News & market updates

C2S.LK, an engineering brand of Abacus Tea (Pvt) Ltd, won Outstanding Technology and Equipment Innovation at the Asia Awards 2026 for a patented tea-bag machine conversion that eliminates metal staples. The technology has converted 50+ machines in India and Sri Lanka and generated foreign exchange for Sri Lanka.

Hatch Fund Singapore invested $650,000 in Cultive8, a Sri Lankan-rooted agri-tech startup now headquartered in Singapore. The capital and access to Hatch’s accelerator will streamline Cultive8’s cap table and support regional and international expansion into markets such as India, Bangladesh and beyond.

Foreign Affairs Minister Vijitha Herath says Sri Lanka-US trade talks are about 95% complete but ongoing as Sri Lanka seeks further tariff relief after the US imposed reciprocal tariffs (now reduced to 20%), a measure that risks apparel and rubber exports and has drawn ADB warnings.

Colombo market rose as the ASPI gained 0.66% (150.67 pts) to 23,014.75, with market value up Rs.58.89 billion and turnover ~Rs.5.8 billion. Top contributors included Commercial Bank, ACL Cables, Dipped Products, Carson Cumberbatch, LOLC and Sampath, and foreigners were net buyers (~Rs.87.8m).

Hatch Fund Singapore invested about USD 650,000 in Cultive8, a Sri Lankan-rooted agri-tech startup, to streamline its cap table and accelerate regional and international expansion. The investment also provides access to Hatch's global accelerator platform for market entry and follow-on support.

Ceylon Tea Brokers (CTBL.N0000) sold its logistics subsidiary Logicare to D P Logistics for LKR 1.3 billion, with LKR 635.3 million paid as direct consideration and the balance via assumed debt, under a Share Sale and Purchase Agreement signed on 30 Oct 2025.

Sri Lanka's rupee depreciated 5.6% against the US dollar in 2025. Analysts say the move reflects a more flexible exchange rate, normalising import demand and external-debt outflows with the IMF warning the current account could widen by about $700m over the next 12 months.

Colombo Stock Exchange rose 0.66% as the ASPI closed 150.67 points higher at 23,014.75. Top contributors included Commercial Bank, Carson Cumberbatch, ACL Cables, LOLC and Sampath Bank; turnover rose to 5.7 billion rupees and net foreign outflow was 87 million rupees.

Arava Pvt Ltd won the Presidential Export Award 2024/25 for Best Exporter – Coconut Substrate Products, awarded by the Sri Lanka Export Development Board. The company exports thousands of containers annually to over 46 countries and operates three manufacturing facilities employing over 800 staff.

Sri Lanka opened a pavilion at the Muscat Festival on 1 January 2026 to promote tourism and Sri Lankan goods, featuring 10 stalls showcasing tea, jewellery, cosmetics, batik and traditional food. The month-long festival is Oman’s largest, drew over 4 million visitors last year and includes cultural performances and a fashion show.

The Sri Lanka Export Development Board held a networking session to equip new and prospective exporters with guidance on trade fairs, market research, buyer relations and global quality standards. Industry experts, including Malwatte Valley Plantations' executive, shared practical export insights.

Sri Lanka's coconut and coconut-based product exports reached USD 1,033.9 million in Jan–Oct 2025, a 43.83% increase year‑on‑year, the Industries Ministry said. The Ministry attributed growth to value‑added products (liquid coconut milk, virgin coconut oil, desiccated coconut, activated carbon, coco peat) and aims to raise revenue to USD 2.5bn by 2030.

Government will launch a concessionary pledge loan scheme from 1 Jan to help SME paddy millers access loans up to Rs.50 million at 7% for 180 days. Fifteen banks will participate, including COMB.N0000, HNB.N0000, SAMP.N0000, DFCC.N0000, NDB.N0000, NTB.N0000, ABL.N0000, CBNK.N0000 and PABC.N0000; total disbursements ~Rs.10bn.

