and the drinking age is 21. Same-sex relationships are illegal. Drug penalties include death. Don’t photograph military sites or other High Security Zones, some of which aren’t signposted.

The weather, month by month. Sri Lanka has two monsoons. Smartraveller puts the south-west one from May to October and the north-east one from December to March. In Galle, on the south coast, it stays warm all year and the rain shifts (Department of Meteorology normals, 1961 to 1990, published by the World Meteorological Organization):

Month in Galle	Average high	Average low	Rain
January	29°C	23°C	85 mm
February	29°C	23°C	71 mm
March	30°C	24°C	111 mm
April	31°C	25°C	207 mm
May	31°C	26°C	290 mm
June	30°C	25°C	188 mm
July	29°C	25°C	163 mm
August	29°C	25°C	186 mm
September	28°C	25°C	256 mm
October	29°C	24°C	323 mm
November	29°C	24°C	321 mm
December	29°C	23°C	177 mm

Kandy is a little cooler, with average lows of 18°C to 22°C. Nuwara Eliya’s average highs stay between 19°C and 23°C.

Poya days and holidays. Every full moon is a Poya day, a public and bank holiday, and Smartraveller says alcohol and fresh meat can’t be sold on it. In 2027, the Central Bank’s list has 12 of them. The Sinhala and Tamil New Year holidays fall on 13 and 14 April 2027, and Vesak on 19 and 20 May. The immigration head office closes on public holidays, so extensions can’t be lodged there in person on those days.

Making friends. A language class or a walking group gives you the same faces each week. If you’re going alone, see retiring overseas single.

Getting there and coming home

Non-stop flights to Colombo leave from Sydney and Melbourne. Published 2026 schedules show the Sydney flight taking about 11 hours and the Melbourne flight about 10.5 hours. From other cities you change planes at least once. You arrive at Colombo’s Bandaranaike International Airport, at Katunayake. Smartraveller says to allow extra time for security checks there.

Sri Lanka is 4.5 hours behind Sydney and Melbourne in our winter and 5.5 hours behind in daylight saving. It is 4.5 hours behind Brisbane all year and 2.5 hours behind Perth. A mid-morning call from Galle reaches the east coast in the afternoon. Our guide to the winter away covers how a few months overseas fits with home.

Your first steps

One order that works, from a first visit to a long stay. The right order for you depends on your health, your home and your money.

1. Ask for help first. Book a free planning session on Zoom, or contact our team. Once we understand your situation, we can point you in the right direction.
2. Visit once in the south-west monsoon and once outside it, and see both the coast and the hills. Smartraveller suggests a temporary move of 6 to 12 months first; see trying before you move.
3. Talk it over with your partner and family, including who would fly over if you got sick. Our guide to talking to your family has ways to start.
4. Check what happens to your pension at 6, 12 and 26 weeks. If you haven’t claimed it yet, the claim has to be made while you live in Australia.
5. Find out what health cover you can get at your age, evacuation included. Start with travel insurance for long stays.
6. See your GP about your medicines, and take a doctor’s letter and copies of your prescriptions. With an ongoing condition, read retiring overseas with a health condition.
7. Work out what happens to the house, and whether it counts for the pension while you are away.
8. The free ETA comes from eta.gov.lk, before you fly. With a Sri Lankan spouse or a past Sri Lankan citizenship, the department can say which residence visa fits.
9. Police checks and legalised documents come from Australia, so any you need are ordered before you leave.
10. A short let first shows you an area before any longer lease. Our guide to the long stay covers living somewhere on a lease.
11. Extensions are made in Battaramulla or online before each visa runs out. Leaving the country cancels one.
12. Services Australia needs to know you are going, and how your pension will be paid. See taking your Age Pension overseas.
13. Know your way back: coming home covers your pension and Medicare.

Questions people ask

Does Sri Lanka offer a retirement visa?

Not to new applicants. The My Dream Home visa needed a US$15,000 deposit (about A$21,680) and US$1,500 a month in income (about A$2,170). Sri Lanka’s immigration department says it now takes extensions only from people who already hold it. For a new arrival, the route on offer is a tourist ETA, extended up to 270 days.

Do I need a visa for Sri Lanka from Australia?

Yes. You need an approved ETA before you fly, because Smartraveller says you can no longer get one on arrival. It is free for Australians on a tourist trip, gives 30 days with two entries, and is issued through the official site, eta.gov.lk.

Can I live in Sri Lanka for 6 months?

On a tourist visa, yes, with extensions. The immigration department charges Australians US$100 (about A$140) to stay to day 90 and US$150 (about A$220) to day 180. Leaving Sri Lanka cancels an extension, and the department says frequent back-to-back visits are not a way to live there.

What is the cost of living in Sri Lanka per month?

Our estimate for a month in Colombo is about A$2,810 for a couple and A$2,040 for one person, rent included, before health insurance. Numbeo has no rent figures for Galle, so we can’t give a south coast figure.

Can foreigners buy property in Sri Lanka?

Not land. The 2014 land law bars transferring land to foreigners, though leases of up to 99 years are allowed. Since 2018 a foreigner can buy an apartment on strata title if the whole price is paid upfront from overseas.

Does Sri Lanka tax foreign income?

It can. You become tax resident by living there or spending 183 days or more there in a 12-month period. The 2025/2026 tax chart caps tax at 15% on foreign-source income earned in foreign currency and sent in through a bank. A tax adviser there can say how that applies to your pension.

Is Sri Lanka safe to travel now?

Smartraveller advises a high degree of caution across Sri Lanka because of public demonstrations and security risks. It warns of terrorism, minefields in the north and east, monsoon flooding and landslides, and a high number of road deaths. Read the current advice before you go and subscribe to updates.

What are the pros and cons of living in Sri Lanka?

Low costs, a free ETA that extends towards 9 months and non-stop flights from Sydney and Melbourne count for it. Against it: no retiree visa for new applicants, medical care below Australian standards with evacuation for anything serious, and no land for foreigners.