The Department of Commerce was set up in the Vidyodaya Campus of the University of Sri Lanka in 1973 concurrently with the establishment of the Faculty of Management Studies & Commerce under the University re-organization scheme in 1972.

The Department commenced the prestigious four-year B.Com (special) degree programme initially in all three languages namely Sinhala, Tamil, and English. Later, Tamil medium was discontinued as faculty competent of teaching degree curriculum in Tamil was not available and as a degree programme in Commerce in Tamil medium were introduced in other universities especially in the North and East of Sri Lanka. The Department was proud to run a highly reputed and successful B.Com (special) degree program in Sinhala and English medium with students initially allocated from among those sent to the Faculty of Management Studies and Commerce and afterwards directly from the University Grants Commission.

The Department currently conducts its program in the English medium only. The first batch of B.Com (Special) students graduated in 1977. The Department has a total of 500 undergraduates. The full-time academic staff of the Department is supplemented by a team of visiting lecturers holding higher academic and professional qualifications with wider experience in the industry.

The Department is also being assisted in teaching other departments of the Faculty in respective specialisation areas. As a department of higher learning, it is committed to uplift the well being of the community by producing skilful and resourceful graduates who are readily employable and competent to serve the needs of the country.