Business

Temporary closure of share trading based on pragmatic considerations – CSE

Published

4 years ago

2022/04/19

The Colombo Stock Exchange board members explain the reasons that led to their decision to temporarily halt trading activities of CSE, in Colombo yesterday. From left: CEO Rajeeva Bandaranayake, Chairman Dumith Fernando and Director Dilshan Wirasekera

By Sanath Nanayakkara and Hiran Senewiratne

Colombo Stock Exchange (CSE) said yesterday that it recommended the Securities and Exchange Commission (SEC) to temporarily close trading activities of the CSE based on ‘uncertain’ information, yet with a most pragmatic view of the unprecedented crisis situation in the country, with its statutory obligations and overall investor protection at heart.

CSE Chairman Dumith Fernando, CEO Rajeeva Bandaranayake and Director Dilshan Wirasekera made these comments at a press briefing held to explain their decision to halt the business of CSE for five days from April 18 to April April 22.

CSE Chairman Dumith Fernando said,” We accept that there is no answer that is 100% or 100% wrong. There are parties and individuals some supporting the decision and some others opposing it. This was a difficult decision. We have multiple stakeholders. It is the responsibility of the CSE to give the general public the key factors that led to this decision.”

He further said:

“CSE needs to be consistent with the duties and responsibilities placed on the Board by the new SEC Act. In this context, we are obligated to ensure the long term sustainability the stock market. So we have to look at the evolving events and act to ensure the long term sustainability of the stock market. And then we need to understand the public interest, particularly in relation to investors. SEC Act stipulates a very clear responsibility to CSE to give particular attention to public interest in terms of investor protection.”

“We used the information available to us to make this decision which is in large part was uncertain information. So it was a tough call, but it being our responsibility, we had to meet with that tough call.”

“We have three primary stakeholders – this is not to ignore other stakeholders – one is the intermediaries, then you have listed companies, the core of the CSE. Thirdly you have investors. There is a broad range within investors; foreign investors, institutional investors, high net-worth investors and retail investors. The Stock Exchange has to look at things in totality and make decisions to protect overall interests of all of these investors. Given the responsibility in accordance with the new SEC Act, this decision heavily leaned on investor protection. In the old SEC Act, there was very little described in terms of responsibilities of the Stock Exchange which dealt with who can apply to CSE, granting of licences, establishing rules of the Exchange, but there weren’t any expressive provisions on the duties of CSE. The new SEC Act is quite clear. According to Section 24 of part two, we need to maintain a fair, orderly, transparent and efficient securities market in Sri Lanka. Two; we need to enhance effective and efficient functioning of the securities market, and thirdly we need to mitigate systemic risks. Those are the objectives of a market institution. Section 27 speaks most specifically about our duties and responsibilities as a stock exchange. It says that it shall be the duty of an Exchange to ensure an orderly and fair market in securities. It further says that the Exchange shall act in the public interest. Having particular regard for the protection of investors should supersede any other requirements. Section 30 stipulates that SEC under consultation with the Exchange can decide to close the market in certain circumstances including natural disasters, or in an economic or financial crises or other similar circumstances within or outside Sri Lanka.”

“There is a statutory obligation for us to look after the public interest especially with regard to investor protection. One of our key responsibilities is to ensure fair, efficient and orderly market. A fair market is one that includes the market that reflects the forces of supply and demand of shares. Not artificial supply and demand. So one factor that we looked at was achieving a natural demand and supply of shares driven by fundamentals. One of the issues that led to the fall of the market in the last month was ‘forced selling’ by margin providers and stockbrokers whose clients have taken shares on credit. Margin providers and stockbrokers force sell when portfolio values of clients go to certain levels which is in fact within the rules. Now the question is whether it’s a fair market. When there is a systemic drive to force sell, actually the selling side outweighs the fundamental interest in those stocks creating an imbalance. Such artificial pressure was one factor we took into consideration. Secondly, to create an efficient market, there has to be efficient information. The news that came out on preemptive foreign debt was followed by an extended holiday. We don’t believe that investors, investment advisors had enough time to digest and understand what the impact of that announcement would be. Without that transparency of information, it is very difficult for investor to have the transparency of efficient information to operate an efficient market.

‘Another factor of a fair market is that a market should remain liquid which means that it is kept open. Our natural instinct is that market should remain open. We don’t believe that the market should remain indiscriminately closed. The market should remain open and provide liquidity- that is the fundamental pledge we have made to our stakeholders. But when you want to provide a fair and orderly market, now there are factors in conflict with each other. To keep the market open, we might undermine some of the other factors that create an orderly market. So this decision was not about one set of pros and one set of cons. So, this decision was made on the fact that we have these duties and responsibilities under the new SEC Act. Disposing of these duties can be an offence under the Act. We had to make this decision based on the unprecedented crisis situation prevailing in the country in order to cool it off and then be able to make more informed decisions and resume fair, transparent trade activites soon.”

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Business

Kandy driving school hits 100,000-driver milestone, sets sights on expansion

Published

23 hours ago

2026/06/14

Thilina Walpola

RWMNJ Bandara MD Dhasuini Driving School

Dhasuni Learners in Kandy have trained over 100,000 drivers, marking a major milestone in the institution’s journey from a modest start-up to one of the region’s leading driver education providers.

Founded on March 31, 2008, in the historic hill capital, the institution began with just a single van, one three-wheeler and one motorcycle. Built on what its founder describes as a commitment to road safety and public service, the driving school has since expanded into a multi-branch operation with six centres across the Kandy district.

