Business

NCC focusing on SDGs, inclusivity and equality

Published

4 years ago

2022/02/5

Speech by the President of National Chamber Nandika Buddhipala 63rd Annual General Meeting

I am honored to be elected, as the President of this prestigious Chamber for the second term, and I assure with confidence and pride that I will take forward the good work done by my predecessors to take the Chamber to greater heights.

I am taking over the Presidency of this Chamber at a very critical period for the world economy as well as the Sri Lanka economy. Sri Lanka economy is facing many internal and external challenges. I think it is pertinent to discuss certain post Pandemic global economic and geopolitical emerging issues which would have ramifications to developing world similar to us very briefly.

GOBAL ECONMOY AND LOCAL ECONOMY – Roadblocks and Sustainable Pursuits

It is expected that the global growth would reach 5.3 per cent in 2021, however, reducing the momentum 3.6 per cent in 2022. In 2020-22, it is estimated that the global economy faces a cumulative income loss of about USD 13 trillion. The expectation of inducement of demand stimulus and improving transformative public investment programmes in the medium and long run are restricted by increasing inflation expectation in developed and developing economies where US reaching inflation level of 7% after may be 40 years of history raising doubts whether such inflation may not be transitory in nature.

The international think tanks including United Nations recommend that conventional wisdom, which attempts to control inflation through wage reduction would not auger well for the sustainable development of the world economy at this juncture. Such agencies further warned that strategy adopted by many countries through slowing demand growth by putting stop to the stimulus packages would not stop inflation, since its source is imported inputs, including commodities.

The multilateral financial institutions have highlighted the fact that there is a compelling requirement to look at current issues in a different angle where simple market operations proclaimed by the conventional wisdom may not provide solutions to such issues; hence, need to embark on big spending programmes, initiatives to tax the rich and curtail the power of monopolies, recognition of the role of targeted capital controls, an endorsement of a strongly interventionist policy agenda to take care of green investment push.

The developed countries have been able to take care of such aspects through increase of financing due to their privileged status of issuers of international-reserve and trade currencies whereas developing countries are not in a position to adopt such strategies continuously without having complicated economic impacts. Therefore, developing countries are encountered with more immediate and serious challenges where their restrictive fiscal space, ever increasing debt burden and failure to implement sustainable vaccination programme for Covid19 having serious divergence and enlarging difference with their developed counterparts.

UNCTAD (United Nations Conference on Trade and Development) in their recent publication, Trade and Development Report 2021, critically examined current challenges encountered by developing countries. They are of the view that building protection against the vagaries of global finance is critical for developing countries and it is required to start with a proper evaluation of sovereign and private debt burdens and repayment profiles, which affect development strategies but also crisis response. Even though they recognize that debt re-profiling and relief, including debt cancellation, are necessary, they further emphasized that the multilateral relief provided by IMF through cancellation of debt service obligations and the expansion of SDR allocations between April 2020 to October 2021 has been insufficient and only a symbolic measure.

UNTACD further commented that developed countries having similar debt ratios to developing countries also have been able to weather through issues and recorded positive economic growth thanks to their ability to issue reserve currencies.

Globally, several issues continue to gather growing priority: the focus of the G20 is on the importance of initiatives such as, inclusive collaboration, global health, digital transformation and sustainable energy. The focus of the UN and its sustainable development goals remains on alleviating poverty, which requires strong radical focus on improving health and education sectors, on reducing inequalities, and in putting into action measures and solutions to tackle climate change, to protect our planet’s natural resources and biodiversity.

However, businesses are not only responsible for creating economical value for stakeholders, but are increasingly expected to adapt to these global demands and adopt inclusive, equitable and collaborative efforts in creating sustainable growth for people and the planet.

For Sri Lanka, there are several major roadblocks that need to be dealt with before we persistently contribute to these global agendas. The nation was gutted by safety and health concerns, however, has been able to manage rapid vaccination program successfully, slowdown of commercial activities and tourism due to the pandemic; in addition to these, the country’s debt vulnerabilities and dwindling Forex reserves made a deepening chasm in economic progress and social development. Nevertheless, the country is gradually dealing with each challenge, pressing on despite impediments.

As depicted in The Vision of National Chamber, to be the leading source of services and assistance to businesses countrywide for promotion of domestic and foreign trade with special emphasis on the development of Micro, Small and Medium Enterprises. We have carried out many activities as I will discuss.

