News & market updates

The Cabinet approved forming a special expert committee chaired by Dr. Hans Wijayasuriya to drive energy sector development and to formulate national policies, strategies and implementation frameworks for the energy economy.

The British High Commissioner offered maximum UK support for human resource training and development to reform Sri Lanka’s public service. The meeting also discussed renewable energy development in Puttalam, identifying the district for solar and wind farms and exploring offshore wind potential.

Sri Lanka's cabinet approved an expert committee, led by Hans Wijesuriya, to prepare a framework to develop the energy economy after a slowdown in investment. The committee will include presidential advisors and ministry secretaries to align the plan with national policies and delivery frameworks.

The Planters’ Association urged a sustainable electricity tariff framework as the CEB has proposed a 13.6% tariff hike for Q2 2026, warning it would raise production costs for tea and rubber processors and hurt export competitiveness. Plantation companies (eg. Talawakelle) are increasingly investing in solar, mini‑hydro and efficiency measures to reduce grid dependence.

National Development Bank (NDB.N0000) raised LKR16 billion in Sri Lanka's largest GSS+ BASEL III-compliant tier-2 bond issuance, selling 160 million bonds after an initial offer was oversubscribed with coupons around 11.04–11.85%. Proceeds will fund SMEs, women's empowerment and green/blue economy projects and the bonds are listed on the CSE.

Indian sugar mills locked in about 100,000 metric tons of export shipments in a week as a record-low rupee and rising global prices restored the economics of overseas sales. Mills have contracted roughly 550,000 tons this season and India raised its export quota to 2 million tons.

WindForce PLC received a Letter of Award on 20 March 2026 to develop a 10 MW/40 MWh grid-scale BESS in Panadura valued at Rs.1.73 billion under a 15-year BOO contract. This is WindForce's 13th standalone BESS project under the national program, financed on an 80:20 debt-to-equity basis with the company holding 100%.

The SLID-KPMG Audit Committee Forum (9 Mar 2026) urged audit committees to oversee ESG reporting under SLFRS S1/S2; panellists from Aitken Spence, MAS, Lion Brewery and DFCC discussed governance, data controls, implementation and sustainable financing.

Colombo Stock Exchange closed lower as the ASPI fell 1.35% to 20,360.27 and the S&P SL20 slid 1.06% to 5,691.97. WindForce rose after winning a 10 MW/40 MWh BESS contract worth Rs1.73bn and was the top positive contributor, while Colombo Dockyard and John Keells were top negatives; turnover was Rs2.37bn.

WindForce (WIND.N0000) was awarded a 10 MW/40 MWh grid-scale BESS project in Panadura on 20 March 2026, the company's 13th under Sri Lanka’s national BESS programme. The 15-year BOO project will be fully owned by WindForce with an estimated investment of ~Rs.1.73 billion financed by debt and equity, supporting grid stability.

WindForce PLC has been awarded a contract to build a 10 MW/40 MWh standalone BESS in Panadura for 1.73 billion rupees under a Build–Own–Operate model. The company will hold 100% equity, finance it on an 80:20 debt-to-equity basis, and the 15-year project raises its BESS portfolio to 13 projects.

Economist Talal Rafi warned the Middle East war could complicate Sri Lanka's debt path as IMF program plans boost external reserves from ~$8.9bn to $13.4bn by end-2027 and envisage a $1.5bn ISB in 2027, with annual external debt servicing rising from $2bn to $3bn; he noted reform-dependent opportunities in renewables and data centres.

National Development Bank PLC (NDB.N0000) raised Rs. 16 billion through its first BASEL III‑compliant GSS+ bond issuance, the largest GSS+ bond issue in Sri Lanka. The tier-2 listed, rated, unsecured subordinated issue was oversubscribed and proceeds will finance SMEs, women’s empowerment and green/blue initiatives.

National Development Bank PLC raised LKR 16 bn through its first BASEL III compliant GSS+ bond issuance, the largest GSS+ bond issue in Sri Lanka to date. Proceeds will finance SMEs, women’s empowerment and green and blue initiatives.

