Moody’s rating action raises many eyebrows

A leading asset manager yesterday questioned Moody’s untimely downgrade of Sri Lanka’s sovereign rating by two notches to Caa1 from B2, while saying it could either be an over-reaction to remedy the rating agency’s failure to downgrade the country’s sovereign rating in May, when the other two international rating agencies did, or motivated by geo-political reasons.

Sri Lanka’s sovereign bond yields rise after Moody’s downgrade

While Sri Lanka is all set to settle a billion dollar sovereign bond maturing on October 4 and has repeatedly expressed its ability and willingness to meet all its upcoming debt obligations when they fall due, yields of Sri Lanka’s international sovereign bonds (ISBs) have reversed course in the wake the country’s sovereign rating downgrade by Moody’s Investors Service on Monday.

Sri Lanka bonds hammered by default worries

Sri Lankan government bonds tumbled heavily yesterday, a day after one of the main credit rating agencies, Moody’s, warned about the mounting pressure on the country’s finances.

Cattle slaughter ban boosts CSE chicken stocks

Poultry industry stocks gained sharply on the Colombo Stock Exchange (CSE) yesterday with the Cabinet of Ministers deciding to ban cattle slaughter in Sri Lanka.

Softlogic Capital to acquire majority shares of Abans Finance for Rs.995mn

Softlogic Capital PLC, the financial sector holding company of the diversified Softlogic Holdings PLC yesterday said it has agreed to buy the majority stake of Abans Finance PLC from Abans PLC in a Rs.995 million deal.

Moody’s downgrades BOC, HNB and Sampath Bank in line with sovereign rating

Moody’s Investors Service yesterday downgraded the long-term foreign currency deposit ratings of Bank of Ceylon (BOC), Hatton National Bank PLC (HNB) and Sampath Bank PLC to Caa1 from B3, and the banks’ long-term local currency deposit ratings to Caa1 from B2, following Monday’s sovereign rating downgrade to Caa1 (CCC+ equivalent) with stable outlook.

Stock market turnover witnesses significant contribution from key cities

Stock market regulator, the Securities and Exchange Commission (SEC) yesterday said significant contributions to market turnover have been recorded from key cities in the country apart from capital Colombo. “Significant contributions to turnover have been recorded in Colombo, Gampaha, Kandy, Kurunegala, Galle, Kalutara and Matara districts,” a SEC statement said. The daily average turnover since market re-opened on May 11 has been around Rs.1.6 b

Understanding Indo-Lanka economic relationship

Sri Lanka-India relations are multifaceted and are characterised by strong civilisational links that span many millennia. Currently, trade and economic relations are structured around an institutional and legal architecture, which includes regional platforms such as SAARC and BIMSTEC, as well as bilateral agreements such as the Indo-Sri Lanka Free Trade Agreement (ISLFTA), the bilateral investment promotion and protection agreement, the double ta

Moody’s downgrades Sri Lanka; outlook changed to Stable

Moody’s Investors Service yesterday downgraded Sri Lanka’s long-term foreign currency issuer and senior unsecured ratings to Caa1, from B2 and changed the outlook to stable, after more than five months since the rating agency put the country’s sovereign rating under review for downgrade on April 17.

ASPI crosses 6,000-point mark; foreign selling continues

The main All Share Price Index (ASPI) of the Colombo Stock Exchange (CSE) yesterday crossed the 6,000-point psychological threshold, amid aggressive play on a couple of illiquid stocks, which have limited public free float.

Sriyan appointed to Hemas board as Executive Director

Sriyan De Silva Wijeyeratne, who has been serving as Managing Director of Hemas Manufacturing and Group Digital Lead since May this year, has been appointed as an Executive Director to the board of Hemas Holdings PLC, with effect from October 1, 2020.

99X gears up for new wave of growth with fresh corporate identity

Homegrown mid-sized technology service player, 99X yesterday said it is gearing up for a new wave of growth, one that would move beyond the borders of Sri Lanka, following the “complete” digital transformation of the entity.

Ceylon Tea industry eyes transformation

Despite the challenges, Sri Lanka’s tea industry, with state assistance, is hoping for a gradual transformation to a sophisticated industrial enterprise by venturing into the production of a wide range of value-added products while enhancing efforts to improve the quality of teas.

Jan-July budget deficit up by Rs.189bn; tax income picks up on economic recovery

The deficit between the government’s revenue and expenditure for the seven months ended July 2020, expanded by Rs.188.5 billion, declining from the deficit of Rs.214 billion recorded for the first six months, while the data showed tax revenues making month-on-month gains with the recovery in economic activities.

