Art is increasingly seen as an investable asset. The strongest gains are now in contemporary work. The market is supported by galleries, helping keep the market stable, clearer pricing through online platforms, and growing interest from India. While social media gives artists new ways to engage with buyers.
Some of the sharpest gains have come from works purchased up to two decades ago, often without regard for their investment potential. “People who purchased art in the past, not even looking at it as an investment, have seen them appreciate by 20,000–30,000%. It is crazy,” says Malaka Talwatte, who chairs the George Keyt Foundation, a trust that preserves the legacy of George Keyt, one of Sri Lanka’s most influential artists, and supports artists and exhibitions.
Talwatte’s interest in collecting art was sparked three decades ago when, as an undergraduate, he frequented London’s flea markets. London’s place as a centre of an occupier of foreign lands meant there were many old paintings of Ceylon there, which started him off as an art collector. Curiosity and an appreciation for something beautiful were motivations, rather than any consideration for art as an investment asset.
Today, more sophisticated investors seeking portfolio diversification are turning to art, a trend that is now global. The Art Basel and UBS Survey of Global Collecting 2025 shows that high-net-worth (HNW) collectors allocated an average of 20% of their wealth to art in 2025, up from 15% in 2024.
“Sri Lankan art is a fantastic investment, specifically for locals, because of the accessibility we have now,” says Saskia Fernando of Saskia Fernando Gallery (SFG). Founded in 2009, SFG represents leading and emerging Sri Lankan contemporary artists, supporting their work through exhibitions, art fairs, and projects with international partners that have helped raise the country’s art profile abroad.
Decades of work by professional galleries, she says, have underpinned the growth of contemporary art, the wider market, and the investment potential around these works. She points out that SFG is the country’s only representative gallery, acting as an artist’s long-term professional partner rather than just showcasing works, and the first to secure institutional purchases of contemporary Sri Lankan art.
Having been closely involved in this gallery-led growth for 17 years, she speaks as someone who has watched the market change up close and who sees patronage and investment as two sides of the same coin. Fernando grew up in a house- hold where design and art were central. Her father, Udayshanth Fernando, is the founder of Paradise Road, an establishment of art galleries, design stores, boutique hotels, and restaurants.
She also has longstanding relationships with many of the senior artists working today and comes from a family with a significant modern and contemporary collection, parts of which have been donated to institutions including the Los Angeles County Museum of Art.
Saskia Fernando, Director at Saskia Fernando Gallery
A Split Market for Donald Friend’s Art
Saskia Fernando examines how markets can separate price from reputation
Saskia Fernando of Saskia Fernando Gallery points to the case of Donald Friend, an Australian artist who spent time in Sri Lanka in the 1970s and later published The Diaries of Donald Friend. She notes that he was later convicted of child sexual abuse, and says this has left little appetite in Australia to keep or celebrate his work. Yet she says his Sri Lanka-period paintings tell a different story online. On auction sites, works from his “Ceylon” series can fetch high prices, sometimes around $30,000 to $40,000, even though his works more broadly often sell closer to $1,500 to $2,000. This is a reminder that prices are shaped by context and demand, and that interest appears strongest among Sri Lankan buyers, not Australian ones.
Understanding Modern and Contemporary Art
In Sri Lanka, art investments fall into two categories: contemporary art and modern art.
Contemporary art refers to works made from the 1960s up to today. It can be anything from a painting to a video or performance. It often talks about what is happening in the world now, like identity, technology, and social issues. Modern art is art made roughly between the 1860s and the 1960s, when artists broke away from traditional styles and experimented with new forms and ideas.
Lahiru Pathmalal, a long-time art collector, says, like stocks, some artworks are blue-chip bets.
Pathmalal, who is Director of e-commerce at Komar, an international sleep-wear and intimates brand, has his home filled with works by well known Sri Lankan artists such as Jagath Weerasinghe and George Keyt.
Of the two, sizable return on investment seems to be concentrated in contemporary space. Fernando says, “The strongest investment opportunities lie in contemporary artists who have major international recognition, like being acquired by museums such as the Guggenheim Abu Dhabi.”
She adds that while this information has not yet been made public locally, SFG is already seeing contemporary Sri Lankan artists enter major international museum collections for the first time, which strengthens the investment case.
Like Fernando, Pathmalal echoes, “If you’re chasing large gains, look to contemporary art, where blue-chip works can deliver steady, compounding growth year after year.”
He adds that art is unlike most investments because, even if it doesn’t rise in value, it can hang on a wall for everyone to enjoy.
Galleries and Markets
The art ecosystem is commonly divided into three markets. The primary market involves artists selling work directly to buyers, either independently or through a gallery. The secondary market includes auctions and dealers reselling art, while a smaller tertiary market sees works change hands through trusts, companies, or private arrangements.
Fernando points to the role galleries have played in shaping Sri Lanka’s art market. Looking back, she notes that early spaces helped bring local artists into more structured, long-term careers. “Even before SFG, places like Paradise Road and Barefoot helped artists move from informal sales into sustainable professional practice,” she says.
