Business

Two CSE circuit breakers as fears grow over shrinking foreign reserves

Published

5 years ago

2022/02/24

By Hiran H.Senewiratne

CSE trading activities yesterday experienced two major circuit breakers. Consequently, the most liquid index plunged below 8 per cent. According to stock brokers, the market halted at 11.17 am when the S&P SL20 index fell over 5 per cent and again at 12.13 pm when the same index fell more than 7.5 per cent.

Due to this scenario a fresh buying interest was propped up but due to its steep fall, the stock market was unable to recover its momentum. The government’s decision to pay off the US $ 34 million fuel bill from the Treasury to a Singapore company created volatility in the stock market. This is because investors became concerned about a further deterioration of foreign reserves, which would result in the printing of rupees. This created inflationary pressure for the economy, market analysts said.

The broader index fell to the intraday lowest at 10,811.27 points, losing 6.74 per cent or 781.03 points. However, the market picked up slightly following this plunge to settle at 11,179.04 points at 2.30 pm, provisional data showed. S&P SL20 of the most liquid stocks was more than 4 per cent or 169 points to 3,756.68 points and the All- Share Price Index plunged to 800 points but later settled down to 400.4 points.

Turnover stood at Rs 4.52 billion with two crossings. Those crossings were reported in Lion Brewery, which crossed 80000 shares to the tune of Rs 42,8 million and its shares traded at Rs 535 and Hemas Holdings 380,000 shares crossed to the tune of Rs 23.75 million, its shares traded at Rs 62.50.

In the retail market top seven companies that mainly contributed to the turnover were; Expolanka Holdings Rs 1.17 billion (4.5 million shares traded), Browns Investments Rs 614 million (53 million shares traded), LOLC Holdings Rs 228 million (256,000 shares traded), Royal Ceramic Rs 201 million (3.5 million shares traded), LOLC Finance Rs 170 million (8.4 million shares traded), Hayleys Rs 150 million (1.5 million shares traded) and Commercial Leasing and Finance Rs 139 million (3.5 million shares traded).

Market analysts had been predicting a nosedive as margin calls kicked in and the economic crisis in the country worsened as extended power-cuts took hold amid a fuel shortage and a dollar crisis. Analysts said this eroded investor confidence in the market. Stockbrokers said LOLC and Expolanka accounted for nearly 50 per cent of the market plunge. Expolanka, LOLC Holdings, and Browns Investments were the forerunners of the plunge.

Expolanka Holdings, the market heavyweight, slipped 8.90 per cent to close at Rs 261.00 a share, while LOLC Holdings went down 8.93 per cent to close at Rs 909.75 a share. Browns Investment fell 13.08 per cent to close at Rs 11.30 a share.

Yesterday the US dollar was quoted at Rs 202.65, which was the Central Bank controlled exchange rate. The actual floating exchange rate of the US dollar would be more than Rs 250. With this rate, the dollar would touch more than Rs 300 towards the end of the year, informed sources said.

All News Advertisement

Business

Rs 160 million + diesel discrepancy at Lakvijaya power plant prompts probe

Published

8 hours ago

2026/09/30

Sahan Weerasooriya

The Lakvijaya power plant in Norochcholai.

By Ifham Nizam

A Rs.160 million-plus diesel discrepancy at the Lakvijaya power plant in Norochcholai has triggered an internal investigation, raising questions over the handling of public funds and the controls governing fuel purchased for electricity generation.

The discrepancy surfaced during an internal audit of diesel supplied to the plant from the Kolonnawa and Sapugaskanda fuel terminals, according to senior officials familiar with the inquiry.

The audit has identified five transactions—two in December 2025 and three in January 2026—in which diesel recorded as delivered to the plant allegedly could not be fully accounted for in its physical stocks.

The investigation is now examining whether these were isolated discrepancies or part of a longer-running practice.

One transaction under scrutiny relates to January 16, when records reportedly showed that 10 diesel bowsers had arrived at the plant. Investigators subsequently found indications that the fuel stock corresponded to only nine bowsers.

A storekeeper responsible for the relevant fuel operation has reportedly been temporarily removed from those duties pending the investigation.

A senior official said investigators were reviewing historical records amid indications that similar discrepancies may have occurred over a longer period. If established, the financial exposure could therefore exceed the Rs.160 million currently identified.

The investigation is comparing fuel-terminal dispatch records, tanker movements, plant-entry records, receiving documents and physical stocks to establish exactly how much fuel was dispatched, received and accounted for.

That audit trail will also be critical in determining who authorised, received and certified the disputed consignments, and whether established controls were followed.

