Connect with us

Business

Agalawatte Plantations transaction contributes in excess of 45 per cent to CSE turnover

Published

on

By Hiran H.Senewiratne

CSE investor sentiment improved yesterday and was positive due to a major crossing that took place in Agalawatta Plantations. This transaction surpassed the average turnover level of Rs 3.5 billion, stock market analysts said.

Investor sentiment overall improved somewhat due to certain decisions taken by the government to reduce economic uncertainty with the assistance of the IMF, analysts said.

Amid those developments both indices moved upwards. The All- Share Price Index went up by 11.97 points and S and P SL20 rose by 38.22 points. Turnover stood at Rs 4.5 billion with a single crossing. The crossing was in Agalawatte Plantations, which crossed 45.3 million shares to the tune of Rs 2.3 billion and its shares traded at Rs 50.

In the retail market seven companies that mainly contributed to the turnover were; Expolanka Holdings Rs 605 million (2.2 million shares traded), JKH Rs 365 million (2.3 million shares traded), Royal Ceramic Rs 154 million (2.9 million shares traded), LOLC Holdings Rs 114 million (137,000 shares traded), Hayleys Rs 82.4 million (961,000 shares traded), Lanka Wall Tiles Rs 80.7 million (844,000 shares traded) and LOLC Finance Rs 77.3 million (5.1 million shares traded). During the day 95 million share volumes changed hands in 17000 transactions.

Initially the market opened on a positive note as investors began bargain hunting on Expolanka, LOLC and Browns Investments. It is said high net worth and institutional investor participation was noted in John Keells Holdings, Chevron Lubricants and LB Finance. Mixed interest was observed in Expolanka Holdings, LOLC Holdings and ACL Cables while retail interest was noted in Browns Investments, LOLC Finance and Softlogic Capital.

It is said the Capital Goods sector was the top contributor to the market turnover (due to ACL Cables and JKH).

Yesterday more than 45 percent of the turnover was contributed by the Agalawatta Plantations crossing. This transaction was more than 29 per cent of the total shareholding.

Yesterday, the rupee further depreciated against the US dollar. Selling rate was Rs 295 and buying rate Rs 284.



Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Budget 2025 seen as making no positive impact whatsoever on bourse

Published

on

By Hiran H.Senewiratne

The annual budget which was presented in parliament yesterday had no positive impact on the stock market since it was more focused on vulnerable sections rather than developmental in orientation, market analysts said.

Amid those developments both indices moved upwards. The All Share Price Index went up by 290.36 points, while the S and P SL20 was up 74. 42 points. Turnover stood at Rs 5.4 billion with nine crossings.

Those crossings were reported in Ceylinco Insurance which crossed 227,000 shares to the tune of Rs 898 million; its shares traded at Rs 3950, LOLC Holdings 232,000 shares crossed for Rs 160 million; its shares traded at Rs 690, Melstacope 575,000 shares crossed for Rs 80.5 million; its shares traded at Rs 140, Commercial Bank 500,000 shares crossed for Rs 75 million and its shares sold at Rs 150, JKH 2.7 million shares crossed for Rs 63.3 million; its shares traded at Rs 22.80, Print Care 595,000 shares crossed for Rs 37.2 million; its shares traded at Rs 52.50, Janashakthi Insurance 350,000 shares crossed for Rs 23.4 million; its shares sold at Rs 67, Hemas Holdings 200,000 shares crossed for Rs 23.4 million; its shares sold at Rs 117 and Central Finance 100,000 shares crossed for Rs 22.4 ; its shares traded at Rs 224.

In the retail market top six companies that mainly contributed to the turnover were; First Capital Holdings Rs 357 million (eight million shares traded), HNB Rs 260 million (782,000 shares traded), Dialog Rs 199 million (14.2 million shares traded), Sampath Bank Rs 175 million (1.4 million shares traded), TJLanka Rs 150.7 million (2.6 million shares traded) and Sierra Cables Rs 149 million (8.4 million shares traded). During the day 132 million share volumes changed hands in 28000 transactions.

