News & market updates

A seminar on Beneficial Ownership compliance will be held on 22 July 2026 at The Kingsbury, Colombo to provide guidance on BO filings under the Companies Act No. 12 of 2025 and CBSL Direction 2 of 2026, highlighting the statutory BO filing deadline of 30 September 2026 and non-compliance risks.

Secondary government bond yields rose and the Finance Ministry announced a Rs.150 billion Treasury bond auction across three maturities (Rs.70bn 15 Oct 2030; Rs.50bn 15 Oct 2034; Rs.30bn 1 Jul 2037). Market liquidity increased to Rs.139.01bn and USD/LKR closed at 336.00/336.40.

Minority shareholders of Associated Motor Finance (AMF.N0000) say the proposed amalgamation with L B Finance (LFIN.N0000) undervalues AMF and have asked the SEC and CSE to review the Rs.55 per-share cash consideration; CBSL said pricing is outside its remit.

Commercial Bank of Ceylon (COMB.N0000) was ranked No.1 banking brand in the Service Brands category and No.2 among all service brands in LMD Magazine's 2026 Most Loved Brands survey for the third consecutive year. It was also voted People's Private Banking Services Brand of the Year for the fourth consecutive year at the SLIM Kantar People's Awards 2026.

DFCC Bank PLC has entered a strategic partnership with MyFees.lk to expand digital payment and settlement capabilities across Sri Lanka's education sector. MyFees.lk serves 180+ institutions and over 650,000 students; the tie-up aims to simplify fee collection and develop further education-focused digital financial solutions.

Commercial Bank of Ceylon PLC participated in a seven-day Professional Development Program on Women Leadership in Banking (22–28 June 2026) run by BIMT Campus with AIT Extension in Thailand. The programme covered strategic leadership, AI, cybersecurity and digital transformation.

Bank of Ceylon launched BOC Flex – Tap & Pay, Sri Lanka's first mobile banking wallet-based contactless payment solution on 9 July 2026. The wallet uses virtual cards, auto top-up and NFC support to enable contactless POS and online payments, boosting digital payments and competitive pressure on other banks.

Singapore FinTech Festival 2026 will be held 18–20 November 2026 at Singapore EXPO, focusing on translating fintech ideas into action with emphasis on AI, tokenisation and digital finance. The Fintech Association of Sri Lanka is an official Community Partner for the seventh consecutive year.

CA Sri Lanka and the Colombo Stock Exchange on 6 July launched an SME Creditworthiness Rating Framework, the SME Connect Awards and The Entrepreneur magazine to standardise SME credit assessments and boost access to finance. Workshops and guidelines will support adoption.

The 13th CFA Society Sri Lanka Capital Market Awards will be held on 10 September 2026 at the Oak Room, Cinnamon Grand, Colombo, recognising excellence in investment research, investor relations and corporate governance across Sri Lanka's capital markets.

Rupee closed at 336.00/60 to the US dollar, slightly weaker than 336.00/30 the previous day; government bond yields rose, with the 15.12.2029 note at 11.05/15% and the 15.12.2032 note at 11.65/75%.

Sri Lanka's ASPI fell 0.60% to 21,697.72 as markets slowed amid escalation in the Middle East and global instability. Seylan Bank, Lanka IOC and Malwatte Valley Plantations were among gainers while Commercial Bank, Melstacorp, Lion Brewery and Hayleys led declines; Vidullanka authorised a first gross dividend of Rs0.20 per share to be dispatched by Aug 7, 2026.

The weekly Treasury Bill auction raised the full Rs.100 billion with weighted average yields broadly steady: 91-day 10.21%, 182-day 10.30% and 364-day 10.21%. Secondary bond yields rose and the rupee weakened to ~LKR 335.75/336.20 amid renewed Middle-East tensions and higher oil prices.

The ASPI fell 0.61% (133.80 pts) to 21,828.50, extending its slide to a seventh straight session. Market turnover was Rs.2.25bn on 210.1m shares with foreign net selling of Rs.22.5m and major negative contributors including Sampath, Hayleys, Dialog, LOLC and HNB.

