Business
Deficit in the trade account widens to US dollars 4,200 million in 2024
Import expenditure increased to US dollars 13,718 million
Export unit value declined by 5.6 per cent y-o-y
The deficit in the trade account widened to US dollars 4,200 mn during the nine months ending September 2024 from US dollars 3,341 mn in the corresponding period of 2023, the Weekly Economic Indicators report of the Central Bank of Sri Lanka states.
“Earnings from exports increased by 6.0 per cent (year-on-year) to US dollars 9,518 mn during the nine months ending September 2024 as a result of increased earnings mainly from exports of petroleum products (111.0%), textiles and garments (2.6%), food, beverages and tobacco (19.2%), rubber products (10.7%), tea (7.0%), and coconut related products (20.0%), among others,” it states.
Further notes from the report are reproduced below.
Import expenditure increased by 11.3 per cent (year-on-year) to US dollars 13,718 mn during the nine months ending September 2024, mainly due to higher imports of textiles and textile articles (18.2%), machinery and equipment (22.9%), chemical products (25.7%), and building material (25.3%), among others.
The export unit value index declined by 5.6 per cent, (year-on-year), in September 2024 mainly due to lower prices recorded in exports of industrial goods. The import unit value index in September 2024 declined by 4.4 per cent, (year-on-year), due to lower prices recorded in intermediate goods. Accordingly, the terms of trade deteriorated by 1.2 per cent, (year-on-year) to 85.2 index points in September 2024.
The average price of tea in the Colombo auction increased to US dollars 4.09 per kg in September 2024 from US dollars 3.63 per kg in September 2023.
On year-on-year basis, Colombo Consumer Price Index (CCPI) based headline inflation remained in the negative territory for the second consecutive month, recording a deflation of 0.8 per cent in October 2024 compared to 0.5 per cent in September 2024.
Food category recorded an inflation of 1.0 per cent, while the Non-Food category recorded a deflation of 1.6 per cent. Further, the CCPI based core inflation moderated to 3.0 per cent in October 2024 from 3.3 per cent in September 2024.
In September 2024, Purchasing Managers’ Index for Construction, as reflected by the Total Activity Index, indicated a contraction in construction activities, on a month-on-month basis.
At the start of the period from 26th October to 01st November, 2024, oil prices fell on signs of de-escalation of geopolitical tensions in the Middle East. However, prices picked up again towards the end of the week on concerns about retaliatory attacks. Overall, Brent and WTI prices rose by US dollars 0.36 and US dollars 1.96 per barrel, respectively, over the period.
Weekly Average Weighted Prime Lending Rate (AWPR) for the week ending 01st November 2024 decreased by 12 bps to 9.05 per cent compared to the previous week.
The Average Weighted Call Money Rate (AWCMR) recorded as 8.55 per cent on 01st November 2024 compared to 8.57 per cent at the end of the last week.
The reserve money decreased compared to the previous week mainly due to a decrease in the currency in circulation and deposits held by the commercial banks with the Central Bank.
The total outstanding market liquidity was a surplus of Rs. 80.050 bn by 01st November 2024, compared to a surplus of Rs. 86.268 bn by the end of the last week.
The gross official reserves were provisionally estimated at US dollars 5,994 mn as at end September 2024. This includes proceeds from the People’s Bank of China (PBOC) swap arrangement, which is subject to conditionalities on usability.
Business
Cross-border supply chains seen as key to new business opportunities
By Ifham Nizam
Australian High Commissioner to Sri Lanka Matthew Duckworth described Omega Traders’ latest investment in a modern dhal-processing facility as a strong example of how cross-border supply chains can translate into productive investment, local value addition and new business opportunities in Sri Lanka.
The investment, which adds a 150-metric-tonne-per-eight-hour-day processing capacity to Omega Traders’ operations, marks a significant expansion of the company’s manufacturing footprint as it celebrates 45 years in Sri Lanka’s food commodity industry.
Speaking at the inauguration of the new Lentil and Orid Dhal Processing Factory in Wattala, last Friday, H.C. Duckworth said the facility represented more than an increase in production capacity, pointing to the wider economic value created when Australian agricultural production is connected with Sri Lankan processing and distribution.
‘This facility is not operating on its own. It is part of a long supply chain and a trade partnership between Sri Lanka and Australia, Duckworth said.
His comments placed the Omega Traders’ investment within a broader commercial context: Australia brings agricultural production and established export capabilities, while Sri Lanka provides processing capacity, labour, market access and opportunities for further value addition.
The investment comes as Sri Lanka continues to look towards greater domestic processing and value-added manufacturing rather than relying solely on the import and distribution of finished commodities.