Today, Dhasuni Learners has emerged as a significant player in Sri Lanka’s driver training sector, producing thousands of licensed motorists annually while also contributing to local employment generation. The organisation’s broader mission, according to its management, has been to foster disciplined and road-conscious drivers who adhere to traffic regulations.

Over the years, the institution has received multiple accolades for its service standards and entrepreneurial achievement. These include the ‘Best Young Entrepreneur Award’ and ‘Seva Taru Tuthe Award’ in 2018, followed by One-Star and Two-Star service ratings from the Ministry of Industries in 2019 and 2020. It has also secured top rankings from the Federation of Chambers of Commerce and Industry of Sri Lanka (FCCISL) at national and provincial levels.

More recent recognitions include the ‘Best Driving School Award’ in 2023 and the ‘Pitkal Award’ for business excellence, along with a 2025 honour from the Trade Front in collaboration with the Ministry of Industry.

by SK Samaranayake

Business

HNB Life Introduces “Privileged Protect”, a Future-Ready Protection Solution for a New Generation

Published

23 hours ago

2026/06/14

Thilina Walpola

Marking a significant milestone in its journey as it celebrates 25 years of trust and transformation, HNB Life has introduced Privileged Protect, a novel universal life insurance solution designed to meet the evolving financial and protection needs of modern Sri Lankans.

Developed as an evolved protection offering, Privileged Protect combines short-term premium commitments with long-term financial security, giving customers the flexibility to build wealth while safeguarding their future and loved ones.

Designed for individuals seeking comprehensive life protection with greater financial convenience, the product offers a shorter premium paying term while ensuring continued long-term coverage and investment growth opportunities. The policy also includes six compulsory protection benefits, dividend and loyalty dividend entitlements, partial withdrawal facilities after five years, and the ability to convert the maturity value into a monthly income stream. Customers are also provided the flexibility to continue optional riders beyond the premium paying term and enhance their investment through top-up premiums.

Commenting on the launch, Lasitha Wimalaratne, Executive Director / Chief Executive Officer of HNB Life, stated, “As we embark on a bold new chapter as HNB Life, the introduction of Privileged Protect reflects our commitment to continuously evolve alongside the changing aspirations of our customers. Today’s customer seeks greater flexibility, stronger protection, and smarter financial planning solutions that align with their lifestyle and long-term goals. This product has been thoughtfully designed to address those expectations while delivering the security and confidence our policyholders value. As we celebrate 25 years of excellence, we remain focused on shaping the future of insurance through innovative solutions that are relevant, accessible, and future-ready.”

Also sharing his thoughts, Dinesh Udawatta, Executive Vice President / Chief Technical Officer stated, “The modern customer is increasingly looking for insurance solutions that go beyond traditional protection. Privileged Protect is an evolved offering built around convenience, flexibility, and long-term value creation. It is designed for individuals who want to secure their future with shorter payment commitments while continuing to enjoy meaningful protection and wealth accumulation benefits. As HNB Life, we are committed to introducing customer-centric innovations that empower Sri Lankans to confidently plan for the future.”

With the launch of Privileged Protect, HNB Life continues to strengthen its portfolio of future-focused insurance solutions, reinforcing its commitment to protecting lives while empowering customers to achieve long-term financial wellbeing in an ever-evolving world. HNB Life PLC is licensed by the IRCSL and all policyholders are advised to read the policy document before concluding a sale to understand benefits, exclusions, terms and conditions.

Business

Sri Lanka’s Nazri Nizar elected to YPO global board in historic first

Published

23 hours ago

2026/06/14

Thilina Walpola

Nazri Nizar

For the first time in the 76-year history of the Young Presidents’ Organisation (YPO), a Sri Lankan has been elected to its global board, with business leader Nazri Nizar securing a position on the governing body of one of the world’s most influential leadership organisations.

The appointment was confirmed at the YPO Annual General Meeting held on 21 May 2026. Nizar will serve as a YPO global board director from 2026 to 2029 and will concurrently serve as chair of the YPO Global Forum Committee.

Founded in 1950, YPO is a global leadership community comprising more than 38,000 chief executives, entrepreneurs and business leaders across 150 countries. Collectively, its members lead organisations generating approximately US$9 trillion in annual revenue, placing YPO among the most influential peer leadership networks in the world.

Unlike traditional business associations, YPO is built around the philosophy that leadership is a lifelong pursuit. Through a combination of executive education, peer learning and confidential leadership forums, the organisation provides a platform for business leaders to learn from one another’s experiences and navigate the personal and professional challenges that accompany leadership. At a time when organisations are navigating unprecedented technological, economic and social change, platforms such as YPO continue to underscore the importance of learning, collaboration and leadership across borders.

Nizar’s election follows years of service within the organisation. He has previously served as chapter chair of the YPO Colombo Integrated Chapter, been a member of the YPO South Asia Regional Board and, most recently, served on the YPO Global Forum Committee. In addition to his responsibilities as a global board director, Nizar will lead the Global Forum Committee, which oversees one of YPO’s most valued and enduring member experiences.

Commenting on the appointment, Nizar said YPO had played a defining role in shaping his leadership journey.

“YPO taught me that leadership is not about having all the answers. It is about continuous learning, trusted relationships and the willingness to grow through the experiences of others,” he said.

Describing the appointment as both humbling and inspiring, Nizar said he hoped the milestone would encourage more Sri Lankan leaders to engage with global platforms, contribute to international conversations and share their experiences with peers around the world.

Nizar currently serves as group managing director of Richardson Holdings, a diversified Sri Lankan enterprise with interests spanning engineering, infrastructure, renewable energy, manufacturing and out-of-home advertising.

His election represents a notable achievement for Sri Lankan business leadership and reflects the increasing contribution of Sri Lankan executives within international leadership networks.