The BOI has postponed the Sri Lanka Investment Forum 2026, originally scheduled for 30 March 2026, citing ongoing global developments that are impacting international travel and logistics. All existing registrations remain valid and the BOI will notify stakeholders of the revised date.

Speakers at an OPA seminar warned the Middle East conflict will raise global energy prices, strain fuel supplies (fuel ≈20% of Sri Lanka's import bill), and hit tourism and remittances (≈40% from the Middle East), urging price reforms, renewables, maritime and cyber security upgrades.

Gulf escalation and shipping disruptions have hit Sri Lanka's tourism, tea and apparel sectors, pulling the bourse down 12.7% through March 20; plantation and apparel stocks plunged (Namunukula -30.6%, Agalawatte -22%, Teejay Lanka -20.6%) while Sunshine benefits from higher palm oil prices.

Tesla is reportedly in talks to buy about $2.9 billion of solar-panel and cell manufacturing equipment from Chinese suppliers to support a plan to add 100 GW of U.S. solar capacity. Sources say some equipment would be delivered before this autumn, with shipments likely headed to Texas.

Commercial Bank and Sampath Bank joined UN Global Compact Network Sri Lanka as Patrons, supporting Water & Ocean Stewardship and Diversity & Inclusion working groups respectively to advance corporate sustainability and climate/SDG-related initiatives.

Cabinet approved a Rs. 2,269.18 million contract to the JSL & Fentons JV (Jyoti Structure Ltd and Hayleys Fentons) to construct a 28 km 220kV double-circuit transmission line for the Mullikulam Wind Power Transmission Project, strengthening grid connectivity and renewable integration.

Vista Solar Energy, a subsidiary of the Agrovista Group, won the “Best Solar Company” award at the Global Synergy Awards for its contributions to expanding solar installations and sustainable energy solutions in Sri Lanka.

Hayleys Mobility (Hayleys PLC) has launched the OMODA C9 PHEV in Sri Lanka at Rs. 29.9 million, offering a combined driving range of 1,100 km and a pure electric range up to 169 km. The tri-motor AWD system delivers 395 kW and 650 Nm with 0–100 km/h in 4.9s.

Sri Lanka's power mix shifted toward oil in the week ending 12 March: thermal fuel-based generation rose to 23.1% (oil-fired output 14.02 GWh on 12 March) from 19.9% in late February, while hydropower fell to 23.2% from 25.1%, raising import-cost risks as oil prices climb.

MAS will relocate manufacturing operations from its Thurulie facility after severe damage from Cyclone Ditwah, shifting orders to nearby MAS plants. Over 500 employees have taken temporary placements and management is working with the remaining 1,600 staff, offering a three-month relocation salary incentive and compensation where transfers are not possible.

Evolution Auto, Sri Lanka’s largest EV portfolio provider, highlights evidence (Geotab study) that EV batteries degrade about 2–3% annually—most retain >80% capacity after eight years and many remain >70% for 15–20 years—arguing EV longevity and simpler upkeep versus ICE mechanical wear.

Bank of Ceylon was named the only Sri Lankan bank in Brand Finance's World's Top 500 Banking Brands 2026. BOC reported a 2025 Profit Before Tax of Rs. 120.8 billion, issued a Rs. 20 billion Basel III-compliant Tier II Sustainability Bond and serves over 16 million accounts.

India's cabinet loosened FDI rules to allow investments from land-bordering countries in selected manufacturing sectors, permitting up to 10% stakes without prior approval and expedited reviews within 60 days. The changes target electronic components, capital goods and solar/renewable components while keeping Indian ownership control.

Alumex PLC was the official material sponsor of 'Unleashed 2026', providing about 650 kg of aluminium components and specialised anodising services for the University of Moratuwa's FALCON E1 electric race car. This is Alumex's third consecutive student EV project and the car is slated to compete at Formula Student Spain.

National Development Bank (NDB) raised LKR 16.0 billion through a Basel III-compliant Tier II GSS+ bond issuance that was oversubscribed on the opening day; proceeds will fund eligible green, social and sustainability projects.