PROMOTION OF INTERNATIONAL TRADE AND INVESTMENTS

International connectivity

The National chamber strongly believes in creating connectivity between local entrepreneurs and international markets where we need to find national and international market opportunities for MSMEs in the country. We understood the importance of conducting virtual B2B meetings with the support of our diplomatic services and foreign ministry together with our linkages with other Chambers throughout the world in the absence of available opportunities in exchanging trade delegations physically due to prevailed Pandemic situation during last year.

We have already concluded several B2B virtual Business Forums with Turkey including Adana Chamber of Commerce and Adana Chamber of Industries with the participation of more than 60 companies from both sides. We have further signed MOUs with other regional chambers in Turkey such as Sinop Chamber of Commerce, Aegean Chamber of Commerce and Erzurum Chamber of Commerce and Industries as well.

We have signed MoU with the Oman Chamber of Commerce and Industries and conducted a business forum with the participation of government authorities from both sides and a B2B meeting virtually, bringing in more than 50 business companies together.

Chamber has been able to conduct a Business Forum with Japan with the support of Sri Lankan Embassy in Japan, Japanese Embassy in Colombo, and the Sri Lanka Business Council of Japan. More than 60 Sri Lankan companies were connected for the business forum.

We further conducted a virtual Business forum and B2B meeting with Kuwait Chamber of Commerce and Industry with the participation of BOI, EDB Sri Lanka and their counterparts in Kuwait. More than 40 business companies participated for the virtual B2B exercise.

Even in the midst of Pandemic threats, Chamber has been able to welcome 18 member south Indian power-loom sector business delegation visited the chamber who are interested in investing in Sri Lanka and managed to conduct physical meetings with delegation from Hungary with 14 Hungarian companies connecting over 45 Sri Lankan companies with them on B2B physical interaction in January 2022.

Chamber signed a MoU with Union of Asian Chambers (UAC) of the Confederation of Nepalese Industries (CNI) in October 2021.

We were able extend our cooperation for the virtual Bangladesh Trade and Investment Summit took place in October last year in the strength of our existing MoU with Dhaka Chamber of Commerce and Industry.

Support Extended by Sri Lankan Missions overseas

We are happy to place on record that the supports extended by Sri Lankan ambassadors in other countries are commendable. We appreciate support extended by our ambassadors and commercial officers in Turkey, Japan, Oman, Kuwait, UK USA, Russia and Nepal. We also would like mention the enthusiasm shown by our own business community in these activities were overwhelming even during the pandemic period.

Support Extended by the Government authorities

It is noteworthy that all the activities carried out by the National Chamber were well supported by government entities such as EDB, BOI, Colombo Port City, Department of Commerce, Foreign Ministry, Ministry of Industries and National Enterprise Development Authority (NEDA) etc.

Commercial Officers posted to our foreign missions out of Sri Lanka

As a part of regular activity of hosting commercial officers posted to our foreign missions out of Sri Lanka, officers assigned to Bangladesh, Belgium, France/Paris, India/New Delhi, Malaysia/Kuala Lumpur, Pakistan/Karachi, Singapore, Sweden/Stockholm, Thailand/Bangkok, USA/Los Angeles, USA/Washington DC were invited for an online meeting which was open to business community both corporate sector and regional MSMEs with an objective to support much needed exports and FDI for the economy.

REGIONAL INTEGRATION AND SME DEVELOPMENT

Western Province Entrepreneur Awards

Chamber together with NEDA (National Enterprise Development Authority) hosted the annual “Western Province Entrepreneur Awards” designed for Micro, Small, Medium and Large sector entrepreneurs in the Western Province last year. We believe that the Award Ceremony encourages entrepreneurs to develop their business processes and functional areas of business, taking into consideration the behavior of those that have succeeded. It is noteworthy that presence of women entrepreneurs has gone up significantly in the recent past where 17 women entrepreneurs managed to secure awards out of 24 awards.

Meeting District chambers and Provincial Chambers

We always wanted to have very close interaction with all the district and provincial chambers in Sri Lanka in our efforts towards the SME and regional development of the country. While we are integrating them in our development activities, I have started personally visiting them where I have already met, Lanka Business Ring (LBR) in Kandy, Jaffna Chamber of Commerce and Chamber of Commerce and Industries of Yalapanam last year and Galle District Chamber of Commerce and Industries, Matara District Commerce and Industry and Hambantota District Chamber of Commerce during January this year. I am planning to visit rest of the district and provincial chambers in the country in the near future.

Partnering with CA Sri Lanka SME task force

National Chamber is proud to be a partner with the CA Sri Lanka SME Task Force, with the objective of securing professional Accountants to mentor Micro and SME businesses throughout the island and Chamber was able to partner with CA SME Taskforce launch of mentoring programme in Jaffna during November 2021 when easing off of pandemic conditions allowed to conduct such a launch physically.

