SEC steps up efforts to shape tomorrow’s investors through capital markets

SEC Chairman Senior Professor Hareendra Dissabandara

SEC Deputy Director General Tushara Jayaratne

The Securities and Exchange Commission (SEC) of Sri Lanka recently participated in Capital Market Forum 2025, organised by the Accountancy Department and Finance Department of the Management and Finance Faculty at the University of Ruhuna, in collaboration with the Colombo Stock Exchange. 

This interactive knowledge-sharing forum aims to enhance financial literacy and promote capital market participation among undergraduates and academics.

A key highlight of the forum was the workshop on ‘Nurturing Future Investors: The Role of Capital Markets in Personal and Economic Growth’, which featured distinguished speakers, including SEC Chairman Senior Professor Hareendra Dissabandara and SEC Deputy Director General Tushara Jayaratne. 

Prof. Dissabandara delivered a compelling lecture on the crucial role of capital markets in fostering economic development. He emphasised how capital markets facilitate efficient capital allocation and contribute to long-term economic stability. 

A key focus of his discussion was the significance of capital formation as a sustainable alternative to debt financing for government projects. He illustrated this by comparing the market capitalisation of a leading Sri Lankan company with the costs of several major government initiatives.

Prof. Dissabandara highlighted the historical reliance on borrowing for infrastructure development in Sri Lanka, leading to fiscal imbalances, high-interest burdens and economic vulnerabilities. He underscored the importance of equity financing in business sustainability, emphasising that an efficient financial market channels surplus funds from households, institutions and foreign investors into businesses and government projects. 

He explained that for over 70 years, successive governments have relied on borrowing to fund infrastructure and development, causing fiscal imbalances, rising interest burdens, high taxation and economic vulnerabilities. He also noted that corporate professionals often overlook the importance of equity financing for sustainable growth. 
Jayaratne provided an in-depth explanation of stock market indices in Sri Lanka, their role in tracking market performance and how they guide investment decisions. 

Additionally, he introduced the Central Depository System (CDS) and its role in facilitating securities transactions. By explaining the CDS account opening process, he encouraged students to actively engage with stock market investments. 

The workshop attracted over 200 students. Notable attendees included Management and Finance Faculty Dean Prof. Manjula Wanniarachchige, Accountancy Department Head Vijitha Gunaratna and Finance Department Head M.S. Nanayakkara.