An Echelon Media Company
Tuesday June 18th, 2024

Sri Lanka rupee ends firmer, bond yields flat

ECONOMYNEXT – Sri Lanka rupee closed firmer at 186.05/15 to US dollar in the spot market on Thursday while bond yields were flat and stocks closed lower, dealers and brokers said.

Rupee closed at 186.15/25 to the greenback on Wednesday.

In equities the Colombo’s All Share Price Index fell 0.76 percent or 39.37 points to 5,109.04.

The S&P SL20 index of more liquid stocks fell 1.30 percent or 29.40 points to end at 2,229.32.

The market turnover was 1.56 billion rupees with 46 stocks gaining and 102 falling.

Negotiated trade or crossing in Commercial Bank and Hatton National Bank too contributed to the market turnover.

A single crossing in Commercial Bank amounted to 78 million rupees while three crossings were witnessed in HNB contributing 223.4 million rupees.

Net foreign selling amounted to 305.6 million rupees.

John Keells Holdings contributed most to the fall of ASPI, dropping 2.00 rupees to trade at 119.40 rupees a share.

Dialog Axiata shares traded 20 cents down at 11.20 rupees while Ceylon Tobacco stocks fell 9.20 rupees to trade at 950.00 rupees a share, also contributing to the ASPI’s plunge.

In the secondary government securities market, gilt yields were flat from yesterday’s closing in moderate trading, dealers said.

Dealers said that high liquidity was seen in 2022 to 2027 maturities.

A 2-year bond maturing on 15.12.2022 closed at 5.80/85 percent on Thursday, down from 5.80/85 percent at Wednesday’s close.

A bond maturing on 15.01.2023 closed unchanged at 5.88/93 percent from the day earlier.

A bond maturing on 15.09.2024 closed at 6.42/47 percent, down from 6.40/47 percent at yesterday’s closing.

A bond maturing on 01.05.2025 closed at 6.55/65 percent on Thursday, sliding from 6.57/65 percent.

A bond maturing on 01.02.2026 closed at 6.70/80 percent, stable from 6.70/78 percent.

A bond maturing on 15.10.2027 was quoted at 6.90/7.00 percent, easing from 6.90/98 percent at Wednesday’s end.

(Colombo/July02/2020)

Leave a Comment

Your email address will not be published.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

Leave a Comment

Leave a Comment

Cancel reply

Your email address will not be published.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

Sri Lanka telecommunications bill some clauses ruled unconstitutional by SC: Speaker

ECONOMYNEXT – Sri Lanka’s Supreme Court has found a number of clauses in a proposed amendment to the Telecom Telecommunications Amendment bill unconstitutional, speaker Mahinda Yapa Abeywardana said.

“Clause No 8, proposed section 9A 2 of the bill is inconsistent with Article 12 1 of the constitution, however this inconsistency shall cease if word ‘may’ will be replaced with word ‘shall’ as set out in the determination of the supreme court.”

“Clause No 9 is inconsistent with Article 12 1 of the constitution and only can be passed with special majority required under paragraph 2 of the Article 84. However, the inconsistency shall cease if clause is amended as set out in the determination of the supreme court.

Clause No 12, proposed section 17 10 of the bill is inconsistent with Article 12 1 of the constitution and can only be passed with special parliament majority required under Article 84 paragraph 2. However, the inconsistency shall cease if clause is amended as set out in the determination of the supreme court.”

Sections of clauses 13, 18, 20, 33 and 35 were also in violation of the constitution, and could only be passed by a special majority of parliament. (Colombo/Jun18/2024)

Continue Reading

Sri Lanka to exempt one house from imputed rent wealth tax: President

ECONOMYNEXT – Sri Lanka will exempt one house from a proposed wealth tax outlined in an International Monetary Fund program, President Ranil Wickremesinghe said.

About 90 percent of the people’s houses are likely to be exempt from the proposed tax, he said.

“[O]ne house will be exempt from this,” President Wickremesinghe told parliament Monday.

“It is going to have a very high threshold and I do not think the vast majority of the people in this country should even be worried about their house

“Don’t worry your house will be safe.”

The IMF program document however did not mention an exempt on one house, but did mention a threshold.

Taxing houses and thrift in general could have detrimental effects on people’s well-being housing stock and their willingness to remain in the country without migrating, critics say.

Related Sri Lanka to tax imaginary rents on houses under IMF deal

The mechanism of imputed rents was used because rates on houses was assigned to provincial councils and courts could strike it down.

Opposition legislator Harsha de Silva said the Samagi Jana Balwegaya welcomed President Wickremesinghe’s statement. (Colombo/June18/2024)

Continue Reading

Sri Lanka rupee opens weaker at 304.30/55 to US dollar

ECONOMYNEXT – Sri Lanka’s rupee opened at 304.30/55 to the US dollar on Tuesday, while bond yields were broadly stable, and stocks opened 0.02 percent up, dealers said.

The rupee closed at 304.00/15 to the greenback on Friday, before the long weekend.

In equities, Colombo’s All Share Price Index opened 2.06 points higher at 12,312 while the S&P SL20 of more liquid stocks opened down 0.07 percent or 2.63 points to 3,642.

The market turnover was 3.3 million rupees.

In the secondary market, yields were broadly stable, dealers said.

A bond maturing on 15.12.2026 was quoted at 10.10/30, up from 10.05/30 percent.

A bond maturing on 01.07.2028 was quoted at 11.05/30 percent, up from 11.05/20 percent.

A bond maturing on 15.09.2029 was quoted stable at 11.80/85 percent.

A bond maturing on 01.10.2032 was quoted at 11.95/12.10 percent, down from 12.00/10 percent.
(Colombo/Jun18/2024)

Continue Reading