News & market updates

Colombo ASPI rose 1.63% to 16,176.10 after a US‑China 90‑day tariff pause and some positive interim/annual results lifted markets. Banking names HNB, Central Finance, Commercial Bank and Sampath led gains while DFCC fell after interim results, Dialog Finance noted fraud-related legal action and coconut exporters slipped.

Mercantile Investments opened its 74th branch in Kilinochchi on 4 April 2025 and its 75th branch in Puthukkudiyirippu, expanding its network to 75 branches and offering leasing, gold loans, fixed deposits and children's savings.

Sri Lanka stocks closed marginally weaker as the ASPI fell 0.06% to 15,916.17 amid lower turnover and investor caution over IMF talks, US tariff discussions and GSP+ uncertainty. HNB reported March-quarter profit up 48% to LKR 10.6 billion, while several exporters and tourism-linked stocks fell.

Richwin Investment and Credit Pvt. Ltd. won Best Finance Solution Company (Business World International Awards 2025) and Most Innovative Company (Global Business Excellence Awards 2025). The firm offers business/personal loans (including land, vehicle, gold), microfinance and investment plans, and sister retailer Richwin Plaza sells appliances on instalments without credit cards.

National Development Bank PLC reaffirmed its Gold Loan offering with a market-low monthly interest rate of 0.88% and zero pawning/redemption service charges. The product includes flexible installment repayments, immediate redemption without notice, tech-driven gold valuation and is available across 99 branches.

Sri Lanka's ASPI rose 0.53% (up 84.32 pts to 15,925.92) after the World Bank pledged US$1bn, lifting banking shares including HNB, Sampath, Commercial Bank and DFCC. Export-oriented stocks such as Teejay Lanka and Dipped Products fell as turnover dropped to LKR1.6bn.

Sri Lanka stocks fell 0.76% after the NPP failed to secure a majority in local government polls, with the ASPI closing 119.99 points lower at 15,841.60. Blue-chip names and most banks led declines and buying interest was weak in export-oriented stocks.

Colombo stocks rose 0.28% as the ASPI closed at 15,961.59 after the exchange shut early at 12:30pm for local government voting. Major banks were mixed—Sampath, Commercial, DFCC and NDB gained while HNB and Seylan fell—and turnover dropped to 1.4 billion rupees.

Sri Lanka’s ASPI rose 0.41% to 15,916.69 and the S&P SL20 gained 0.57% to 4,664.82 as bank and mid-cap stocks strengthened ahead of local elections; HNB, Sampath, Commercial Bank, DFCC, NDB, John Keells and Lanka Milk Foods all closed higher.

Vallibel Finance (VFIN.N0000) opened two new branches in Pilimathalawa and Galewela, expanding its network in the Central and Northern Provinces. The branches will offer leasing, fixed deposits, three-wheeler leasing, gold loans and other services supported by enhanced technology.

Foreign investors bought about $2 million (600 million rupees) of Sri Lanka government securities in the week ended April 30, the second straight weekly inflow after prior outflows. There was an inflow of 3.33 billion rupees the week before, following 10.1 billion rupees of outflows in the two weeks to April 17.

Amana Life Insurance's Gold Investment Fund returned 19% over the 12 months to 31 March. Amana Life is the only Sri Lankan life insurer offering a dedicated Gold Investment Fund across its life insurance products.

LOLC Finance opened a new branch in Badalkumbura (the first NBFI there) and relocated its Hakmana branch, taking its network to over 200 branches. The new outlets will offer savings, loans, leasing, card facilities and gold loans to improve financial access in underserved areas.

Foreign investors bought $11 million of Sri Lanka government securities in the week to April 24, reversing two weeks of outflows. The rupee slipped amid U.S.-China tariff jitters while investors moved into safe havens such as gold.

Global gold reached a record USD 3,500/oz on Apr 22; Sri Lanka prices rose accordingly, with 22-carat at Rs.255,000 per pound and 24-carat at Rs.277,000 (previous day: 22-carat Rs.246,600; 24-carat Rs.268,000).

