Sri Lanka vehicle registrations up 21-pct in April
ECONOMYNEXT – Sri Lanka’s vehicles registrations grew 21 percent from a year earlier to 40,428 units in April 2018, driven by small cars and motorcycles, an analysis by an equities research houses shows.
Motor cars led by Suzuki Wagon-R vehicles rose 107 percent to 5,190 units in April 2018 from a year earlier after a tax change, JB Securities, a Colombo-based brokerage shows.
Vans also rose 36 percent to 1,020 units.
Motorcycles purchased by less-affluent persons to gain mobility, rose 13.8 percent from a year earlier to 29,855 units.
Sri Lanka’s people had been hit by continuous currency deprecation which tends to eat away purchasing power by pushing up the price of traded goods.
Three-wheeler registrations was flat at 1,469 units, hurt by an urban-elitist tax, credit restrictions on top of currency depreciation.
JB Securities said three wheelers were no longer affordable to the less-affluent, at a price of 755,000 of which 420,000 could be taxes.
Three wheelers are held in contempt by car-owning urbanites, though they play a vital role for people’s mobility of in rural regions now.
So-called re-conditioned cars were 5,047 units in April up 198 percent from a year earlier with small cars with less than 1,000 cubic centimetre engines dominating, JB Securities said.
However larger Toyota cars such as Axio hybrids were also up. (Colombo/June01/2018)