Mercantile Investments & Finance PLC has expanded its national footprint to 90 branches with a new opening in Tangalle, reinforcing its commitment to community accessibility. The trusted non-bank financial institution, with over 60 years of service, now supports diverse communities across Sri Lanka with leasing, deposits, gold loans, and tailored lending.

This physical expansion aligns with significant financial growth. The company recently surpassed an LKR 100 billion asset base, with its lending portfolio doubling to Rs. 75 billion and deposits growing to Rs. 51 billion, reflecting strong customer trust. It maintains a low NPL ratio of 4.65%.

Chief Operating Officer Laksanda Gunawardena stated the branch network is vital for building trust, complemented by ongoing digital investments. Managing Director Gerard Ondaatjie linked the growth to six decades of safeguarding depositor interests.

With strategic plans extending to 2027, Mercantile Investments aims to convert its scale into sustained competitive advantage, supporting both customers and Sri Lanka’s economic progress.

A glaring omission in the Board of Investment’s (BOI) Negative List is allowing duty-free imports of fully fabricated aluminium products, severely undercutting Sri Lanka’s domestic manufacturers, according to a leading industry association.

The Aluminium Fabricators Association of Sri Lanka (AFASL) warns that this policy failure is threatening tens of thousands of jobs, draining foreign exchange, and stifling local industrial capacity.

“This has created an uneven playing field,” the AFASL said, adding that BOI-approved developers gain cost advantages over local fabricators, while government revenue and foreign exchange are lost through imports of products already made in Sri Lanka.

The core of the issue lies in a critical policy gap. While raw aluminium extrusions are protected on the BOI’s Negative List – which restricts duty-free imports – finished products like doors, windows, and façade systems are not. Furthermore, the list’s lack of specific Harmonised System (HS) codes allows these finished items to be imported under varying descriptions, slipping through duty-free.

This loophole, the AFASL argues, disadvantages a robust local industry that employs over 30,000 people directly and indirectly. Supported by five local extrusion manufacturers, a skilled NVQ-certified workforce, and a well-established glass-processing sector, the industry has been operational since the 1980s.

The association highlights that the damage extends beyond fabrication. The imported systems often include glass, hinges, locks, and accessories, all of which are produced locally, thereby cutting off demand across the entire domestic value chain. Small and medium-sized enterprises (SMEs), a segment government policy aims to support, are feeling the impact most acutely.

Since May 2025, the AFASL has been engaged in talks with the BOI, Finance Ministry, and Industries Ministry. Their key demand is to include specific HS codes on the Negative List and to list fabricated aluminium doors, windows, and curtain wall systems under HS Code 7610 to close the loophole.

While welcoming supportive recommendations from the Industries Ministry to add these products to an updated Negative List, the AFASL sounded a note of caution. It warned that proposed reductions in the CESS levy could further incentivise imports, undermining the sector’s recovery from the economic crisis.

The association also pointed to an inequity in the current framework. With most subsidies withdrawn, BOI-registered property developers continue to benefit from duty-free imports, while locally made products remain subject to heavy taxes for the general population.

The AFASL is urging policymakers to align investment incentives with national industrial policy, protect domestic manufacturing, and ensure fair competition across the construction supply chain to safeguard an industry vital to Sri Lanka’s economy.

By Sanath Nanayakkare ✍️

Indra Traders recently introduced a special program titled “Athwela” in collaboration with the Bank of Ceylon (BOC).

The program is designed with a primary focus on customer convenience, aiming to provide essential support by simplifying the financial challenges often associated with vehicle purchasing and servicing. This initiative is regarded as a further strengthening of the trust and relationships Indra Traders has built over its decades of service excellence.

Customers visiting Indra Traders will enjoy a range of exclusive benefits including waived service charges on selected facilities, special promotional offers on vehicles, unique discounts on genuine spare parts, specialized financial assistance from BOC to make vehicle maintenance more accessible than ever before.

This collaboration realizes a shared vision between the two institutions. Especially during economically challenging times, the primary objective is to go beyond standard customer service and stand as a reliable friend and partner to the public. Both organizations expressed confidence that the “Athwela” program – combining the extensive experience of Indra Traders with the strong financial foundation of BOC – will add meaningful convenience to the lives of their customers.