News & market updates

Port City Colombo Investor Forum in Singapore on 27 January positioned Port City Colombo as the centrepiece of Sri Lanka's economic transformation, attracting close to 100 senior invitees and promoting a services-led, export-oriented investment platform. Organisers and officials highlighted the CPCEC governance framework, fiscal incentives, FX exemptions and visa facilitation to boost foreign investment.

The GovPay digital traffic fine payment system was rolled out nationwide on 3 Feb 2026, enabling over LKR 115 million in digital collections and more than 86,000 successful transactions; payments are accepted via banks, fintech apps and over 55,000 Dialog eZ Cash agents.

Sysco LABS Sri Lanka partnered with EDEX EXPO 2026 as the Principal Sponsor of the Job Exhibition to engage students, graduates and professionals and attract tech talent. It ran two stalls (Sysco LABS Academy and Careers) offering career guidance, open-role information and early-career programs.

Asian shares wobbled as U.S. and European selloffs driven by AI-related pressure on software hit markets, while oil rose after the U.S. shot down an Iranian drone and gold rebounded from a recent rout.

Over 24,000 passengers have used the new electronic gates at Bandaranaike International Airport since the soft launch on 23 December 2025; the system was fully implemented on 28 January 2026. Average uptake is around 4% of arriving passengers, with authorities expecting usage to rise while noting possible technical glitches during the initial rollout.

A Sri Lanka delegation led by Deputy Minister Chathuranga Abeyasinghe met Saudi Arabia’s Public Investment Fund in Riyadh on 25 Jan 2026 to pitch investment opportunities in Sri Lanka and its capital market. PIF outlined its 2026–2030 strategic plan and both sides agreed to open follow-up channels and pursue a bilateral investment protection agreement.

The U.S. announced a deal to cut tariffs on Indian goods to 18% (from 50%) in exchange for India ending Russian oil purchases and buying large volumes of U.S. energy; the announcement gave few implementation details and timing is unclear.

Deputy Minister Chathuranga Abeysinghe led a Sri Lankan delegation to meet Saudi Public Investment Fund officials in Riyadh to present investment opportunities, capital-market reforms and discuss a Bilateral Investment Protection Agreement; both sides agreed to continue talks.

India's 2026-27 Budget offers foreign cloud providers a 20-year tax holiday until 2047 on revenues from services sold abroad if those services are delivered from data centres located in India. It also introduces a 15% cost-plus safe harbour for related-party data-centre services and expands electronics/semiconductor incentives, while flagging power and water constraints for capacity expansion.

Anax Advisory (a subsidiary of The Anax Holdings) has partnered with Abhiyanta Solutions to deliver end-to-end SAP modernization, analytics and AI-driven transformation services across Sri Lanka and the Maldives.

The SLUKCC and Sri Lanka High Commission in London held a panel to strengthen Sri Lanka–UK trade ties, urging firms (especially SMEs) to use the UK Developing Countries Trading Scheme, noting relaxed apparel Rules of Origin. The event promoted Sri Lanka Expo 2026, investment opportunities and Colombo real estate projects.

Salesforce South Asia CEO Arundhati Bhattacharya says Sri Lankan enterprises are moving from experimenting to strategically adopting enterprise AI—especially in banking, financial services and public sector—to improve efficiency, risk management and service delivery.

UNCTAD reports global FDI rose 14% in 2025 to $1.6 trillion, with much of the increase driven by financial flows through global hubs rather than new productive investment. Data centres accounted for over one-fifth of greenfield values (>$270bn) while infrastructure and renewable energy projects fell.

Sri Lanka and UK officials and business leaders met in London to push stronger trade and investment ties, urging Sri Lankan firms to use the UK's Developing Countries Trading Scheme (including relaxed apparel Rules of Origin) and promoting Expo 2026. The BOI said Sri Lanka aims for nearly 7% growth by attracting higher-quality investment.

The Sri Lanka Economic Association will hold its Annual International Conference on 6–7 February in Colombo to map a services-led economic revival, with Prime Minister Harini Amarasuriya and CBSL Governor Nandalal Weerasinghe attending. Panels will focus on digitalisation (AI/ICT), tourism value-per-visitor, banking resilience and policy briefs for the 2026–2030 PIP.

John Keells Stock Brokers (JKSB) forecasts the ASPI will reach 28,000 in CY2026 (ASPI at 23,812), citing recurring earnings growth and scope for foreign inflows. JKSB also expects 4–5% GDP growth, muted inflation, potential primary fiscal surplus and increased IPO activity.