This long-term effort has increased demand by expanding the collector base. Many collectors, be they individuals or institutions, pay more attention to market trends and collecting patterns.
“Too many buyers ignore what an artist is doing, which awards they are winning, and which museums are collecting their work, even though that is what signals a strong investment.”
It’s not just art galleries that are dealing in this asset class. “A rise in individuals dealing in art outside,” says Fernando, reflects both increased interest and a changing ecosystem, referring to the secondary market.
From a collector’s perspective, Thinushkya Soysa says, “Big names in finance have been buying art from Sri Lanka, which is encouraging for both local artists and their work,” adding that a growing number of exhibitions and improved political stability have further strengthened the case for collecting.
Soysa began collecting art just three years ago. Despite being relatively new to the scene, she has acquired works by artists such as Saraswathi Rockwood, Anoli Perera, and Nuwan Nalaka.
Malaka Talwatte, Chairperson at The George Keyt Foundation
An Artist Valued Only After His Time
Ivan Peries’s journey to recognition, and how appreciation is shifting
Malaka Talwatte, Chairperson at the George Keyt Foundation, recalls the late modernist painter Ivan Peries as an example of how fortunes can change, and how the art market has evolved. “Ivan’s early years in London were defined by poverty. He was trying to support his family while living with mental-health problems.” He says friends would buy drawings from him simply to help him get by. Today, Peries’s paintings sell for between $80,000 and $150,000, but he never lived to see that recognition. “However, there is a shift underway. Artists are starting to be valued in their own lifetimes.”
Tracking the Value of Sri Lankan Contemporary Art
Selected works and valuations from artists represented by Saskia Fernando Gallery (SFG)
SFG currently represents 19 contemporary artists, many of whom have been exhibited and recognised internationally in art centres such as London, Singapore, Dubai, Los Angeles, and New Delhi.
Fernando also keeps detailed records on these artists and their works, including pieces sold, sale prices, and estimated values:
Lahiru Pathmalal, Director of E-Commerce ay Komar
What Sri Lankan Art Fetched at a Charity Auction
Selected works and final sale prices from the George Keyt Foundation–Sotheby’s charity auction, December 2024
In December 2024, the George Keyt Foundation and Sotheby’s hosted a charity auction featuring Sri Lankan art. The figures listed are the final prices sold at auction and should be read in context, as values can vary depending on the artist’s market, the work’s size and medium, provenance, and overall demand on the day.
Another point to note is that prices at charity art auctions are often lower because bidding is driven more by goodwill than competition, with conservative estimates and less market pressure than at commercial sales.
How Art Gets Its Price
For buyers and sellers, establishing value for a work of art is trickier than for other investment asset classes.
For buyers, Fernando points to platforms such as Artnet, where subscriptions provide access to auction results, as a good place to start.
She cautions that these figures need to be read carefully, as auction prices can be skewed by highly sought-after pieces. For a clearer picture, she points to speaking directly with representatives handling resales, whether for modern or contemporary artists.
The key is to look at everything available and make your own judgement, she says. “Galleries will share price lists on request, and this is not treated as confidential.”
Talwatte also endorses platforms like Artnet. “Platforms such as Artnet and Artprice offer price data on art, with subscriptions giving access to records for more than 100,000 works, including pieces by Sri Lankan artists.” He adds that these platforms reflect what is sold at auction and the secondary market.
For sellers, even though online platforms help buyers benchmark prices, they are often only part of the picture. Talwatte adds, “For someone considering a sale, a direct assessment of a work’s value usually becomes necessary, and appraisals have become more accessible.”
Fernando says, “Most people don’t realise that you can simply email a gallery and request a piece to be appraised.” She adds that you can even email an auction house to have a work appraised. For younger contemporary artists, she notes that there are now multiple galleries that offer appraisals. “There are more representatives now, so I would urge buyers or sellers to seek more than one opinion rather than rely on a single valuation.” She adds that new collectors make the mistake of not seeking a diversity of views.
However, Pathmalal suggests the data is hard to come by. He says there is too much reliance on word of mouth. “The market is driven by opinion rather than data, with no single set of figures to rely on.” In Sri Lanka, he adds, the challenge is compounded by the market’s relatively small size.
Thinushka Soysa, Investor & Board Director at M Power Capital Securities
Building a Strategy for Buying & Selling Art
Depending on which market you choose, Talwatte says, “If you are new to art, take it slow, read a lot, visit galleries and seek advice from people who know the field; if you are more experienced, private-wealth firms can help.”
Fernando further adds that the market’s growth has also brought in new dealers and is now more competitive. In Sri Lanka, she says, “an anti-gallery mindset is being pushed,” although professional structures, including galleries like SFG, have maintained a consistent presence of Sri Lankan artists at international art fairs since 2016. She points to India as a contrast, where galleries have taken contemporary art global.
