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Surge and slump in bourse following decision to float the rupee to 230 against the dollar

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By Hiran H.Senewiratne

CSE trading activities surged over 1.50 per cent minutes after the market opened yesterday following the Central Bank’s move to float the rupee to 230 against the US dollar. The stock market started on a positive note but subsequently declined because investors grew anxious over the possibility of CBSL move affecting the cost of production in the manufacturing sector, market analysts said.

On the other hand, certain companies that earned in dollars would likely benefit despite an additional burden on the economy. At present, Sri Lanka is grappling with a foreign reserve shortage. Besides, the increase of Brent crude oil prices rising to US $ 125 per barrel could negatively impact the country’s economy, stock analysts said on surveying current realities.

The CBSL came under severe pressure to free-up the cap on the exchange rate as the black market is thriving with the dollar being traded at between Rs. 240 to Rs. 260. For workers remittances channeled through the banking sector, the dollar fetched Rs. 210 as an incentive. Some economists said that the Central Bank’s move to float the rupee against the US dollar is an indication that the government is planning to implement the IMF recommendations from next month.

Amid those developments both indices moved downwards. The All- Share Price Index went down by 437.46 points to end at 10523.03 and S and P SL20 declined by 120.896 points to end at 3593.39. Turnover stood at Rs 3.4 billion with a single crossing. The crossing took place in Hemas Holdings, which crossed one million shares to the tune of Rs 59.8 million and its shares were traded at Rs 59.50.

In the retail market top seven companies that mainly contributed to the turnover were; Expolanka Holdings Rs 601 million (2.2 million shares traded), Browns Investments Rs 514 million (48.2 million shares traded), LOLC Holdings Rs 251 million (282,000 shares traded), LOLC Finance Rs 191 million (10.6 million shares traded), Royal Ceramic Rs 161 million (three million shares traded), Commercial Leasing and Finance Rs 142 million (3.9 million shares traded) and Melstacorp Rs 99.5 million (two million shares traded). During the day 305 million share volumes changed hands in 38000 transactions.

Media reports about the United States and its allies considering a possible ban on Russian oil imports added more pressure in the global oil market, pushing Brent up to US $ 139.13 and WTI to US $ 130.50, their highest levels since 2008. This resulted in investor sentiment for front-line stocks in the market turning downbeat during yesterday’s session.

It is said high net worth and institutional investor participation was noted in Access Engineering, John Keells Holdings and Renuka Holdings. Separately, United Motors Lanka announced an interim dividend of Rs. 1.50 per share.



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Ceylinco Life agent among three global finalists for award

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Ceylinco Life’s Ambalantota branch agent AIP Manjula

Ceylinco Life’s Ambalantota branch agent AIP Manjula has been named one of three global finalists for the prestigious Insurance Agent of the Year award at the 11th Asia Trusted Life Agents & Advisers Awards (ATLAA) 2026.

The recognition places a Sri Lankan insurance professional among the finalists in a regional field spanning South Asia, Southeast Asia, East Asia and the wider Asia-Pacific region.

Ceylinco Life said the achievement reflected the calibre and customer-focused approach of its agency force, while recognising Manjula’s professionalism and commitment to policyholders.

The award evaluates insurance agents on criteria extending beyond sales performance, including ethical conduct, client service, policy persistency, digital adoption, innovative practices and contributions to the insurance industry and community.

The awards are organised by Asia Advisers Network and Asia Insurance Review, with LIMRA as co-organiser. An independent judging and balloting process is monitored by KPMG as the official scrutineer. The judging panel comprises senior insurance executives, association presidents and industry experts from across the Asia-Pacific region.

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CEAT Kelani retains AA+ rating for sixth year

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CEAT Kelani Holdings (CKH) has retained its National Long-Term Rating of ‘AA+(lka)’ with a Stable Outlook from Fitch Ratings for the sixth consecutive year, reflecting the company’s financial resilience and leading position in Sri Lanka’s pneumatic tyre market.

The ‘AA+(lka)’ rating, the second-highest on Fitch’s national scale, indicates a very strong capacity to meet financial commitments.

Fitch said CKH’s established market leadership and resilient financial profile remained key strengths, while noting its exposure to price-sensitive, cyclical and highly competitive markets.

The Stable Outlook reflects expectations that the company will maintain its market position despite rising input costs and increasing competition from imported tyres, while preserving adequate credit metrics during periods of weaker earnings and higher investment.

Fitch expects CKH’s established brand, extensive dealer network and adaptive pricing strategies to support its market position. Planned production facility upgrades are also expected to improve product quality, particularly in the radial tyre segment.

The rating agency expects near-term pressure on margins from higher raw material and energy costs but said the company’s low leverage and sound liquidity would provide a cushion.

CKH Chairman Chanaka De Silva said the rating reinforced the company’s focus on disciplined financial management, operational adaptability and long-term investment.

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Commercial Bank leads nationwide aquatic clean-up drive

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Sanath Manatunge, Managing Director/CEO of Commercial Bank and some of the Bank’s staff participating in the coastal cleanup programme

Commercial Bank of Ceylon mobilised employees, customers, volunteers and community members for a nationwide coastal and aquatic clean-up campaign across 20 locations on September 19 to mark International Coastal Cleanup Day 2026.

Conducted under the bank’s sustainability platform, themed ‘Forward Together for a Cleaner Future’, the initiative covered 16 coastal locations and four inland waterways, bringing together stakeholders for a coordinated environmental conservation effort.

The flagship programme was held at Mount Lavinia Beach, with additional activities at Wellawatte and Galle Face beaches. Similar initiatives were conducted by the bank’s regional offices at locations including Kalutara, Negombo, Trincomalee, Batticaloa, Puttalam, Jaffna, Galle, Dondra, Tangalle and along the Mahaweli River.

Employees, management, Future Force volunteers, customers and their families participated alongside the Marine Environment Protection Authority (MEPA), United Nations Global Compact Network Sri Lanka, government and local authorities, environmental organisations and community members.

The bank said the initiative reflected its commitment to water stewardship after adopting Sustainable Development Goal 6 — Clean Water and Sanitation — as a priority goal in 2025.

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