Tangalle is a regionally important fishing port, situated on one of the largest bays in Sri Lanka, which is protected from the ocean by an enclosing reef. It is a centre of tourism and a popular holiday destination on the south coast.

The Dutch and subsequently the British used Tangalle as an important anchorage on the southern coast of the island. The Dutch Fort, Rest House and Court House are a few remaining examples of Dutch architecture in Tangalle.