An Echelon Media Company
Tuesday June 18th, 2024

Sri Lanka rupee opens weaker, stocks up

ECONOMYNEXT – Sri Lanka rupee opened weaker at 186.55/75 to the US dollar on Thursday while stocks gained and bond yields fell further, dealers said.

Rupee closed on Wednesday at 186.45/65 against the greenback.

In the secondary government securities market, yields came down further in an active market trade, dealers said.

Yields plunged more than 50 basis points after Central Bank halved its statutory reserve ratio to 2 percent from 4 at yesterday’s close following President Gotabaya slamming the Central Bank.

A bond maturing on 01.08.2021 was quoted at 6.45/55 percent on Thursday, down from 6.60/80 percent at the previous day’s close.

A new 2-year bond maturing on 15.12.2022 was quoted at 6.85/88 percent, sliding from 6.87/92 percent at Wednesday’s end.

A bond maturing on 15.01.2023 was quoted at 6.90/93, falling from 6.93/99 percent.

A bond maturing on 15.09.2024 was quoted at 7.48/52 percent, up from 7.47/52 percent at the previous day’s close.

A bond maturing on 01.05.2025 was quoted at 7.70/72 percent on Thursday, flat from yesterday’s end.

A bond maturing on 01.02.2026 was quoted at 7.80/85 percent, unchanged from Wednesday.

A bond maturing on 15.10.2027 was quoted at 8.10/15 percent, unchanged from 8.10/20 percent at the previous day’s close.

In the equities market, Colombo’s main, All Share Price Index (ASPI) advanced 0.46 percent or 22.95 points to gain 4,981.19.

S&P SL20 index of most liquid stocks gained 1.36 percent or 28.81 points to 2,149.92.

Market turnover was 222.3 million rupees with 54 stocks gaining and 16 stocks sliding.

LOLC Holdings contributed most to ASPI’s gain, advancing 2.90 rupees to trade at 124.90 while Hatton National Bank stocks gained 4.10 rupees to trade at 108.90 rupees a share.

John Keells Holdings stocks climbed 1.00 rupee to trade at 120.00 rupees a share.

(Colombo/June18/2020)

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Your email address will not be published.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Your email address will not be published.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