ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange (CSE) ended the year with its main All Share Price Index gaining 41.7 percent year on year, data from its site showed.
This is less than the 49 percent year on year growth recorded in 2024.
Investors turned to the local bourse as an alternative to other investment options such as fixed deposits due to the lower interest rates offered, brokers have said.
On Wednesday, the All Share Price Index (ASPI) closed 0.79 percent, or 178.42 points higher from the previous session at 22,624.31.
Meanwhile, the more liquid S&P SL20 index rose 0.75 percent, or 46.03 points, to close at 6,157.38.
Capital goods (2 billion rupees in turnover), food, beverage & tobacco (488 million rupees) and banking sector (455 million rupees) attracted investor interest in the session, dominating the total market turnover of 4.6 billion rupees.
John Keells (up 60 cents at 21.70 rupees), Senkadagala Finance (up 118.75 rupees at 1,315.25 rupees), ACL Cables (up 5.10 rupees at 89.80 rupees), Sampath Bank (up 1.50 at 146.50 rupees), and HNB Assurance (up 12.75 rupees at 114.75 rupees) were top contributors to the ASPI.
The All Share Total Return Index (ASTRI) climbed 44.23 percent higher while the total return for S&P SL20 for the year climbed 28.76 percent.
Share volume stood at 122,814,483 with 34,463 trades recorded in the session while the net foreign outflow was 103 million rupees.
The Exchange plunged to its lowest in 2025 in April, as the US “liberation day” reciprocal tariffs weighed down investor interest. On April 7, two days before the tariff implementation date, trading was halted in the opening session as the index plunged 4.64 percent to close at 14,660.
However, market rebounded 4.74 percent on April 10 on the news that US president Donald Trump’s liberation day tariffs were paused for a 90 day period.
On August 4, the ASPI surpassed the psychological 20,000 mark during intraday trade for the first time in history.
The index then hit 21,000 on September 19 and 22,000 on October 3.
Following Cyclone Ditwah on November 28, the index dropped 3.04 percent, registering a two month low, due to selling pressure. But construction and related shares gained after the massive destruction pushing the index up subsequently.
Globally, 2025 has seen stock markets consolidate losses to reach pre-pandemic levels, Reuters said.
“World stocks enjoy quiet end to year after $15 trillion surge,” Reuters said.
Japan’s Nikkei 225 index declined on technology shares, Japan’s Mainichi newspaper said. The index closed 0.37 percent lower at 50,339.48.
Pakistan’s Karachi Stock Exchange 100 index declined 0.24 percent to 174,054.32. Experts have attributed this year’s positive growth in the stock market to “the multiple economic developments that has lifted the investor sentiment,” Pakistan Observer said.
Hong Kong’s Hang Seng index ended 0.87 percent stronger at 25,630.54 as investors assess Chinese market data, CNBC said.
Meanwhile, Indian equity markets ended the tenth straight year of annual gain, Reuters said. India’s Nifty 50 was trading 0.74 percent higher at 26,129.60, while the Sensex index was 0.64 percent up at 85,220.60.
As at 4.45 pm Sri Lankan time, spot gold was trading at 4,318.37 US dollars, down 5.62 percent at the year end. (Colombo/Dec31/2025)