Chinese authorities executed 11 people for running cybercrime centres that allegedly defrauded and laundered over USD 1.4 billion; the article also notes nearly 100 Sri Lankans were freed from Myanmar cybercrime hubs. The author warns BRI expansion may increase scams and cybercrime risks.

The Sri Lanka–UK Chamber of Commerce and Sri Lanka High Commission hosted a London panel on 27 Jan 2026 to boost bilateral trade and investment, urging firms to utilise the UK Developing Countries Trading Scheme (DCTS) and noting relaxed apparel Rules of Origin. Organisers promoted Sri Lanka Expo 2026 (18–21 June) and highlighted opportunities in tourism, IT/BPO, real estate and global value‑chain integration.

Microsoft Data and AI Director Cecil Sunder met Sri Lanka's Deputy High Commissioner on 13 January to discuss strengthening cooperation in data analytics and AI, including revising AI curricula and launching structured skilling programs; Sunder also plans a visit and donated to flood relief.

Port City Colombo is being positioned as a 269-hectare, services-led SEZ with US$1.4bn initial infrastructure, projected to deliver 143,000 direct jobs and US$15bn cumulative FDI. The article highlights institutional measures — the CPCEC and BSI regulations — aimed at providing predictable governance to attract long-term finance, IT and professional services investment.

Asia Securities chairman Dumith Fernando said Sri Lanka's equity market in 2026 is likely to be driven primarily by domestic investors, supported by interest-rate stability (expected 50–100bps range) and rising participation (about 98,000 active investors; 57,000 CDS accounts), with foreign inflows seen as incremental rather than necessary.

Mastercard launched the 'Tap for Change' campaign in Sri Lanka, pledging $750,000 and directing every contactless Mastercard transaction from January 2026 to support construction of the 10‑storey, 160‑bed Trail Cancer Hospital in Karapitiya. The facility will include advanced diagnostics, a bone marrow transplant unit and operating theatres to expand oncology care.

The SEC and Colombo Stock Exchange held an 'Invest Sri Lanka' forum in Riyadh on 24 January to showcase Sri Lanka's capital market and attract Saudi investors; a high-level delegation including the Central Bank Governor, SEC Chairman and CSE CEO took part.

The 13th Sri Lanka–Pakistan Joint Economic Commission met in Colombo and agreed cooperation across IT, pharmaceuticals, agriculture and maritime connectivity, including a Joint Working Group on IT and progress on pineapple and avocado export procedures. Commerce-level talks also reviewed PSFTA implementation.

The SEC and Colombo Stock Exchange held an 'Invest Sri Lanka' investor forum in Dubai on 22 Jan 2026 to promote Sri Lanka's capital market and attract FDI, including strategic meetings with Mubadala and UAE banks; CSE noted ASPI >23,800 (120% growth since Oct 2024) and $976m capital raised in 2024–25.

BOI promoted two proposed University Towns — Keragala (125-acre, USD 370m investment, IRR 15–18%, 6–7 year payback) and Sooriyawewa (250-acre, USD 640m, IRR 16–17%, 7–8 year payback). The investment forum drew 16 local and international education institutions and BOI highlighted incentives and higher foreign ownership allowances.

Digital Mobility Solutions Lanka PLC (PickMe) reported revenue of Rs. 6.2 billion for the first nine months of FY25/26, up 50% YoY, with operating profit rising 93% to Rs. 2.1 billion and net profit up 89% to Rs. 1.5 billion; GTV increased 46% to Rs. 59.5 billion.

du signed a three-year agreement with Huawei after deploying the world’s first 25Gbps E-band microwave link in a 5G-Advanced rollout, providing fiber-equivalent backhaul to boost 5G-A capacity and improve coverage and scalability across the UAE.

Verteil Technologies launched in Sri Lanka and appointed Mack Air (a John Keells Group company) as its General Sales Agent to drive NDC adoption and modern airline retailing. The launch (Jan 22, 2026) aims to give local travel sellers access to Verteil’s NDC aggregator and training/support for airlines and agents.

BOI unveiled two University Town projects—Keragala ($370m, IRR 15–18%, payback 6–7 yrs) and Sooriyawewa ($640m, IRR 16–17%, payback 7–8 yrs)—to attract local and foreign investment into education infrastructure and services.