News & market updates

Comfort World has repositioned from a traditional bedding manufacturer into a science-led sleep and wellbeing company, expanding into hospitality, healthcare and international markets while launching Sleep Technology and Experience Centres to provide personalized sleep solutions.

Aitken Spence PLC’s printing subsidiary won the WorldStar 2026 Award for Luxury Packaging, becoming the first Sri Lankan offset printer to receive a WorldStar. The award, presented at Interpack in Düsseldorf, highlights the unit’s packaging innovation, sustainability and export capability.

Aitken Spence PLC's printing unit won the WorldStar 2026 Award for Luxury Packaging, the first Sri Lankan offset printer to win at WorldStar. The award was presented at the WorldStar ceremony in Düsseldorf during Interpack in May 2026.

Indian CEO Forum re-elected Kishore Reddy as president at its AGM and reaffirmed commitment to deepen India–Sri Lanka business ties; Indian High Commissioner Santosh Jha urged investment, an upgraded FTA and cooperation across tourism, IT, infrastructure, manufacturing and services.

Diamond Engineers (Pvt) Ltd won a Platinum Award for excellence in industrial engineering and coconut processing machinery manufacturing. The Wariyapola-based firm supplies coconut husk and coir processing equipment and exports machinery to multiple countries including India, Indonesia, Madagascar, the Philippines, Kenya, Brazil, Thailand and the Maldives.

Commercial Bank of Ceylon (COMB.N0000) launched PayPal-linked withdrawals via ComBank Digital, letting eligible customers transfer PayPal balances directly into their Commercial Bank accounts. The self-service email-based linkage enables near-instant transfers for freelancers and exporters, supporting regulated foreign currency inflows.

Hatton National Bank (HNB) will serve as title sponsor of the CCWE Fashion Week and International Summit 2026, a four-day event at Cinnamon Life from 16–19 July expected to bring together over 400 women entrepreneurs. The summit, supported by ESCAP-SSWA, will focus on export linkages, training and digital skills for women-led enterprises.

The BOI launched 'Ready to Invest', a digital platform showcasing over $3bn of investor-ready projects across eight priority sectors. BOI said Sri Lanka attracted $1.06bn FDI in 2025 and about $1.9bn of BOI-approved projects are set to commence, led by urban/mixed-use ($970m), manufacturing ($650m), tourism ($400m) and logistics ($385m).

Free Lawyers alleged the Central Bank of Sri Lanka expanded M2b by Rs.1,653 billion in 2025 and a further Rs.610.7 billion in Jan–Mar 2026 via dollar purchases, linking this to recent rupee volatility. The CBSL countered that net FX operations injected about Rs.788.9 billion and that liquidity was partly absorbed by government repayments, withdrawals and coupon payments.

The Cabinet approved mandatory SL-GAP certification, plus use of registered exporters and approved processing/packaging facilities, for all fresh fruit and vegetable exports to the EU after EU tests found pesticide residues above permitted MRLs. The measure aims to strengthen testing, traceability and food-safety compliance to protect EU market access.

The rupee weakened versus the US dollar, with indicative TT rates at Rs.320.40/Rs.330.81 and interbank spot closing at Rs.328.50/Rs.332.00. The Central Bank capped trades at Rs.330, used moral suasion to calm markets and said it may force exporters to convert dollar earnings sooner.

Sri Lanka's ICT/BPM exports reached about USD 581.7m in Jan–Apr 2026, surpassing tea exports of USD 451.58m over the same period. FITIS says the milestone reflects years of ecosystem development and recent policy measures supporting the country's digital economy ambitions.

IMF Executive Board completed the combined Fifth and Sixth reviews of Sri Lanka’s EFF, unlocking SDR508 million (≈US$695m) in immediate financing. Program performance was generally strong, but some continuous criteria were missed and risks from the Middle East war and Cyclone Ditwah weaken the outlook.

IMF approved a US$695m disbursement to Sri Lanka under its EFF despite breaches including intensified import controls and a cyberattack that led to a missed US$2.5m external payment; authorities requested a waiver and pledged corrective actions.

