News & market updates

Megakem Engineering has inaugurated a dedicated Geotechnical Division to provide end-to-end geotechnical services and products — including site investigations, ground improvement, soil stabilisation and retaining systems — to support Sri Lanka's infrastructure and construction projects.

LANKATILES PLC launched Sri Lanka's first COOL ROOFTOP TILE®, a solar-reflective roof tile with an independently verified Solar Reflectance Index (SRI) above 96. The product, unveiled at a media event, is aimed at reducing rooftop heat gain for residential buildings.

Colombo Stock Exchange closed down as the ASPI fell 0.19% (43.18 points) to 22,178.73 on turnover of Rs.1.54 billion. Asia Asset Finance announced GM and rights timetable and Associated Motor Finance said its merger with L B Finance will become effective by 31 July 2026.

Cabinet approved agreements to secure a $450m Indian disaster recovery package (a $350m line of credit — $250m long-term, $100m short-term — plus a $100m grant) to fund Sri Lanka's post-Cyclone Ditwah reconstruction across infrastructure, housing, health, education and water. The government estimates reconstruction needs at $3.5bn.

Cabinet approved a Rs. 617.7 billion recovery program of 1,066 projects to restore infrastructure, livelihoods and essential services damaged by Cyclone Ditwah. It includes 1,028 national projects (Rs. 515.46bn) from 2026 funded via the annual Budget and 38 provincial projects (Rs. 102.22bn), enabled under the Public Finance Management Act No.44 of 2024.

ADB approved $200 million in emergency assistance for Sri Lanka's post-Cyclone Ditwah recovery (a $100m regular loan, $100m concessional loan and a $0.5m technical grant). The project will finance rehabilitation of roads and irrigation, restore smallholder livelihoods and support climate-resilient housing reconstruction.

Government and the Urban Development Authority agreed to accelerate the 'Temple City' project to transform the area around Hunupitiya Gangaramaya Temple and Beira Lake into an international tourism and cultural hub, including a pedestrian walkway, landscaping and enhanced visitor facilities.

ADB approved $200 million in emergency assistance for Sri Lanka's post-Cyclone Ditwah recovery, comprising a $100m regular loan, $100m concessional loan and a $500,000 technical grant to finance reconstruction of roads, irrigation, housing and support for smallholder farmers with climate-resilient measures.

Opposition Leader Sajith Premadasa urged a whole-of-government, science-based National Climate Resilience strategy, warning of a limited window before a likely strong 2026–27 El Niño and proposing anticipatory governance, reservoir/water management, climate-smart agriculture, early warning systems and a disaster intelligence centre.

Sri Lanka's PMI–Construction rose to 59.1 in May from 45.7 in April, signalling expansion in construction activity. New Orders climbed to 63.6 and employment expanded, while firms cited skilled‑labour shortages, high material prices and bitumen shortages; sentiment remained positive on a sustained project pipeline.

Colombo Stock Exchange closed marginally lower as the ASPI fell 0.09% (‑19.58 pts) to 22,243.70 while the S&P SL20 rose 0.02% to 6,206.51. Market turnover was Rs 1.070 billion, telecoms led turnover with Rs 247.6 million, and the CSE delayed opening due to a technical issue.

Colombo Stock Exchange indices rose after a delayed opening auction call, with the ASPI up 0.26% (57.99 pts) to 22,321 and the S&P SL20 up 0.31% to 6,224. The opening delay was blamed on a CSE-side technical issue that accidentally suspended active accounts after a new policy on inactive accounts; the CSE had not yet issued a statement.

IMF staff completed a June 24–30 visit, noting inflation rose from 1.6% y/y in Feb to 5.5% y/y in May after energy price increases and that authorities responded with a 100 bps policy rate hike and temporary on-budget relief (fuel, electricity, fertilizer, cash transfers). The IMF said sustaining reforms is critical and the Seventh Review of the EFF will assess program progress in the fall.

Home Lands Group acquired a second ~3-acre land parcel in Port City Colombo's Central Park District adjacent to its prior purchase, expanding its footprint in the development; the acquisition was made as a single-developer investment and signals continued company-led development activity in the district.

Home Lands Group officially broke ground on Central Park Boulevard in Port City Colombo, commencing construction of an ultra-luxury twin-tower development with completion scheduled within 40 months.

Amana Bank acquired ownership of its corporate office at 353 Galle Road, Colombo 3 from Lee Hedges for Rs. 2.7 billion. The five‑storey, ~50,000 sq ft property on 95 perches had been leased since October 2025 and now provides Amana Bank full ownership.

Dividend · Rs 2.50 · XD Aug 5, 2026

First And Final dividend of LKR 2.5/share; XD 2026-08-05; record 2026-08-05; payable 2026-08-24; FY 2025/26

University of Sri Jayewardenepura and Port City Colombo co-authored and published an international case study, 'Port City Colombo: Catalysing Sri Lanka's Emergence as a Global Investment Hub,' via Nova Publishers. The study examines the project's urban planning, economic, regulatory and sustainability dimensions and is intended as a multidisciplinary teaching and policy resource.

Colombo Stock Exchange ASPI fell 0.45% midday to 22,309.09 with turnover of 951.8 million rupees, utilities contributing 448.6 million. Convenience Foods Lanka authorized an 8.00 rupee first-and-final dividend and Tokyo Cement proposed a 2.50 rupee first-and-final dividend.

University of Sri Jayewardenepura and Port City Colombo co-authored and internationally published an academic case study examining Port City Colombo's urban planning, economic, regulatory and sustainability dimensions and its role in shaping Sri Lanka's long-term investment and development trajectory.

Dilmah Conservation's Grey2Green Initiative will host environmental architect Sunela Jayewardene for a 'Beyond Concrete' masterclass on 2 July 2026 (4–6pm at Genesis) focusing on regenerative, biodiversity-centred urban architecture and traditional design principles.

The Thailand–Sri Lanka forum highlighted the newly enacted SLTFTA and reported bilateral trade rose 48% to $649m in 2025. Officials said the FTA and related measures should expand market access and investment across logistics, manufacturing, tourism, food processing, IT and healthcare.

Colombo bourse finished the week higher, with the ASPI up 0.21% and the S&P SL20 up 0.51%; yesterday ASPI closed at 22,409.81 and the S&P SL20 at 6,247.42. Turnover topped Rs.1.9bn with foreign net inflow of Rs.9.3m; COCR, PKME and SIL led turnover while ACL fell and Hayleys, HNB Finance, Lanka Realty and CIC posted gains.

Colombo Stock Exchange closed flat (ASPI +0.01% to 22,409.81) on Friday with market turnover of Rs1.91bn. Top contributors included DFCC, Melstacorp and Central Finance while John Keells, Access Engineering, Haycarb and Aitken Spence lagged; Nations Trust Bank announced allotment of its Basel III Tier 2 debenture issue and its shares closed at Rs318 (-0.08%).

Colombo Stock Exchange ASPI rose 44.99 points (0.20%) to 22,452.03 as gains in Sampath Bank, Central Finance, Colombo Dockyard and others lifted the market; turnover was Rs.349 million. Lee Hedges completed sale of land and premises to Amana Bank for Rs.2.7 billion on June 25, and both stocks traded higher.