New lending rates in further descent during August as liquidity remains elevated

The new lending rates, the rates which capture the prices of a broader spectrum of loans from small businesses to house mortgages to personal loans, have further moved downwards in August, in a sign that the excess liquidity and aggressive monetary easing, in response to the coronavirus pandemic, are driving down rates faster than at any other time before.

Senthilverl ups stake in Industrial Asphalts over 10%

High-net-worth investor Dr. T. Senthilverl has upped his stake in Industrial Asphalts (Ceylon) PLC (ASPH), to over 10 percent, the Colombo Stock Exchange was informed yesterday.

Moody’s downgrades Sri Lanka over COVID impact

Moody’s Investors Service today downgraded the Government of Sri Lanka’s long-term foreign currency issuer and senior unsecured ratings to Caa1 from B2 and changed the outlook to stable.

CSE’s All Share Price Index crosses 6, 000 point mark

The main All Share Price Index (ASPI) of Colombo Stock Exchange (CSE) today crossed the 6, 000 point psychological mark amid aggressive play on a few illiquid stocks, which have limited public free float.

Passing the baton!

A fun-packed event themed ‘Passing of the Baton’ was held last week to mark Kasthuri Chellaraja Wilson taking over as the Group CEO of diversified conglomerate Hemas PLC from October 1, 2020. The picture shows the outgoing Group CEO Steven Enderby passing the baton to Kasthuri, signifying the handing over of responsibilities.

Private sector credit rebounds in August

Private sector credit made a strong rebound in August as banks ramped up disbursements of credit to private borrowers, from large to small businesses and individuals as economy gathered pace after the coronavirus put a dampener on credit growth during the first half of the year.

Worker remittances record fourth consecutive monthly increase in August

Worker remittances to Sri Lanka rose in August, continuing its ascent for the fourth month in a row, alleviating fears that the key foreign exchange income to the country will leave a deeper hole adding to the external pressures triggered by the coronavirus pandemic.

Booming FinTech industry poses threat to AML/CFT compliance: FIU

Sri Lanka’s booming FinTech industry’s lack of focus on technological innovations such RegTech products in enhancing regulatory compliance is creating serious challenges in ensuring anti-money laundering/combating the finance of terrorism (AML/CFT) compliance without compromising the FinTech boom, the Financial Intelligence Unit (FIU) said.

Sri Lanka Economic Summit on Dec. 1-2

The Ceylon Chamber of Commerce will be organising the 20th Sri Lanka Economic Summit (SLES) on 1st and 2nd of December 2020 at the Shangri-La Hotel, Colombo.

EY start-up incubator programme now on offer to Lankan start-ups

EY recently announced the expansion of the EY Foundry start-up incubator programme to cover Australia, New Zealand and the ASEAN markets of Indonesia, Malaysia, Philippines, Singapore and Sri Lanka.

JKH ups stake in firm owning 9-acre plot in Vauxhall Street for Rs.6bn

JK Land Private Limited (JK Land), a fully owned subsidiary of John Keells Holdings PLC (JKH) last week acquired a further 26.7 percent equity stake of Vauxhall Land Development Private Limited (VLDL), an existing subsidiary of JK Land, which owns 9.38-acre plot of prime land on Vauxhall Street Colombo, from Finlays Colombo Limited (FCL) for a consideration of Rs.5.98 billion.

Hayleys to dispose Singer stake; credit outlook revised to Negative

Diversified conglomerate Hayleys PLC is seeking to partly divest its Singer Sri Lanka PLC stake in less than three years into its blockbuster acquisition of the consumer durables behemoth as the group accumulated debt throughout its acquisition spree, which has now begun to weigh on its financial performance and credit rating.

BMW fined US$18 mn in US over inflated sales data

US securities regulators charged BMW with inflating its retail sales volumes to investors, fining the luxury car company US$ 18 million in a settlement announced Thursday.

Pathfinder webinar on Sri Lanka’s foreign policy on Monday

The Pathfinder Foundation (PF), Institute of South Asian Studies (ISAS) and National University of Singapore (NUS) have scheduled a webinar on Monday (28th) at 3.30 p.m. - 4.45 p.m. on Sri Lanka’s foreign policy imperatives under the Rajapaksa administration.

Hundreds of Polish miners join underground protest

Hundreds of miners have joined a strike in Poland this week by staying underground after their shifts in protest as Poland comes under pressure from the EU to phase out coal mines.

Asian markets rise after tough week but optimism at a premium

Asian markets rose yesterday on bargain-buying after another torrid week for investors, who are growing increasingly concerned about US lawmakers’ failure to even hold talks on a new stimulus and surging virus infections that are prompting fresh containment measures.