To be continued

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Business

Selling pressure makes a dent in CSE’s early trading gains

Published

8 hours ago

2026/03/7

Thilina Walpola

CSE trading kicked off on a positive note yesterday but turned negative on account of selling pressure from investors deriving from tensions in the West Asian region, market analysts said. Amid those developments both indices moved downward. The All Share Price Index went down by 115.36 points, while the S and P SL20 declined by 55.67 points.

Turnover stood at Rs 5 billion with nine crossings. Top seven crossings were as follows: ACL Cables 7.5 million shares crossed for Rs 727 million; its shares traded at Rs 97, Ceylinco Holdings 185,000 shares crossed to the tune of Rs 616 million; its shares sold at Rs 3300, Renuka Agri 8.3 million shares crossed for Rs 111.6 million; its shares traded at Rs 12.56, HNB 164000 shares crossed for Rs 70.2 million; its shares traded at Rs 428, Hemas Holdings 2.2 million shares crossed for Rs 70 million; its shares traded at Rs 31.60, Commercial Bank 200,000 shares crossed for Rs 42.8 million; its shares traded at Rs 240 and JKH two million shares crossed for Rs 42.6 million; its shares sold at Rs 21.

In the retail market companies that mainly contributed to the turnover were; HVA Foods Rs 226 million (35.9 million shares traded), ACL Cables Rs 196 million (two million shares traded), Colombo Dockyard Rs 175 million (1.2 million shares traded), HNB Finance Rs 174 million (17.5 million shares traded), Lanka Credit and Business Finance Rs 135 million (16.3 million shares traded), Softlogic Capital Rs 122.8 million shares traded) and Sampath Bank Rs 118.8 million (718,000 shares traded). During the day 196.5 million share volumes changed hands in 33719 transactions.

Royal Ceramics announced an interim dividend of Rs one per share. The share was trading at Rs 47.80, up 0.21 percent.

The banking, find manufacturing sectors performed well. Among banks Commercial Bank and Sampath Bank were impressive. In the manufacturing sector JKH led.

Yesterday the rupee was quoted at Rs 311.30/60 to the US dollar in the spot market,weaker from Rs 310.50/311.10 the previous day, dealers said, while bond yields were broadly steady across the yield curve with the exception of the 01.062033 which saw demand and edged down.

A bond maturing on 01.05.2028 was quoted at 9.10/14 percent.

A bond maturing on 15.10.2029 was quoted at 9.58/62 percent, down from 9.59/62 percent.

A bond maturing on 15.12.2029 was quoted at 9.58/62 percent, down from 9.60/65 percent.

A bond maturing on 01.03.2030 was quoted at 9.60/64 percent, down from 9.65/68 percent.

A bond maturing on 01.07.2030 was quoted at 9.67/72 percent.

A bond maturing on 15.03.2031 was quoted flat at 9.85/90 percent.

A bond maturing on 01.10.2032 was quoted at 10.22/28 percent, from 10.20/30 percent.

A bond maturing on 01.06.2033 was quoted at 10.48/51 percent, down from 10.50/55 percent.

A bond maturing on 15.06.2034 was quoted at 10.67/75, up from 10.65/75 percent.

A bond maturing on 15.06.2035 was quoted flat at 10.75/80 percent.

A bond maturing on 01.07.2037 was quoted at 10.85/95 percent.

By Hiran H Senewiratne

Business

CDS accounts on the increase, crosses one million accounts

Published

23 hours ago

2026/03/7

Thilina Walpola

Central Depository Systems (Pvt) Ltd (CDS), a subsidiary of the Colombo Stock Exchange (CSE), has reached a milestone as total registered accounts surpassed the 1 million mark. This achievement coincides with the approach of the organization’s 35th anniversary in September 2026, marking three and a half decades of providing depository infrastructure for the Sri Lankan capital market.

Since its inception in 1991, the CDS has held the distinction of being the first depository in the South Asian region. In its core capacity as a depository, the institution is responsible for holding a wide array of securities including shares, debentures, corporate bonds, and units belonging to investors in electronic form.