The Sri Lanka Export Development Board hosted a networking session in Colombo to equip new and prospective exporters with market access and practical skills, covering trade fairs, market research, buyer relations, communication and global quality standards. Industry experts, including Christopher Fernando of Malwatte Valley Plantations, spoke at the event.

TikTok released Sri Lanka's top searches for 2025, highlighting travel and cultural trends and naming a Watawala Tea advertisement among the year's notable moments.

Headline inflation (CCPI YoY) remained steady at 2.1% in December 2025, unchanged from October and November, the CBSL said. Month-on-month CCPI rose 1.26% in December—food contributed 1.25ppt amid cyclone-related supply disruptions—and core inflation edged up to 2.7%.

Evergreen Group produced and sold 10,379,568 kilos of tea in 2025, making it the largest tea-producing private group in Sri Lanka for the eighth consecutive year. The group operates 13 factories, employs over 4,000 people and sources green leaf from about 30,000 smallholders, producing both Orthodox and CTC teas.

Dividend · Rs 1.55 · XD Jan 12, 2026

Second Interim dividend of LKR 1.55/share; XD 2026-01-12; record 2026-01-12; payable 2026-01-26; FY 2025/2026

Dividend · Rs 0.50 · XD Jan 12, 2026

First Interim dividend of LKR 0.5/share; XD 2026-01-12; record 2026-01-12; payable 2026-01-26; FY Ending 31st March, 2026

Parliament passed 26 Acts in 2025, including amendments to major revenue laws (Inland Revenue Act, VAT, Social Security Contribution Levy, Betting and Gaming Levy), two Appropriation Acts, the National Minimum Wage Act, Companies and Electricity Act amendments, and changes to data protection and rubber control.

Dilmah Ceylon Tea Company PLC has been invited to be Patron of the UN Global Compact Network Sri Lanka Supply Chain Working Group, recognising its sustainable supply-chain role; 71% of its 2024/25 supplier spend (Rs.14,494m of Rs.20,440m) was with local suppliers.

A 26-member Sri Lankan delegation, including Cargills (CARG.N0000), Hayleys (HAYL.N0000) and CIC (CIC.N0000), participated at FoodAG 2025 in Karachi (25–27 Nov 2025) to pursue sourcing, distribution and trade partnerships. Meetings covered livestock import regulation talks and efforts to strengthen trade under the Pakistan–Sri Lanka FTA.

The Colombo stock market gained Rs.84 billion as the ASPI rose 1.42% to 22,445.89. Top contributors included Colombo Dockyard, Melstacorp, Hatton National Bank, Richard Pieris and Commercial Bank, with capital goods, banking and materials driving turnover and hotel stocks seeing buying interest.

Dividend · Rs 1.10 · XD Jan 9, 2026

Second Interim dividend of LKR 1.1/share; XD 2026-01-09; record 2026-01-11; payable 2026-01-23; FY 2025/26

Dividend · Rs 0.63 · XD Jan 9, 2026

Second Interim dividend of LKR 0.63/share; XD 2026-01-09; record 2026-01-11; payable 2026-01-23; FY 2025/26

The Science and Technology Ministry revived Regulatory Impact Assessment (RIA) in 2025 and launched pilot RIA studies across eight regulatory agencies (including the Insurance Regulatory Commission, Consumer Affairs Authority and Sri Lanka Tea Board) with UNIDO support. The pilots aim to embed evidence-based rulemaking to reduce regulatory uncertainty and improve investor confidence.

Namunukula Plantations bought 4,039,426 ordinary shares (0.95%) of National Development Bank from Arpico Insurance for Rs. 555.41 million at Rs. 137.50 per share. The transaction is a related-party, non-recurrent deal between subsidiaries of Richard Pieris & Co and falls within CSE Listing Rules limits.

George Steuart & Company joined a CWEIC delegation to Nigeria and Kenya to explore trade and expansion opportunities across tea, pharmaceuticals, FMCG, digital trade and other sectors. The visit included the Manufacturing Africa CEO Forum, KIAC meeting, an Equity Group roadshow and meetings with Lagos officials and industry partners.