Making money in art is a long-term game. Soysa and Fernando both echo this belief. Soysa puts the minimum horizon at five years, holding a piece for at least that long before even considering a sale. That gives the artist time to establish themselves and allows the value to appreciate.
Fernando says works of artists featured at SFG also typically gain value over the long term. “We want to see a consistent appreciation of market value, not an overnight boom. In another decade, the strongest investments will be in artists whose work has been recognised internationally.”
“Too many buyers ignore what an artist is doing, which awards they are winning and which museums are collecting their work, even though that is what signals a strong investment,” she adds. “Works by established, in-demand artists are easier to resell, so if you are buying to invest, choose the artist carefully and be clear about how soon you want a return.”
She suggests a simple way to spot an artist whose work may be priced below its potential is by looking beyond local markets and comparing like-for-like. By researching international artists, for instance, in Pakistan, and comparing their sale prices with those of comparable Sri Lankan artists, might lead to the discovery of significant price discrepancies. That’s a signal that one artist is undervalued, “meaning you could buy in at a lower price now and potentially profit later if the market catches up to their perceived value.”
Soysa also points to size as a factor to consider, noting that while a larger work is not essential, it can offer an advantage and potentially higher returns despite the heavier price tag.
India’s Influence on Sri Lanka’s Art Market
Talwatte says India’s art market is booming, and that rise is spilling over into Sri Lanka.
India has started building art museums, and as interest there grows, buyers are also looking next door. Indian collectors who see Sri Lankan work as good value are coming here to buy pieces that are still relatively cheaper, widening demand for local art.
Hence, Sri Lankan artists exhibiting in India are becoming increasingly visible. A growing number are now represented by Indian and other international galleries.
“If an artist is getting recognition in India, it is most likely that their pieces are a good investment.” He adds that India also offers tax breaks for art purchases, which helps lift demand.
Pathmalal echoes this view, noting that strong interest from India has become a key support for Sri Lankan art. With the Indian market expanding rapidly, he believes demand for Sri Lankan work will continue to grow alongside it. “I am willing to bet that as long as the Sri Lankan and Indian economies keep growing, the art market will do really well.”
However, Fernando says India’s interest in Sri Lankan art reflects years of groundwork by galleries. She notes that major Indian collectors, including Kiran Nadar, have acquired contemporary works from SFG, and that this patronage has in turn drawn Indian galleries to follow suit, representing Sri Lankan artists on Indian platforms.
The Art Market’s Next Phase
Fernando notes that the number of galleries in Colombo is likely to keep growing, which she sees as a positive development. More galleries, she says, mean greater investment in artists and more opportunities to take their work abroad, with international exposure ultimately driving
both value and the local art market. She says, “This is just starting to happen, so now is the time to invest.”
“If an artist is gaining recognition in India, it is highly likely that their work represents a strong investment opportunity.”
– Malaka Talwatte, Chairperson at the George Keyt Foundation
Artists have also begun showcasing their work on social media. A few artists known to Talwatte, in the United Kingdom, don’t work with a gallery or exhibit at a studio, but sell works for millions of Pounds. This accessibility has become a major player in democratising art. “Where there is demand, there will be value.” He suggests the market has become more accessible, and you will see an increase in demand.
Social media has also become a reference point for price and quality for new collectors, especially because many major works are still privately held, Soysa says. “You will not always have access to homes that have the major art collections,” she adds, noting that platforms like Instagram help bridge that gap.
Art, like any other investment asset, is shaped by broader economic conditions. “At the end of the day, collectors must have money to spend,” Pathmalal says.
Soysa echoes this view, adding that sustained GDP growth will naturally strengthen art’s position as an asset. She notes that Sri Lanka is already moving in that direction.
Inside Talwatte’s Art-Filled Home
Selected works from a private collection that move across colonial, modern, and contemporary periods
1. An oil painting by Australian artist Donald Friend that depicts a boat near shore; made during his mid-1950s stay in Sri Lanka as Bevis Bawa’s guest, it reflects his collaborations with Geoffrey Bawa and his influential use of gold paper, a technique that later inspired artists such as Laki Senanayaka and is seen as part of his finest Ceylon collection.
2. Another work by George Keyt. A man and a bull painted in 1954. Influenced by Picasso.
3. Andrew Nicholl’s large, detailed watercolour view of Galle Face Green, drawn on Christmas Day between 1860 and 1865, captures the site’s past as a racecourse and golf club and as the venue for the inaugural Royal–St Thomas’ cricket match.
4. Pala Pothupitiya’s map of Colombo Fort explores the links between colonisation, trade routes, and power. This piece is currently on loan to Jefferson House, the residence of the US High Commissioner in Sri Lanka.
5. The home of Malaka Talwatte, chairperson of the George Keyt Foundation, is filled with works by artists such as George Keyt, Donald Friend, and Andrew Nicholl. A George Keyt piece of his two daughters appears to depict them on a boat and references the biblical line, “Cast the net on the right side of the boat, and you will find a catch” (John 21:6).