News & market updates

Ajay Banga (World Bank) warns 1.2 billion young people will enter the workforce in the next 10–15 years while only about 400 million jobs are expected, creating a vast shortfall. The World Bank proposes a three-pillar jobs strategy (infrastructure and skills, business-friendly rules, and scaling businesses) focused on infrastructure, agribusiness, healthcare, tourism and manufacturing.

The Sri Lanka Export Development Board will run a workshop on Feb 18 titled 'Risk Management, Strategies and Incoterms to Win Competitiveness in International Trade Beyond Borders' for potential and SME exporters at the NDB-EDB Building in Colombo; sessions will be bilingual with practical exercises and limited seats (register via the Trade Facilitation Division).

The Colombo market ended marginally higher — ASPI +0.02% to 23,655.68 — on turnover of Rs.3.35 billion with foreign net outflows of Rs.64 million. Top positive contributors included NHL, CFIN, CARG, JKH and LLUB, while Samson International, UB Finance and Sierra Cables led turnover.

Government ministries and the World Bank commenced stakeholder consultations on a proposed Four-Band Tariff Policy under the 2026 Budget to support domestic industries and boost exports.

The Cabinet approved the National Mineral Policy 2026 to strengthen sustainable management and development of mineral resources, prioritising an updated mineral database, value addition for mineral exports, promotion of mineral-based industries, environmental management and land-ownership resolution.

The Colombo Stock Exchange closed down for a second session as the ASPI fell 0.43% (103.17 pts) to 23,651.09 with turnover over Rs.3.54bn and foreign net selling of Rs.465.9mn. Top negatives included SFCL, CARG, CFIN and DOCK, while RAL and EMER were among gainers.

Hayleys PLC presented Haycarb PLC with the Overall Winner Award at the Hayleys Chairman’s Awards 2025 for its HCE 400 Series silicon‑carbon anode materials for lithium‑ion batteries. Hayleys Fabric PLC won the ESG Category Award for a smart energy‑saving system for stenter machines.

Sri Lanka will make sustainability reporting mandatory by 2028 for private companies with revenue above Rs. 10 billion, with the top 100 CSE-listed firms required to comply from 2025 under IFRS S1/S2. Parallel National Environmental Act reforms introduce strategic environmental assessment, load-based licensing and extended producer responsibility, and require board-level ownership of climate risks.

Hayleys Group held its Chairman’s Awards 2025, naming Haycarb PLC the Overall Winner for its specialty activated carbon for silicon‑carbon anodes for lithium‑ion batteries. Hayleys Fabric PLC won an ESG award for a Smart Energy Saving System (avoiding 159,600 kg CO₂e per machine annually) and group projects in coconut processing and logistics were also recognised.

Associated Motorways (AMW) unveiled the all-new Nissan Almera in Sri Lanka, offered in VE Turbo CVT and VL Turbo CVT grades with a 1.0-litre HRA0 turbo engine (100 hp, 152 Nm) and a three-year/100,000 km warranty; vehicles are available for immediate purchase.

Tokyo Cement reported 3Q turnover of Rs.14,523m (vs Rs.11,639m) and profit after tax of Rs.332m (vs Rs.1,006m), citing volume growth but lower selling prices, higher input and currency costs and capitalisation of expansion and a vessel; expects demand lift from reconstruction and infrastructure spending.

Tokyo Cement Group reported Q3 turnover of Rs.14,523 million (25% YoY) and PAT of Rs.332 million (down from Rs.1,006 million YoY), citing volume growth but pressure from lower selling prices, higher raw material and currency costs, and capitalisation of expansion and a vessel; expects demand support from post-cyclone reconstruction and planned government capex.

SLSI and the Sri Lanka Association of Printers agreed to collaborate on a 2025–2030 project to develop 10–20 pilot “Model Printing Companies” implementing ISO 9001 and ISO 14001 to raise quality, sustainability and access to international/export markets, with an MoU to be formalised.

Colombo market opened in red as the ASPI fell 0.20% to 23,754.26 amid foreign net selling of Rs. 1.4 billion. Top negatives were JKH, SFCL, DOCK, TKYO and CARG, while LMF led food & beverage turnover and gained 9.08%.

Asian stocks surged as Japan's Nikkei jumped 4.4% after PM Sanae Takaichi's decisive win and a strong rebound in U.S. chip stocks, supported by growing bets on U.S. rate cuts; commodities moved too with gold and silver up and oil slightly lower.

