MAS announces group-wide VSS to cut employee base by 4%

Apparel major, MAS Holdings, which is also the largest lingerie manufacturer in South Asia, has announced a voluntary separation scheme (VSS) across all the clusters of the group, to reduce its overall employee base by 4 percent by this August, amid the slowdown in business, due to the economic malaise brought on by the COVID-19 pandemic.

Etihad Airways to resume regular services from Sri Lanka to key cities from June 20

Effective June 20, Etihad Airways will operate twice-weekly scheduled services for outbound passengers from Colombo, to key destinations on its global network via Abu Dhabi.

Cinnamon Hotels offer 1000 complimentary holiday packages for health workers

As a way of saying ‘Thank You’ to Sri Lanka’s courageous healthcare workers, Cinnamon Hotels & Resorts is offering 1,000 complimentary full board holiday packages, for two nights at nine of its properties in Sri Lanka.

Central Bank cuts Statutory Reserve Ratio to 2%

In another drastic move, the Monetary Board of the Central Bank yesterday slashed the Statutory Reserve Ratio (SRR) applicable on all rupee deposit liabilities of licensed commercial banks by 200 basis points to 2 percent.

Manufacturing and service sectors rebound in May

Sri Lanka’s manufacturing and service sectors made notable rebounds in May after hitting the rock bottom in April as the country started to gradually relax COVID-19 related mobility restrictions in the month, according to the Purchasing Managers’Index (PMI) published by the Central Bank (CB).

Global tourism promotion campaign likely next January

Sri Lanka Tourism Promotion Bureau (SLTPB) is planning to launch the long awaited multi-billion five-year global tourism promotion campaign next January, amid fears over possible shortage of funds, if tourism doesn’t bounce back to the pre-COVID level in two years.

Lanka IOC inks agreement with CEB to supply lubricants to Sapaugaskanda plant

Lanka IOC (LIOC) has secured business from Ceylon Electricity Board (CEB) to supply Servo branded lubricants to Sapugaskanda Power Station. This business was secured through competetive bidding by LIOC for the first time.

COVID-19 compounds stress on Sri Lankan banks: Fitch Ratings

The adequate capital buffers built, specially during the last three years, will soften the negative impacts on the banking sector stemming from the new coronavirus-driven economic damage, which has made the operating environment for banks challenging amid pressure on asset quality and earnings, according to Fitch Ratings.

Corona squeeze of Sri Lankan economy: A sectoral outlook

Given the stark choice between saving lives with no certainty vs saving livelihoods with some certainty, Sri Lanka, like some other countries, opted for the former and acted early. Would this wreak havoc in the Sri Lankan economy?

Central Bank cuts Statutory Reserve Ratio to 2%

In another drastic move, the Monetary Board of the Central Bank yesterday slashed the Statutory Reserve Ratio (SRR) applicable on all rupee deposit liabilities of licensed commercial banks by 200 basis points to 2 percent.

Subjects on agri-tech proposed in curricular to promote technology adoption in farming

Subjects related to advanced agricultural technologies are proposed by the authorities to bridge the glaring lack of knowledge in technology use in agricultural activities and to promote its adoption, which will eventually result in precision in application of inputs, increase in agricultural output and quality of agri-products.

Apparel sector stresses need to up e-commerce game in post-COVID-19 era

The local apparel sector has stressed the need to establish a stronger online presence to ensure it anchors strong in the post-COVID-19 era and hold a sizable portion of the global fashion industry.

Pan Asia Bank partners with Swiss-based Symbiotics for first green bond issuance of US $ 7.75mn

Pan Asia Bank has become the proud recipient of a US $ 7.75 million (approx. Rs.1.5 billion) green bond launched by Switzerland-based Symbiotics, the leading market access platform for impact investing.

High-net-worth and institutional investor interest seen in LOLC shares

Several high-net-worth investors and local institutional investors, including Sohli Captain, Nimal Perera, Sri Lanka Insurance and Capital Trust, were believed to be among the buyers of LOLC Holdings PLC shares, in the last two trading sessions, amid foreign selling.

Emirates to begin outbound flights from Colombo on June 20

Emirates has announced the launch of outward-bound passenger flights from Sri Lanka, starting Saturday, June 20, 2020, to facilitate travel for foreign nationals as well as Sri Lankans, who need to return to families, jobs or education overseas.