Asian equities and U.S. futures fell and the dollar slid after President Trump publicly attacked the Fed and considered firing Chair Powell; safe-haven gold hit a record $3,370.17/oz while Brent crude fell to $66.77/bbl.

Foreign investors sold about $4.9m of Sri Lankan government securities in the week to April 16, the second consecutive weekly outflow, as the rupee weakened amid uncertainty over U.S. tariffs and investors shifted to safe-havens like gold.

Gold in Sri Lanka rose Rs.22,000 in one day to Rs.262,000 per sovereign (8g) for 24‑carat, as global gold hit a record US$3,345/oz; NGJA cited US‑China trade tensions, a weaker dollar, exchange‑rate effects and festival buying ahead of Akshaya Tritiya.

22-carat 'sovereign' (7.98g) gold in Sri Lanka jumped to Rs240,000–241,000 from about Rs190,000 as global spot gold hit $3,322.65/oz; jewellers and dealers cited rising world prices and a falling rupee as key drivers.

Spot gold eased 0.1% to $3,338.81 an ounce after touching a record $3,357.40 earlier as investors booked profits; a weaker dollar and U.S.-China trade tensions continued to support safe-haven demand.

Ratthi held a March 28 ceremony to award the first winners of its Ratthi Nuwarankari promotion, giving gold coins from a Rs. 500 lakhs prize pool; the promotion runs until April 30, 2025, with entries via SMS or the pack coupon.

Foreign investors sold over $28.7m (8.67 billion rupees) of Sri Lankan government securities in the week to April 10, prompting a slight fall in the rupee as investors shifted to safe-havens like gold and the Swiss franc. The country recorded 48.2 billion rupees of foreign outflows in 2024 to date.

Gold prices topped $3,200/oz, with spot at $3,217.78 and U.S. futures at $3,237.50, driven by a weaker dollar and safe-haven flows amid escalating tariff tensions. Bullion hit an intraday peak of $3,219.84 and has gained almost 6% this week as Fed rate-cut expectations rose.

Asian stocks plunged as markets priced in rapid U.S. rate cuts amid escalating U.S.-China tariff threats; S&P 500 futures fell ~3.1% and 10-year Treasury yields dropped to about 3.92%.

Global stock markets fell after President Trump's sweeping tariff announcements, with the FTSE down ~1%, France's CAC down 1.7%, Japan's Nikkei nearly 3% and Hong Kong's Hang Seng 1.5% lower. Gold climbed to a record high of $3,167.57/oz as traders feared the tariffs could stoke inflation and stall growth.

Amana Takaful Life PLC reported strong 2024 fund returns for policyholders, with the Protected Multiple Fund annualised 18.1% and the Growth Multiple Fund 12-month 26.9% (24-month 21.7%). Returns were supported by fixed-deposit placements, post-election equity gains and rising gold prices.

L B Finance's LB CIM app was named "Most Popular Digital Payment Product" at the LankaPay Technnovation Awards 2025. The AI-powered app offers digital onboarding, instant loans and top-ups, LankaQR payments and wallet services.

Gold hit a record high at $3,145.38/oz as safe‑haven demand rose on concerns U.S. reciprocal tariffs could stoke inflation. Markets are also watching the Fed’s near‑term rate stance and upcoming U.S. jobs data for policy clues.

CSE Chairman Dilshan Wirasekara said Sri Lanka's economy is now growing over 5% and foreign reserves have risen to $6–6.5bn, helping steady the currency and create an investor-friendly market. He noted low market valuations (~8.5), listing and product reforms (green/infrastructure bonds), planned CCP/CDS upgrades, and a proposed gold-derivatives tie-up with India's NCDEX.

Orient Finance reported a 161% rise in profit after tax to Rs. 254.6m for the nine months ended 31 Dec 2024. Net interest income rose 37% to Rs. 1.66bn, total assets grew 28% to Rs. 25.3bn and loans increased 36% to Rs. 19.76bn; Gross NPL 9.62%, provision cover 65.37%.