US President Donald Trump has cut tariffs on Indian goods to 18% from 50%, a change exporters say will immediately release held orders and significantly boost competitiveness and orders for Indian textiles, apparel, leather and footwear exporters.

Sri Lanka Apparel Exporters Association reappointed Rajitha Jayasuriya as Chair and set a 2026 agenda prioritising GSP+ renewal, FTAs and digitalisation; apparel exports rose 5.42% to USD 5.019bn in 2025. The AGM called for a dedicated trade office, faster export facilitation (Single Window/ETA), predictable VAT refunds and accelerated fiscalised e-invoicing including a RAMIS 2.0 API pilot.

Colombo stock market ended the week up as the ASPI rose 0.14% to 23,801.96 while year-to-date net foreign selling approached Rs. 11.8 billion. Turnover was nearly Rs. 9.1 billion, led by banks and large crossings (notably Commercial Bank) with gains in ACME, JKH, Sampath, HNB, KZOO, Colombo Dockyard and Teejay.

Dividend · Rs 0.44 · XD Feb 17, 2026

Final dividend of LKR 0.44/share; XD 2026-02-17; record 2026-02-17; payable 2026-03-09; FY 2024/2025

The CSE will launch a digital listing portal in 2026 and commit to a seven-day review timeline once requirements are met to accelerate IPOs; this push, aligned with the SEC roadmap and an expected accommodative monetary policy, aims to boost listings and market liquidity.

Sri Lanka's Export Development Board met US Embassy economic officials to explore expanding bilateral trade and investment, pursue tariff exemptions and promote participation in SelectUSA 2026 and Sri Lanka Expo 2026. Sri Lanka's exports to the US were $2,999.15m in 2025, up 3.07% year-on-year.

JAT Holdings posted 7% YoY revenue growth in Q3 to Rs. 8.1bn, with gross profit up 14% and GP margin rising to 36%. PAT fell 23% to Rs. 774m due to Ditwah-related sales losses and higher taxation, while the company completed the acquisition of Mirotone (NZ) to expand its international footprint.

Senok Group has been reappointed as JCB's Authorized Dealer for the full JCB product range in Sri Lanka and remains reseller in the Maldives, restoring the partnership and offering nationwide sales, spare parts availability and after-sales service for construction and industrial machinery.

Sterling Steels Limited signed a Memorandum of Understanding with the University of Moratuwa to collaborate on applied research and innovation in steel building construction, focusing on cold-formed steel design and performance.

SLAEA reappointed Rajitha Jayasuriya as Chair at its AGM and said apparel exports rose 5.42% to $5.019bn in 2025. She urged prioritising GSP+ renewal, pursuing FTAs, faster export facilitation and accelerated digital reforms including fiscalised e-invoicing.

The Sri Lanka Export Development Board launched Edges of Sri Lanka alongside Sri Lanka Expo 2026 to promote exports and investment; the Expo will be held 18–21 June 2026 at BMICH to connect exporters with global buyers and investors. The initiative highlights strengths across agriculture, industry and digital services.

JAT Holdings reported Q3 FY 2025/26 revenue up 7% YoY to Rs. 8.1 billion and gross profit up 14%, while PAT fell 23% to Rs. 774 million. The quarter included the acquisition of New Zealand-based Mirotone, expanding JAT's international footprint and R&D/manufacturing capacity.

World Bank Executive Director Parameswaran Iyer visited Sri Lanka to strengthen development cooperation and reviewed World Bank-supported initiatives with the Treasury secretary. He highlighted priority areas for jobs and growth: infrastructure, agribusiness, healthcare, tourism and value-added manufacturing.

The NCE pledged full support for the EDB after the board finalised the National Export Development Plan 2025-2029, with Sri Lanka's exports rising 5.6% to $17.25bn in 2025. Council members flagged labour shortages, need for the National Single Window, SME development and market-access concerns.

Colombo Stock Exchange turnover reached Rs. 11.11 billion in the session, led by John Keells Holdings which accounted for Rs. 4.31 billion of trades. The ASPI and S&P SL20 rose, 131 stocks closed higher, with Sampath Bank, Dialog Axiata, Acme and Ceylon Land & Equity among the top positive contributors and HNB contributing Rs. 1.51 billion of turnover.