Call for political stability and sanity gets louder

More industry bodies are joining the chorus to urge the country’s political leadership to ensure stability and a swift solution to the current political stalemate situation to avert dire consequences to the country’s economy and its people.  

Tea industry wage negotiations deadlocked amid political crisis

The Regional Plantation Companies (RPCs) have asserted that the Rs.1000 daily wage increase for tea estate workers demanded by trade unions is impossible amidst declining tea prices and rising cost of production, which has been further heightened by the loss considerable market share in the Japanese tea market. Spea

State banks to borrow up to US$1 bn abroad before end of 2018

Sri Lanka’s three State banks will borrow up to US$1 billion from foreign sources before the end of 2018 and use the money to pay off maturing foreign loans, Finance Ministry Secretary S.R. Attygalle said on Thursday. The move comes as Sri Lanka faces a worsening political crisis with a newly appointed government refusing to resign despite losing two confidence votes in parliament.

October national inflation decelerates on base effect; core inflation up

Sri Lanka’s nationwide inflation measured by the year-on-year (YoY) change in the National Consumer Price Index (NCPI) in October decelerated to 0.1 percent— the lowest point since Jan

CB hits back at Moody’s; calls rating downgrade unwarranted and unjustifiable

The Central Bank yesterday hit back at Moody’s Investors Service over the recent credit rating downgrade, stating that the rating agency’s decision is unwarranted and unjustifiable as it is purely based on heightened political uncertainty, with no evidence of slippages in macroeconomic policies.

Lubricant market expands in 2Q on base effect

Sri Lanka’s lubricant market leader, Chevron Lubricants Lanka PLC was seen gaining market share lost to its competitors during the second quarter of 2018 (2Q18), the quarterly lubricant mar

New PM may lose budget even as he clings to power

(Colombo) REUTERS: Sri Lanka’s newly appointed Prime Minister Mahinda Rajapaksa, who lost two motions of no confidence last week, may lose his government’s budget even as he clings to power.

Tourism industry sees slowdown in bookings during key winter season

Sri Lanka’s tourism industry stakeholders yesterday expressed concerns over the possibility of prospective tourists who would have visited Sri Lanka turning to other alternative destinations due to  the prolonged political crisis, as tourist bookings for the crucial winter season are already showing a slowdown.  Speaking to Mirror Business, key tourism

Softlogic opens first supermarket

Softlogic Supermarkets Pvt Ltd CEO Andrew Dalby (left) handing over the first purchase made at the newly launched Softlogic GLOMARK in Delkanda to Softlogic Holdings PLC Chairman/MD Ashok Pathirage   

Hefty tax reversal boosts Softlogic Sept. quarter

Softlogic Holdings PLC returned to profit during the three months ended September (2Q19) amid a substantial tax reversal at the group’s life insurance business, while the group’s key retail business 

CB raises key rates in surprise move to support currency

Sri Lanka’s Central Bank unexpectedly raised its key policy rates yesterday, a move aimed at defending a faltering rupee currency as foreign capital outflows pick up amid an escalating political crisis and rising U.S. interest rate

ComBank resilient despite surge in NPLs, higher taxes

Commercial Bank of Ceylon PLC (ComBank) yesterday showed it has what it takes to withstand the shocks in the wider economy and could still post strong profits and growth. 

Sri Lanka’s bilateral aid not at risk: Amunugama

Foreign governments have not withdrawn grants, project loans and economic programmes with Sri Lanka, said Sarath Amunugama, who was appointed as Foreign Minister amid a constitutional crisis.

Rupee depreciation hurts Sri Lanka’s largest telco

The feeble Sri Lankan rupee eroded Dialog Axiata PLC’s bottom line during the September quarter (3Q18) as the country’s largest telco booked a hefty foreign currency translational loss against its do

Anura Priyadharshana assumes duties as State Finance Minister

Anura Priyadharshana Yapa assumed duties as the Minister of State for Finance  at the Finance Ministry yesterday. Minister of Finance and Economic Affairs, Prime Minister Mahinda Rajapaksa,  ministers Lakshman Yapa Abeywardene and Dunesh Gankanda and Ministry  Secretary S.R. Attygalle and other senior officials were present during the occasion.