Relevant documents were reportedly transferred from Norochcholai to the company’s Colombo head office on September 26 for further examination, with electricity-sector security personnel assisting in the transfer.

The internal audit has also reportedly uncovered expired chemical stocks worth several hundred thousand rupees in the plant’s stores. Investigators are examining whether further inventory-management irregularities occurred.

The matter was also reportedly taken to the Puttalam Police Special Crimes Investigation Unit on September 26.

When contacted by Puttalam-based journalist Hiran Priyankara Jayasinghe for The Island Financial Review, Lakvijaya Power Plant Manager Nalaka Kumara confirmed that an investigation was under way but declined to provide further details.

The financial issue is direct: if the plant paid for diesel it did not receive, public-sector funds were spent without the electricity sector receiving the corresponding fuel.

Business

Sri Lanka Food Processors Association holds 29th Annual General Meeting

Published

8 hours ago

2026/09/30

Sahan Weerasooriya

The Sri Lanka Food Processors Association (SLFPA) successfully convened its 29th Annual General Meeting (AGM) on September 23, 2026, at the Water’s Edge Hotel, Battaramulla. Bringing together key industry stakeholders and member organizations, the event served as a platform to review milestone achievements from the 2025/2026 term and outline strategic priorities for the nation’s food and beverage processing sector.

At the AGM, the new Executive Committee for 2027/2028 was appointed, comprising: Honorary President Aruna Senanayake C.W. Mackie PLC Imme. Past President Thusith Wijesinghe Trans Continental Packaging & Commodities (Pvt) Ltd.

President Elect Nadishan Guruge Meadlee Trading Co. (Pvt) Ltd.

1st Vice President Damitha Perera Forbes & Walkers Commodity Brockers (Pvt) Ltd.

2nd Vice President Rasika Seneviratne Diesel & Motor Engineering PLC 3rd Vice President Deepal De Alwis Neochem International (Pvt) Ltd.

Honorary Secretary Amila Weerasinghe Nestle Lanka Limited.

Asst. SecretaryDineth Alahakoon Country Style Foods (Pvt) Ltd.

Honorary Treasurer Sameera Jayathilaka Westmann Engineering Company (Pvt) Ltd.

Asst. Treasurer Niroshan Dalpethado C D De Fonseka & Sons (Pvt) Limited. In addition to the above office bearers, the following ten Executive Committee Members were appointed:

Sanjeewa De Silva Unilever Sri Lanka Limited Sheran De Alwis MA’S Tropical Food Processing (Pvt) Limited

Thusitha Ekanayake Anods Cocoa (Pvt) Ltd.

Vijitha Govinna Plenty Foods (Pvt) Limited Ms. Praharshi Wickramasekara International Commodity Exports (Pvt) Ltd.

Sanjeewa Niroshan SGS Lanka (Pvt) Ltd. Kushan Amarasinghe Finagle Lanka (Pvt) Ltd.

Rangajeewa Hettiarrachchi Fonterra Brands Lanka (Pvt) Ltd.

Harindra Abeyrathna Vision Technologies International (Pvt) Ltd. Thilina Weerasekara Ceylon Cold Stores PLC

The event was proudly supported by key industry partners, with SGS Lanka (Pvt) Ltd serving as the Platinum Sponsor. Unilever Sri Lanka Ltd. and Nestlé Lanka Ltd. joined as Gold Sponsors, Ceylon Agro Industries – Prima as the Silver Sponsor, while Lanka Exhibition & Conference Services (LECS) and Hero Nature Products (Pvt) Ltd., supported as Bronze Sponsors.

The proceedings concluded with a vote of thanks delivered by Hony. Secretary Deepal De Alwis, followed by cocktails and a fellowship networking session, providing an opportunity for members to connect and strengthen industry ties.

Business

Uber brings the ‘business class of back seats’ to Sri Lanka with Uber Black

Published

8 hours ago

2026/09/30

Sahan Weerasooriya

New premium ride option expands Uber’s portfolio from affordable Moto and Tuk rides to premium on-demand travel

Uber announced the launch of Uber Black in Sri Lanka, bringing its premium ride experience to the country for the first time. Designed as the “business class of back seats,” Uber Black combines premium vehicles and highly-rated drivers for riders looking for greater comfort, quality and a more elevated travel experience.

The launch comes as demand for premium products and experiences grows across Sri Lanka, with consumers seeking greater choice and quality in their everyday experiences. Uber Black brings this choice to on-demand mobility, whether for an airport journey, an important business meeting, a special occasion or simply when riders want to travel in greater comfort.