UAE investors make up 19% of foreign investor interest in Port City Colombo, with Singapore, China and the UK at 13% each, while South Asian investors—notably India—remain underrepresented; officials see this as a key growth opportunity. The development is an SEZ offering single-window approvals, unrestricted foreign ownership, multi-currency transactions and fiscal incentives.

People's Leasing & Finance PLC posted PAT of Rs.5.08bn (41% YoY) and PBT of Rs.8.56bn for FY2025/26, with total assets up 65% to Rs.321.23bn; the annual report also highlights new AI-powered and digital reporting features.

Asian shares rose as semiconductor stocks rebounded while Brent crude jumped to about $78.65/bbl after renewed Gulf hostilities, pushing up global bond yields and increasing markets' bets on further Fed rate hikes.

Sri Lanka's rupee weakened to 336.65/75 per US dollar (from 336.00/30) and government bond yields rose, with the 01.08.2030 quoted at 11.38/45% (up from 11.30/35%).

Seylan Bank (Seylan Cards) was the Title Partner of Pickleball Slam 2026, sponsoring the event to promote lifestyle and wellness and to engage existing and potential cardholders.

Pan Asia Banking Corporation (PABC.N0000) launched 'Remit Max' on 3 July 2026 in Kurunegala, introducing a Remit Max Savings Account and a Remit Max Pre-Departure Loan Facility for migrant workers. The suite is designed to encourage formal inward remittances and provide pre-departure financing for prospective overseas workers.

Sri Lanka's ASPI fell 0.49% to 21,720.92 midday; HNB Finance listed 381,667,019 new ordinary voting shares and 80,072,222 non‑voting shares from its rights issue. Malwatte Valley Plantations and Seylan Bank were among gainers while Melstacorp was a top decliner.

Sri Lanka sold all Rs100bn of Treasury bills at Wednesday's auction; 3-month yield 10.21% (-2bp), 6-month 10.30% (unchanged), 12-month 10.20% (+1bp). The 3-month sold Rs58.47bn (Rs50bn offered), 6-month sold Rs35bn, 12-month sold Rs6.53bn.

Sri Lanka rupee closed at 336.00/30 to the US dollar, weaker than 334.75/85 the previous day, while government bond yields rose across several maturities (e.g. 15.02.2028 at 10.45/55%, 15.12.2029 at 11.00/10%).

Commercial Bank of Ceylon's proposed LKR20 billion Basel III-compliant subordinated debentures were assigned a final National Long-Term Rating of 'A(lka)' by Fitch. The bank said proceeds will strengthen Tier 2 capital, reduce maturity mismatches and support loan growth; maturities are 5, 7 and 10 years.

Industrial Asphalts sold 1,800,693,010 shares (48.03% control) to Arcasia Investment & Trading and ATX Partners (agreement dated July 7); trading was halted and the stock last traded at 50 cents.

Sri Lanka's rupee weakened to 335.50/90 per US dollar from 334.75/85 and government bond yields rose; a Rs 100,000 million Treasury bill auction is scheduled for 8 July.

Brent crude rose about 2% to $75.60/bbl and 10-year U.S. Treasury yields climbed to ~4.565% as renewed Middle East fighting and U.S. moves on Iranian oil raised supply and inflation risks. Equities saw renewed volatility and the AI rally lost momentum after volatile semiconductor results.

Sri Lanka's official reserve assets fell 6.3% in June to USD 6,450m, a USD 431m drop from May, the Central Bank said. The decline was driven by a 6.1% fall in foreign-exchange reserves to USD 6,254m and an 11.7% drop in gold reserves to USD 191m.

The Central Bank of Sri Lanka reported that not a single local Hawala or Hundiyal operator has registered under the 2024 licensing framework. Parliament's finance committee questioned the policy's effectiveness as CBSL cut the capital requirement to Rs.15m and said three overseas operators applied.

Parliament’s Committee on Public Finance warned online scam networks are an emerging financial‑crime risk and urged authorities to identify such threats early as Sri Lanka strengthens its anti‑money‑laundering framework. Officials said fraud (including scams) and trade‑based money laundering are rated medium‑high risks and the committee approved related AML legislation.