The crossing of the one million account threshold also reflects the aggressive broad basing of the retail investor market over the past five years. This expansion is largely attributed to the comprehensive digitalization of the CSE, which has created accessibility for individuals across the country. Digital tools such as the CSE Mobile App and the “CDS e-Connect” portal have revolutionized how investors interact with the stock market, providing them with real time access to their holdings and a seamless interface for account management. The “CDS e-Connect”, originally launched in 2016 and revamped in 2021, has become a one stop shop for stakeholders, by offering services such as client profile management, real time balance and transaction viewing, eNomination facility, monthly statements and newly introduced dividend payment history viewing option. From 2016, by offering eStatements and SMS alert facilities CDS ensures transparency and security for the CDS accountholders. By decentralizing account openings and introducing online facilities in 2020, the CDS successfully brought the stock market to the fingertips of the general public, moving away from the traditional, paperwork heavy processes that once characterized the industry.

A critical pillar of this 35-year history was the 2011 launch of the full dematerialization drive. This initiative was designed to significantly reduce the movement of physical certificates, which were prone to loss, damage, and forgery. Today, the success of this drive is evident as the CDS holds 97 percent of listed equity and 100 percent of corporate debt in scripless form. This near total transition to electronic records has provided a secure and accessible service environment. The Central Control Unit plays a vital role, ensuring that all functions performed by the depository and its participants align with strict rules and regulatory guidelines. By identifying operational, financial, and market risks early, the CDS maintains the integrity of the ecosystem and fosters trust among both domestic and international investors.

Beyond its primary depository functions, the CDS has significantly expanded its influence through the Corporate Solutions Unit (CSU), established in 2017. The CSU was created to standardize and elevate the benchmarks for corporate action services in Sri Lanka and has since grown through the strategic acquisition of PW Corporate Registrar arm. This diversification allows the CDS to expand registrar services and manage corporate actions for both listed and unlisted companies, providing a holistic suite of services that includes the distribution of dividends, rights issues, and e-applications for Initial Public Offerings (IPOs). The digitization of issuer services has been a hallmark of the CSU’s work, introducing innovations such as eDividend payments, eWarrants, and eNotices. These advancements have streamlined the process for issuers while ensuring that shareholders receive their entitlements promptly and securely.

The strategic outlook for the CDS is now centred on the newly formed Research and Development Unit, which is essential to the organization’s vision for the future. This unit functions as a Project Management Office and is responsible for developing innovative services. By cultivating strategic alliances and international collaborations, the R&D unit ensures that the CDS remains a future forward institution capable of adapting to the evolving needs of the global financial sector.

As the CDS looks toward its 35th year of service, it remains focused on digital transformation, strategic partnerships that power progress, new service offerings and enhanced international relations. The integration of new technologies continues to ensure robust infrastructure for the next generation of market participants.

Head of CDS Nadeera Athukorale commenting on the vision of the CDS, remarked “By balancing its core depository duties with non-core registrar and consultancy services, the CDS has positioned itself for long term sustainability and industry leadership.”

The achievement of one million accounts serves as a testament to the resilience and adaptability of the Sri Lankan capital market infrastructure, demonstrating CDS’ ability to facilitate a growing digitized market while continuing to serve as the backbone of the nation’s investment landscape. (CSE)

Business

TONIK set to become next Sri Lankan hospitality brand reaching the global stage

Published

23 hours ago

2026/03/7

Thilina Walpola

Garfield Bungalow by TONIK

TONIK, a new hospitality venture under Sri Lanka’s Acorn Group, has unveiled its vision to place culture, storytelling and design at the heart of island exploration, positioning itself as the next Sri Lankan hospitality brand to achieve global recognition.

Built on the Acorn Group’s decades of expertise across aviation, travel, logistics and leisure in multiple Asian markets, TONIK aims to elevate Sri Lanka’s tourism by translating the “soul” of destinations into curated experiences. The brand’s philosophy, “Every Stay Is a Story”, treats villas and boutique hotels as “living narratives” shaped by architecture, memory, craft and community.

The venture addresses a key market gap: while Sri Lanka features exceptional independent villas, many struggle with visibility and global reach. TONIK seeks to resolve this by amplifying each property’s unique value proposition – transforming distinctiveness into revenue -generating potential for owners.

“TONIK’s philosophy aligns with the evolution of our industry- where authenticity and meaningful experiences are no longer optional but essential,” said Harith Perera, Partner at Acorn Group. “Sri Lanka’s narrative deserves platforms that elevate its voice globally.”

For property owners, TONIK offers access to Acorn’s intelligence networks across the Maldives, Middle East, Europe and Asia, including insight into High-Net-Worth travel patterns.

CEO Sundararajah Kokularajah said: “By nurturing properties as living narratives, we aim to shape a new chapter for tourism – authentic, future-ready and deeply Sri Lankan.”

By Sanath Nanayakkare