It is said that the banking and financial sector was the most active counter during the day’s trading while the manufacturing sector counter was the second biggest contributor to the market.

Yesterday, the rupee was quoted at Rs 295.40/80 to the US dollar in the spot market, broadly flat from Friday’s close of Rs 295.40/70, dealers said, while bond yields were steady.

A bond maturing on 15.12.2026 was quoted at 8.90/9.00 percent, down from 8.95/9.00 percent. A bond maturing on 15.10.2027 was quoted at 9.55/75 percent, down from 9.60/75 percent. A bond maturing on 15.02.2028 was quoted at 10.05/10 percent, down from 10.08/10 percent. A bond maturing on 01.07.2028 was quoted at 10.27/30 percent, up from 10.25/30 percent. A bond maturing on 15.10.2028 was quoted at 10.35/39 percent, down from 10.35/40 percent. A bond maturing on 15.09.2029 was quoted at 10.80/85 percent, up from 10.78/85 percent. A bond maturing on 15.05.2030 was quoted at 11.05/10 percent. A bond maturing on 15.10.2030 was quoted at 11.20/30 percent, up from 11.18/24 percent.

Continue Reading

Business

Central Bank vows prudent management of Sri Lanka’s limited foreign reserves

Published

on

Dr. Sumila Wanaguru dedicates her time to meticulously analyzing the country's cash flow, striving to maintain a precise balance between inflows and outflows

Pins hopes on bold moves by fiscal authorities through the Budget

By Sanath Nanayakkare

On February 14, 2025, Dr. Sumila Wanaguru, Director of International Operations at the Central Bank of Sri Lanka, affirmed the Bank’s commitment to adhering to all guidelines and implementing necessary measures to maintain stable foreign reserve levels for the country. The International Operations Department, which oversees Sri Lanka’s foreign exchange operations, plays a critical role in monitoring commercial banks, intervening in markets to stabilize exchange rates, and facilitating cross-border payments. These efforts are central to ensuring the stability of Sri Lanka’s external financial system.

She gave the above affirmation in response to a question posed by The Island Financial Review whether her department could give the assurance to the people of this country that the county’s limited foreign reserves would be managed by the Central Bank prudently.

” Yes, we can assure the public that we will manage our foreign reserves prudently ensuring there is no pressure on external or internal payments,” she said when asked to elaborate on her response.

She said so at a press briefing where the Central Bank of Sri Lanka released its first Monetary Policy Report for 2025 in keeping with the requirements of the Central Bank’s mandate.

The Monetary Policy Report provides forward-looking insights about the economy, particularly in terms of inflation and economic growth. The Report also aims to provide an assessment of risks to the projections on inflation and economic growth, considering the ongoing and expected developments on domestic and global fronts. Through this Report, the Central Bank strives to improve transparency and accountability by communicating the rationale behind its recent monetary policy decisions.

The key highlights of the report are as follows

• The monetary policy stance was further eased in late 2024, while the accommodative monetary policy stance continued into January 2025

• The Central Bank implemented a single policy interest rate mechanism introducing the Overnight Policy Rate as the primary monetary policy tool

• Headline inflation (year-on-year) remained in the negative territory since September 2024 mainly due to significant reductions in energy prices

• Following the projected near term deflation in early 2025, headline inflation is forecast to increase and converge to the targeted level of 5 per cent over the medium term

• Economic activity continued its recovery in 2024, supported by eased monetary conditions and improving investor confidence.

• With the effective implementation of necessary structural reforms and growth oriented policies, the growth momentum of the economy is expected to continue

Based on leading economic indicators, survey findings, and staff evaluations, real GDP growth in Q4-2024 is expected to be robust. Accordingly, the annual economic growth for 2024 is projected to be around 5 per cent.

It is noteworthy the Central Bank clearly stated at the press briefing that in the post-debt restructuring scenario, the ongoing fiscal consolidation measures, in line with the Extended Fund Facility (EFF) of the International Monetary Fund (IMF) needs to be pursued as there is no room for any deviations from the current fiscal path.