Government agrees to settle construction sector pending payments by end-June

The repeated pleas from the construction sector for due payments from the state have finally been answered, with the government having decided to settle all certified invoices by end of June.

Tourism sector reopening day to be formally announced tomorrow

The government plans to formally announce the reopening day of the country’s coronavirus-battered tourism sector for foreign tourists, following a key stakeholder meeting tomorrow, which is likely to be August 1 or an even earlier date.

Canned fish industry eyes exports with govt. backing

Encouraged by the recent move to re-impose special commodity levy on canned fish imports, Sri Lanka’s canned fish manufactures say that the country could commence exporting canned fish products within two years with the right backing of the government.

Fairfirst Insurance wins locally and globally through empathy-based innovations

Fairfirst Insurance has become the proud recipient of the prestigious ‘Fairfax Presidents’ Innovation Award’. This award is special for Sri Lanka since Fairfax operates out of more than 18 countries across five continents through some of the largest insurance entities in the world such as Odyssey Group, North Bridge, Allied World, Crum & Forster, Brit Insurance and Zenith National.

Low oil prices and Sri Lanka’s lost opportunities

Lockdowns across the world have caused trade and travel to grind to a halt. The demand for oil has plunged and the prices have crashed; futures for West Texas Intermediate, a grade of oil, briefly turned negative, touching a low of minus US $ 40.32.

Post-COVID trade order: Only the fast and the nimble will survive

Now that Sri Lanka has achieved a notable success in containing the danger posed by the COVID-19 pandemic to the health of the nation, the time has come for a concerted and decisive focus on reviving the economy. This is particularly timely, now that the economy has been removed from its ‘induced coma’, with the elimination of daytime curfew throughout the island.

Sampath Bank secures US$ 45mn from banks in Middle East, South Asia

Sampath Bank PLC, one of Sri Lanka’s leading commercial banks, has successfully raised US$ 45 million via a medium-term syndicated facility.

1Q budget deficit slightly up on revenue slippage

Sri Lanka reported a slightly stretched budget deficit of 2.1 percent of the estimated gross domestic product (GDP) for the first quarter ended March 31, 2020, up from 1.8 percent recorded in the corresponding period in 2019, as State revenues slipped from the year earlier period, latest data showed.

FHA condemns Sunil Jayawardena’s murder

The Finance Houses Association of Sri Lanka (FHA Sri Lanka) in its capacity as the apex association of 41 registered licensed finance companies in Sri Lanka, has condemned the alleged murder of Self Employed Professionals’ Three-Wheeler Association Chairman Sunil Jayawardena, last week.

Private sector credit slumps in April, but money supply picks up

Private sector credit from the banking sector slumped during April to just over Rs.13 billion from a massive Rs.120 billion surge recorded in March as most of the economic actors went in to hibernation during COVID lockdowns from mid-March.

Rajiv Meewakkala to succeed Suresh Shah at Lion Brewery

Well known private sector executive Rajiv Meewakkala, who also has experience in the public sector, is to take reins from Suresh Shah to become the CEO of Sri Lanka’s largest brewer, Lion Brewery PLC.

SEC Chairman calls on CB Governor

Securities and Exchange Commission (SEC) Chairman Viraj Dayaratne PC paid a courtesy call on Central Bank Governor Professor W.D. Lakshman recently. He was accompanied by SEC Director General Chinthaka Mendis.

China’s foreigner ban leaves global businesses in limbo

China’s coronavirus travel ban is wreaking havoc among foreign companies and international schools, with many fearing for their future as executives, teachers and students are left stranded in their home countries.

Official reserves lose US$ 716mn in May

Sri Lanka’s gross official reserve lost US$ 715.92 million during May to end the month at US$ 6,493.6 million, but the rupee continued its ascend against the US dollar, alleviating concerns of a possible run on the rupee amid controls on certain imports and gradual pick up in export activities after lockdowns.

Thailand eyes ‘travel bubbles’ to resuscitate tourism

Thailand will open ‘travel bubbles’ with countries which have comparably low coronavirus infections, officials said yesterday, as the kingdom tries to claw back money for its battered tourism sector.