Coastal tourism is an industry that combines the geography and marine biodiversity, cultural and historical heritage and geological scenic beauty of coastal resources. Travel guides are one of the main factors that guide tourists in the interior of a country and their knowledge, language and associated styles are closely linked with tourism. The main objective of the study was to identify the impact that tour guides have on coastal tourism and to propose coastal tourism development. The specific objectives were to study the impact of the tourism guides on the economy of the coastal tourism industry, the socio-cultural background and to identify the social problems created by the tourism guides in the coastal tourism industry. In the Hikkaduwa tourism area of the Hikkaduwa Divisional Secretariat in the Galle District, the hotel owners, businessmen and boat owners were selected as the study area. The primary sources as well as the secondary source were used for data collection. The study found that travel guides have a moderate effect on a high percentage of economic activity. It is 33% as a percentage. A study of travel guides to find out how much they support the economy was found to cost between Rs. 5001-10000. It is 37% as a percentage. A study conducted to determine whether tour guides are paying for tourists or not, has reported a higher percentage of payments. It is 80% as a percentage. Social problems are reported to be caused by travel guides. It is 90% as a percentage. A study conducted to identify the social problems in the area caused by travel guides who work in the coastal tourism industry shows that the highest percentage of drug uses. It is 33% as a percentage. The second highest proportion is prostitution. It is 26% as a percentage. Social problems such as homosexuality and homosexuality report 11%.