October tourist arrivals up by unimpressive 0.5%

Tourist arrivals to Sri Lanka in the month of October increased only 0.5 percent year-on-year (YoY) to 153, 123 with arrivals from several key regions declining, data released by the Sri Lanka Tourism Development Authority showed. Asia and Pacific continued to be the largest source of tourist traffic to Sri Lanka with 47 percent of the total traffic received in October 2018.    Europe acco

JKH 2Q impacted by higher costs, subdued macro conditions

The subdued macro environment and higher costs relating to expansions and refurbishments affected the performance of the premier blue chip John Keells Holdings PLC’s (JKH) September quarter (2Q19), although the higher interest income and a tax reversal at the group’s insurance subsidiary boosted the bottom line.

Sri Lanka among countries with largest currency depreciations

Moody’s Investors Service has placed Sri Lanka among the countries in the world with the largest fall in value of their currencies against the US dollar in 2018, and stressed that the implementation of reforms that address both fiscal and external imbalances will remain key to supporting sovereign credit profile of the country.  Moody’s has a ‘B1’, a s

Professionals urged to take up active role in governance

United National Party (UNP) parliamentarian Eran Wickramaratne recently urged Sri Lankan professionals to play an active role in governance to nudge the country into the right direction, stressing that the business of the government is also the business of professionals. 

Sri Lanka risks EU trade concessions if any back-sliding on rights

(Colombo) REUTERS: The European Union will consider stripping Sri Lanka of its duty-free access if it backs off commitments on rights, the EU ambassador said, amid worries stoked by the President’s replacing of the elected premier by a wartime nationalist. The European Unio

September apparel exports up; industry confident of US $ 5.5bn export earnings

Sri Lanka’s apparel export earnings grew 9.2 percent year-on-year (YoY) to US $ 451 million in September—the second highest growth rate recorded so far for this year backed by a dou

MR signals return to inward-looking economic policy

Assuming duties as the Finance and Economic Affairs Minister yesterday, Prime Minister Mahinda Rajapaksa hinted towards his plans to return Sri Lanka to the inward-looking economy that he had built during his presidency from 2005 to 2014. While acknowledging the important role foreign direct investment could play in Sri Lanka’s economic advancement, Rajapaksa said domestic production and the agriculture sector activities would be actively

Sri Lanka’s political crisis triggers major economic concerns

(Colombo/Mumbai) REUTERS: A decision by Sri Lanka’s President to fire the Prime Minister has raised doubts among global investors and credit analysts about the near-term economic health of a 

Moody’s says current political impasse credit negative

International rating agency Moody’s Investors Service yesterday said the political crisis unfolding in Sri Lanka with the sudden appointment of former president Mahinda Rajapaksa in place of Ranil Wickremesinghe is credit negative for the sovereign.   

Change in political landscape to create short-lived hype at bourse

Industry experts say the Colombo bourse is expected to have vibrant activity today, following the sudden and unexpected change in the country’s political landscape, but the majority opined the hype would be short-lived.

Sri Lanka’s first Per Day Motor Insurance launched

Insureme.lk, Sri Lanka’s first online platform for comparing insurance policies, launched  the Per Day Motor Insurance in partnership with Dialog Axiata PLC, Sri Lanka’s premier connectivity provider,

RPCs push for productivity based wage model

The Regional Plantation Companies (RPC) urge estate labour unions to embrace a productivity-based wage model in order to achieve a daily wage above Rs. 1000, which would also boost low productivity levels of RPCs. Addressing a press conference in Colombo yesterday, Planters’ Association (PA) Chairman Sunil Poholiyadde revealed that negotiati

EU urges govt. to push forward with economic reform agenda despite challenges

European Union (EU) Ambassador to Sri Lanka and the Maldives Tung-Lai Margue said that the government must give priority to its economic reform agenda and should forge ahead with it, despite the challenges in the country’s political environment. 

Govt. to call tenders to develop 2 oil and gas discoveries

The Petroleum Resources Development Ministry will call international tenders shortly for a 2,924 square kilometre offshore M2 block in the Mannar Basin to develop the two oil and gas discoveries and for further explorations.  

Ceramic & glass industry urges govt. to re-evaluate trade liberalisation agenda

The apex body of Sri Lanka’s ceramic and glass industry recently urged the government to re-evaluate its trade liberalisation agenda, tax structure and energy prices to boost exports and to c