CSBA congratulates govt.; hails move to appoint minister for capital markets

The Colombo Stock Brokers Association (CSBA) yesterday congratulated the new government, Prime Minister Mahinda Rajapaksa, and newly-appointed State Minister for Finance, Capital Markets, and State Enterprise Reforms, Ajith Nivard Cabraal.

CB to launch housing loan scheme targeting low and middle-income groups

The Central Bank (CB) plans to launch a housing loan scheme targeting low and middle-income groups in the country as it explores fresh loan schemes to support the economy with the COVID-19 relief loan scheme inching closer towards its completion.

LVL Energy says its wind power plants lost connectivity to Norochcholai grid from late July

LVL Energy Fund PLC said two of its wind power plants connected to Norochcholai grid substation were unable to dispatch electricity since July 25 due to an equipment failure at the grid substation.

Tea exports up 13% YoY in July

Sri Lanka’s tea exports witnessed a 13 percent Year-on-Year (YoY) expansion for the month of July, recording the highest quantity shipped for the corresponding month over the last five years.

CBSL announces continuation of current monetary policy stance

The Monetary Board of the Central Bank of Sri Lanka (CBSL) announced its decision to maintain the Standing Deposit Facility Rate (SDFR) and the Standing Lending Facility Rate (SLFR) at the current levels of 4.50 percent and 5.50 percent.

Royal Ceramics Lanka’s 1Q earnings hit by pandemic

Royal Ceramics Lanka PLC (RCL) reported a earnings of Rs 9.2 million or 8 cents a share for the June quarter (1Q21), recording a slump of 97 percent Year-on-Year (YoY), driven by lower sales resulting from COVID-19 related lockdown measures in the quarter.

First Capital says 50% chance for policy rate cut today

First Capital Research predicts a 50 percent probability for the Central Bank (CB) to cut policy rates for fifth consecutive instance for the first time in history to discourage the banking sector utilising the Standing Deposit Facility Rate (SDFR). The latest monetary policy review is scheduled to be announced at 7.30 a.m. today.

Auerbach Grauson exits Lion Brewery

Auerbach Grauson & Co., a brokerage that specialises in international trading, exited Lion Brewery (Ceylon) PLC (LION) yesterday by divesting its full shareholding below the market price, which appeared to be a negotiated deal.

Budget in November; Vote on Account in the interim

The new government will present a Vote on Account to Parliament on August 28 to seek parliamentary approval to allocate money for its expenditures.

Trump backs Oracle in reported TikTok bid

President Donald Trump has voiced approval of Oracle Corp’s reported bid for TikTok, the Chinese video-sharing sensation that could also be bought by Microsoft.

Committee to be appointed to probe State bank malpractices

Finance Minister Mahinda Rajapaksa has received the Cabinet nod to appoint a committee to look into the irregularities and malpractices that were said to have taken place in State-owned banks from January 8, 2015 under the previous regime.

July vehicle registrations strong, but momentum unlikely to continue

Vehicle registrations in the month of July remained strong, even though lower from June, driven by existing inventories but the momentum could slow in August due to potential stockouts in certain vehicle categories as the government has put a lid on vehicle imports.

IMF Resident Representative pays courtesy call on State Minister of Finance Cabraal

International Monetary Fund (IMF) Resident Representative to Sri Lanka Tubagus Feridhanusetyawan paid a courtesy call on the State Minister of Finance, Capital Markets and Public Enterprise Reforms Ajith Nivard Cabraal at the Finance Ministry.

Committee to probe into wrongdoings at state banks

Finance Minister Mahinda Rajapaksa received the nod of the Cabinet of Ministers today to appoint a committee to look into the irregularities and malpractices that were said to have taken place in the state-owned banks during the period the previous government was in power.

Kotagala recognised for following COVID health guidelines

Sri Lanka’s Kotagala Plantations PLC has become the first tea manufacturer in the world to produce tea strictly following COVID-19 health guidelines issued by the World Health Organisation. The Mount Vernon Factory in Hatton, belonging to Kotagala Plantations, this week received the certification in this regard from Sri Lanka Standards Institute.