“The Government has promised numerous growth-oriented policies, which are yet to be formalized through the Budget. If these policies are implemented effectively as planned, they could support the corresponding sectors directly, while possible improvements in the doing business environment and governance would help enhance the growth potential of the economy,” the Central Bank said.

Continue Reading

Business

Sri Lanka identified as the largest recipient of ADB infrastructure support

Published

on

ADB Country Director Takafumi Kadono / Country Operations Head of ADB, Cholpon Mambetova

By Sanath Nanayakkare

Sri Lanka, a founding member of the Asian Development Bank (ADB), has received cumulative loans and technical assistance totaling US$12.6 billion between 1966 and 2024, And the Bank identifies Sri Lanka as the largest recipient of ADB infrastructure support among developing countries.

Currently, the ADB’s active sovereign lending portfolio for Sri Lanka stands at 4 billion, with an indicative financing pipeline of $900 million estimated for 2025, pending government confirmation.

These funds have been instrumental in developing key sectors such as agriculture, natural resources, rural development, roads, water and urban infrastructure, public sector management, finance, education, health, transport, and energy including the most important policy-based budget support.

The ongoing $4 billion portfolio is being utilized across 27 projects, comprising 36 loans and 4 grants. The allocation includes:

Transport: $859 million

Energy: $869 million

Water and Urban Infrastructure: $393 million

Public Sector Management and Finance: $669 million

Education and Health: $823 million

Agriculture and Rural Development: $422 million

The proposed $900 million pipeline for 2025, subject to government approval, will target six sectors: macroeconomic stability, power, agriculture, finance, tourism, and skills development. Funding will be delivered through policy-based loans, results-based lending, investment projects, and technical assistance initiatives.

The ADB’s Country Partnership Strategy for 2024-2028 emphasizes strengthening public financial management, governance, domestic resource mobilization, and state-owned enterprise (SOE) reforms. Key areas include enhancing transparency, governance, competition policy, and climate change and disaster risk management.

Sectoral Allocation of Cumulative ADB Support (1966-2024)

Transport: 26%

Energy: 14%

Finance: 15%

Human Development: 13%

Agriculture: 12%

Urban Development: 11%

Public Sector: 6%

Industry and Trade: 2%

Multisector: 1%

ADB Country Director Takafumi Kadono and Country Operations Head Cholpon Mambetova announced these figures during a media briefing in Colombo on February 13, 2025. Kadono emphasized that ADB’s support was tailored to Sri Lanka’s needs, particularly during periods when access to capital markets or other lending institutions were minimal.

“We provide policy-based budget support to ensure structural and policy reforms are implemented, addressing underlying weaknesses and fostering sustainable, inclusive growth,” Kadono said. He added that ADB-funded projects undergo rigorous due diligence and are prioritized based on necessity, ensuring they address critical needs rather than being merely “nice to have.”

Mambetova highlighted Sri Lanka’s status as the largest recipient of ADB infrastructure support among developing countries, with 26% of the total loan portfolio allocated to the transport sector. She noted the ongoing construction of the elevated highway between the New Kelani Bridge and Galle Face in central Colombo, which will extend the expressway network into the city center and port. “This vital infrastructure project is nearing completion and will soon be inaugurated,” she said.

Discussions are underway with the Sri Lankan government to finalize the 2025-2028 project pipeline during the Country Programming Mission in March. The ADB will continue to support investment projects and provide technical assistance grants to strengthen government institutions, enhance capacity development, and conduct analytical research.

Sri Lanka’s partnership with the ADB remains a cornerstone of its development strategy, ensuring critical investments in infrastructure, governance, and sustainable growth.

ADB and the United Nations Development Programme (UNDP) in Sri Lanka have come together to support the Commission to Investigate Allegations of Bribery and Corruption (CIABOC) on select Anti-Corruption Initiatives in Sri Lanka.

“The response to people’s aspirations for better governance and rooting out corruption requires political will, strong partnerships, and unwavering commitment from all stakeholders working on Sri Lanka’s recovery and sustained development,” the two senior ADB representatives said.

Continue Reading

Trending