Dr. (Mrs.) Siddhika G. Senaratne, Director General/CEO of the Sri Lanka Standards Institution (SLSI), who attended the inauguration as Guest of Honour, highlighted the importance of quality assurance in food processing and the role of standards in maintaining confidence across the supply chain.
The facility is equipped with new-generation cleaning, processing, sorting and quality-control machinery, including advanced colour-sorting technology, automated systems and an in-house quality-control laboratory.
The additional capacity will support Omega Traders’ three principal Mysoor Dhal brands — Rainbow Jumbo Dhal, Komas Dhal and Rozanna Dhal — which serve different segments of the Sri Lankan market.
But the investment also has a distinctly local agricultural dimension.
Through its Orid Dhal operation, Omega Traders plans to source locally grown black matpe from Sri Lankan farmers and process it at the new facility.
That creates a domestic value chain linking farmers to industrial processing and consumers, while potentially increasing demand for locally produced agricultural commodities.
Duckworth said this type of business partnership could generate benefits for both countries.
‘Australia produces some of the world’s best agricultural products and we are very efficient and very capable at trading them. But that alone is not going to bring success to Australia. Just as building a factory like this is not going to bring success to Sri Lanka, he said.
‘It’s when we bring these entities together that our products produced in Australia can be processed in excellence here in Sri Lanka that enables this to be a success, the H.C. explained.
The investment therefore combines two complementary supply streams: imported agricultural commodities, including Australian-origin products, and locally produced black matpe for the Orid Dhal operation.
For Sri Lanka, the business significance extends beyond Omega Traders itself. Increased processing capacity creates demand for logistics, packaging, distribution, services and agricultural inputs, while supporting employment within the food-processing ecosystem.
Business
Ideal Motors makes history with multiple workplace excellence accolades
HR-led transformation places people, culture and business performance at the heart of the organisation
Ideal Motors (Pvt) Ltd,has achieved a significant milestone by securing multiple prestigious workplace and organisational culture accolades in 2026, reinforcing its position as an employer of choice in Sri Lanka’s automotive sector.
Among its latest achievements, Ideal Motors has been recognised as one of the 20 Great Workplaces for Young Talent in Sri Lanka 2026, ranked No. 1 and awarded the Gold Medal in the Small and Medium category of Best Workplaces™ in Sri Lanka 2026, and ranked No. 18 among Best Workplaces™ in Asia in the Medium Scale category—the highest-ranked Sri Lankan organisation in the category. The company also received Industry Excellence for Workplace Culture – Trading Industry.
The Young Talent recognition was presented at the Great Place To Work® CXO Forum 2026 held on 10 September 2026 at Cinnamon Life, Colombo. The recognition followed an evaluation of more than 100 certified organisations and highlights workplaces that create meaningful opportunities for employees under 35 to develop, contribute and grow.
At the Best Workplaces™ in Sri Lanka Awards Gala 2026, held on 11 September 2026 at Cinnamon Life, Colombo, Ideal Motors achieved another historic milestone by entering the Best Workplaces Sri Lanka list for the first time and securing the No. 1 Gold Medal in the Small and Medium category. The company also achieved No. 18 in Best Workplaces™ in Asia, reflecting the strength of its workplace culture beyond Sri Lanka.
These achievements represent more than a collection of awards. They reflect the transformation taking place within Ideal Motors, where people, culture and business performance are increasingly viewed as interconnected drivers of sustainable growth.
Over the past few years, the organisation’s HR function has evolved from a predominantly administrative role into a strategic business partner, with greater emphasis on employee experience, capability development, engagement, performance, communication, wellbeing, diversity and inclusion, and data-driven HR practices.
Business
AAC takes seat belt safety message to Colombo motorists
The Automobile Association of Ceylon (AAC) conducted a seat belt safety awareness programme in front of its headquarters and along Galle Face Centre Road, encouraging motorists and passengers to make seat belt use a habit on every journey.
AAC staff, working alongside officers of the Sri Lanka Police Traffic Division, distributed specially designed hanging tags and stickers to drivers. The material carries a clear reminder that seat belts protect drivers as well as passengers in both the front and rear seats.
The public awareness drive was held ahead of the requirement taking effect on 20 September 2026, under which seat belt use becomes mandatory for every occupant of a vehicle travelling on an expressway.
AAC emphasized that the regulation should be understood as a life-saving measure rather than only a legal obligation. Wearing a seat belt can help prevent occupants from being thrown inside or from a vehicle during a collision and can lessen the severity of injuries.
The Association said road safety legislation must be supported by sustained public education, visible enforcement and responsible behaviour by all road users. The participation of the Traffic Police helped the campaign reach motorists directly in a busy part of central Colombo.
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