Markets

Sri Lanka stocks fall for third straight session; net foreign inflow hits over 3-yr high

Colombo Stock Exchabge

Tuesday September 20, 2022 7:50 pm

ECONOMYNEXT – Sri Lanka stocks fell on Tuesday (20) for the third consecutive session dragged down on profit-taking while foreign buying in market heavyweight Expolanka helped the bourse to see net foreign inflow of more than three-year high, data showed.

The bourse saw a net foreign inflow of 2.4 billion rupees on Tuesday, its highest since July 15, 2019. The net foreign inflow so far this year is 9.9 billion rupees after 11.3 billion rupees of net offshore buying in the last 26 consecutive sessions amid positive sentiment over an IMF deal.

The main All Share Price Index (ASPI) fell 1.24% or 124.27 points to close at 9,901.13, sliding further away from its 5-1/2 month highest hit on Thursday (15).

“The market continued to slip on profit-taking in counters that are moving down in value,” a market analyst said.

Analysts previously said that the market has been witnessing a pattern of short-runs with short-lived buying and selling pressures around active shares.

The market saw a turnover of 6 billion rupees, twice this year’s average turnover of 3.24 billion rupees.

Analyst said Expolanka contributed mostly to the foreign inflow and the market turnover following 30 crossings priced at 228 rupees a share.

The market had been on a rising trend since IMF early this month announced that it reached a staff-level agreement with Sri Lanka with a possible 48-month 2.9 billion dollars in Extended Fund Facility (EFF) once the debt restructuring is done.

Sri Lanka also submitted a reform-oriented interim budget for 2022 on August 30 which was seen as market positive. It aims at almost doubling the tax-to-GDP ratio to 15 percent by 2025 from 8.2 percent at the end of 2021.

The more liquid S&P SL20 index ended 1% or 32.15 points down at 3,185.59.

The main index ASPI has gained 9.1 percent in September so far after gaining 17.3 percent in August.

The index has lost 19 percent so far this year after being one of the world’s best stock markets with an 80 percent return last year when large volumes of money were printed.

Investors are also concerned over the steep fall of the rupee from 203 to 370 levels so far in 2022.

Sampath Bank dragged the index down, closing 3.8 percent down at 37.5 rupees a share.

LOLC Holdings closed 3.3 percent down at 505.7 rupees and Richard Pieris slipped 3.2 percent to 30.4 rupees a share.

Expolanka, bucking the trend, gained 0.7 percent to 224.75 rupees a share. (Colombo/Sept20/2022)

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Markets

Sri Lanka stocks close up as some investor interest returns

Monday December 4, 2023 6:12 pm

ECONOMYNEXT – The Colombo Stock Exchange closed up on Monday, CSE data showed.

The All Share Price Index was up 0.22 percent, or 23.33 points, at 10,743.59.

The S&P SL20 index was up 0.68 percent, or 20.60 points, at 3,067.73.

Turnover was at 708 million. The banks sector contributed 189 million, while the food, beverage and tobacco sector contributed 176 million of this.

Sri Lanka’s stock market has seen some investor interest return after last week’s news that the country had managed an agreement on a debt restructuring deal with an official creditor committee, and foreign funds for some development projects resumed.

Top positive contributors to the ASPI in the day were Sampath Bank Plc (up at 71.50), LOLC Holdings Plc (up at 379.00), and Commercial Bank of Ceylon Plc, (up at 90.90).

There was a net foreign outflow of 52 million.

Citrus Leisure Plc, which announced that its banquet hall and revolving restaurant at the Lotus Tower would launch on or around Dec 9, saw its share price rise to 6.20 rupees. (Colombo/Dec4/2023).

Bonds & Forex

Sri Lanka rupee closes broadly steady at 328.10/30 to the US dollar

Monday December 4, 2023 5:24 pm

ECONOMYNEXT – Sri Lanka’s rupee closed at 328.10/30 to the US dollar on Monday, from 328.00/10 on Friday, dealers said.

Bond yields were stable.

A bond maturing on 01.06.2025 closed at 13.70/14.00 percent from 13.70/95 percent.

A bond maturing on 01.08.2026 closed at 13.90/14.10 percent from 13.90/14.05 percent.

A bond maturing on 15.01.2027 closed at 14.00/14.10 percent from 14.05/10 percent.

A bond maturing on 01.07.2028 closed at 14.20/35 percent from 14.15/25 percent.

A bond maturing on 15.05.2030 closed at 14.25/45 percent, from 14.20/45 percent.

A bond maturing on 01.07.2032 closed at 14.05/40 percent, from 14.00/45 percent. (Colombo/Dec4/2023)

Crime

Gov minister highlights abortion rights, sex-ed for children, and Sri Lanka men killing their women

Monday December 4, 2023 4:21 pm

ECONOMYNEXT – Sri Lanka’s legislators have politicized the topics of rape and violence without addressing the elephant in the room, Jeevan Thondaman, Minister of Water Supply and Estate Infrastructure Development said in parliament on Monday (4).

“All the members here are talking about rape. What happens after that? We must talk about abortion rights. That is not something anyone wants to touch on, and that is why we are in this place right now,” Thondaman said.

“Despite alarming statistics on rape and violence, women are often blamed and punished for it. The criminalisation of abortion is a major example of this.”

Sri Lanka has some of the most restrictive abortion laws in the world. According to a 2016 estimate by the Health Ministry, he said, approximately 658 abortions take place a day, and close to 250,000 a year.

“That’s 250,000 women whose lives you are endangering.”

He added that what was needed at this point in time was comprehensive sexual education (CSE) for children and young people.

“Only through CSE in schools will children and young people develop, accurate, age appropriate knowledge attitude and skills; positive values such as respect for human rights, gender equality, diversity and attitude and skills that contribute to a safe, healthy and positive relationship.”

Thondaman pointed out that CSE plays a pivotal role in preparing young people for a world where HIV, AIDS, sexually transmitted infections, unintended pregnancies, and sexual and gender based violence still pose a risk to their well-being.

“CSE basically empowers children take control and make informed decisions freely and responsibly.”

Thondaman also highlighted the findings of a 2021 study (Fatalities_20211109_UNFPA) by the UNFPA and the University of Kelaniya that showed that a majority of women killed in Sri Lanka were murdered by those close to them.

“62 percent of homicides of Sri Lankan women are committed by either an intimate partner, ex-partner or family member. 84 percent are killed in their own homes by someone they know.”

Police and the judiciary have failed Sri Lanka’s women, the minister pointed out.

“Only 5 percent of these cases, between 2013-2017, were ever concluded. Men claim they were provoked, or are of unsound mind or have mental illness: These have been successful defenses. And the Police often express sympathy to this narrative as opposed to the victim’s.”

“We have a history of protecting oppressors.”

It takes 7-10 years for a child rape case to conclude, he pointed out.

Establishment of child courts are needed, he said, as well as several legislative amendments. “The government is working on a new law to reform the domestic violence act, reform of marriage and divorce laws to ensure there is an easier path to divorce: no one should be forced to remain in a marriage that is either abusive or not healthy.” (Colombo/Dec4/2023)