Depositors of failed finance firms paid Rs.850mn in 2019

Sri Lanka Deposit Insurance and Liquidity Support Scheme (SLDILSS) set up to redress to depositors of failed financial institutions has released Rs.851.8 million as compensation during 2019, while the Fund has grown by nearly Rs.11 billion to Rs.62.7 billion, the published audited financial statements showed.

Sri Lanka has US$ 300mn in foreign debt obligations due for Aug. and Sept.

Sri Lanka’s foreign debt obligations due for August and September stand at US$ 300 million before the country settles a billion dollars in debt it borrowed via a sovereign bond in October, data from ICRA Lanka showed.

Cigarette sales on path to recovery following sharp volume decline

Sri Lanka’s monopoly cigarette player, Ceylon Tobacco PLC (CTC) says cigarette sales are set for a pre-pandemic level recovery after recording sharp 38 percent year-on-year (YoY) decline in volumes during the June quarter (2Q20).

Prices of locally manufactured confectionery items jacked up

Prices of locally produced confectionery products have undergone an upward revision in the recent months—a move taken by the industry to help ease the financial constraints faced since mid March.

Youth job losses set to top 100,000 this year due to COVID-19 crisis: study

Job losses among Sri Lanka’s youth is projected to top 100,000 this year as a result of the COVID-19-induced crisis, driving the country’s already high youth unemployment rate above 30 percent, according to a latest report.

Finance Minister assumes duties

Prime Minister Mahinda Rajapaksa yesterday assumed duties as the new government’s Finance Minister, at the Finance Ministry premises in Colombo.

Manufacturing and services activities continue to expand in July

Sri Lanka’s manufacturing and services activities continued to expand in July, as economic activities were seen normalising gradually, the Purchasing Managers’ Indices complied by the Central Bank (CB) showed.

Colombo Dockyard secures order to build 6 Eco bulk carriers for Norwegian firm

Colombo Dockyard PLC (CDPLC) is moving towards executing an already signed contract with Misje Eco Bulk AS (Misje), a Norwegian company, to build six firm plus four optional Eco bulk carriers.

Apparel sector sees improvement in orders

Sri Lanka’s apparel industry, which faced a major setback due to the global health crisis, is finally beginning to witness progresses, with buyer interest showing signs of improvement.

Fair value and capital gains from G-Secs and lower taxes cushion ComBank’s 2Q

Commercial Bank of Ceylon PLC reported subdued top line performance amid low business volumes and impacts stemming from the relief afforded to its clients affected by the pandemic but the gains made from its investments in government securities (G-Secs) and lower taxes softened the impact on its bottom line.

Softlogic group financial sector subsidiaries to raise Rs.2.9bn via rights

Two Softlogic group subsidiaries in the financial services sector yesterday revealed plans to collectively raise up to Rs.2.9 billion via rights issues, subject to regulatory and shareholder approval.

Daintee acquisition to boost Sunshine’s defensive cash flows: Fitch

Sunshine Holdings PLC’s (A(lka)/Stable) 100 percent acquisition of Sri Lanka-based confectionery maker Daintee Limited will increase the cash flow of the group’s fast-moving consumer goods (FMCG) segment, which is defensive in nature, as the lower-priced goods are considered essential, Fitch Ratings said.

Pressure grows on Norway’s new wealth fund chief to divest hedge fund stake

The businessman appointed to lead Norway’s US $ 1.1 trillion sovereign fund should not be allowed to take up the job unless he divests his holdings in a hedge fund, the opposition Labour Party told daily VG and broadcaster NRK on Friday.

Uber relaunches ‘24x7 Safety Helpline’ in SL to boost rider security

Taxi hailing app, Uber relaunched its on on-trip ‘24x7 Safety Helpline’ in Sri Lanka in an effort to ensure and boost the safety of riders.

Lower costs and export biz help Hayleys navigate COVID-19 storm in 1Q

Diversified conglomerate and export major Hayleys PLC recorded higher operating profits for the quarter ended June 30, 2020 (1Q21) as the group managed to reduce its overheads while its export-oriented business performed strongly.