The Sri Lankan-German Business Forum 2026 opened in Colombo to promote bilateral trade and attract FDI, with a particular focus on maritime and logistics investment. The three-day forum features a startup and innovation showcase and panels on maritime development, export competitiveness, infrastructure financing and GSP+ trade concessions.

Commercial Bank of Ceylon has enabled PayPal-linked withdrawals via ComBank Digital, allowing eligible customers to transfer PayPal balances directly into their Commercial Bank accounts instantly. Linking uses email-and-DOB authentication and the digital process takes about two minutes without a branch visit.

Commercial Bank of Ceylon now lets Sri Lankan freelancers, digital entrepreneurs and exporters transfer PayPal balances directly into Commercial Bank accounts via ComBank Digital. Eligible customers link PayPal by matching registered email and date of birth for near-instant authenticated transfers, which the bank says will facilitate foreign currency inflows.

Samsung plans to invest $1.5 billion to build a semiconductor testing plant in Vietnam with construction underway and operations slated for November 2027; the plant would have capacity of 153.3 billion Gb DRAM and 255.6 billion Gb NAND and Samsung may reinvest up to $2.5bn for a second factory.

Central Bank Governor Nandalal Weerasinghe said importers had bought dollars forward at up to Rs380-400 amid a hamstrung interbank market, and the central bank raised rates by 100 basis points to slow credit and stabilise FX markets.

The Sri Lanka rupee strengthened about 7% against the US dollar since last Thursday, with indicative TT rates easing to Rs. 318.32/328.69 and interbank spot at Rs. 322.00/325.00; the Central Bank capped trades at Rs. 330 for some banks and urged exporters to convert dollar earnings sooner.

Central Bank of Sri Lanka says FX market distortions were temporary and interbank liquidity has been restored after targeted steps; interbank rates rose from about Rs.320 to Rs.330 at the peak while some customer trades reached Rs.346–Rs.354. The CBSL said it used limited intervention, continues overnight liquidity absorption and can deploy further tools if volatility returns.

Ferrari unveiled its first fully electric car, the four-door Luce, priced at €550,000 ($640,000) with deliveries due in Q4 2026. The five-seater uses four motors for over 1,000 hp, offers 500+ km range, and is aimed at affluent buyers and expansion into markets such as China.

Tokyo Cement reported FY26 turnover of Rs.61,011m (+22%) and 4Q turnover of Rs.17,623m (+36%), with FY26 PAT of Rs.2,580m (down from Rs.3,459m). Profitability was hit by rupee depreciation, higher material, fuel and financing costs even as volumes rose 28% and national cement consumption grew 19% to 5.62m MT.

ADRA Ceylon marks its 10th anniversary, having grown from a bulk exporter into a premium Ceylon tea exporter delivering to over 37 countries and securing certifications including ISO 22000, HACCP, Rainforest Alliance and FDA approval. The company plans 5–6 new international branches and further factory and product expansion.

Sampath Bank PLC launched integrated PayPal account linking and withdrawal via its Sampath Vishwa mobile app, allowing customers to withdraw PayPal funds directly into Sampath accounts in LKR or USD.

hSenid Business Solutions (HBS.N0000) delivered an FY2026 turnaround: revenue rose 13% to Rs.2.1bn, exit ARR reached $5.5m (up 32% YoY) and normalized EBITDA turned positive at LKR200m (10% margin), with PBT loss narrowed to Rs.8m and positive free cash flow.

Lanka Ashok Leyland (ASHO.N0000) reported FY26 PAT of Rs.3.06bn (vs Rs.1.53bn LY) and revenue of Rs.19.33bn, and the board declared a 300% dividend (Rs.30/share). The company said growth was driven by higher vehicle sales, local value addition, exports and operational efficiencies, and it relaunched premium coaches for tourism.

Former CBSL Governor Indrajit Coomaraswamy said recent rupee depreciation was driven mainly by external shocks from the Middle East conflict and amplified by market overreaction, noting usable reserves have risen to about $5.3 billion. He warned inflation has risen from 2.2% to 5.4% and the Monetary Policy Board may tighten policy if inflation breaches the target band.

The Sri Lankan rupee strengthened for a second session, with interbank spot at Rs. 325.50/Rs. 327.00 (from Friday's Rs. 329.00/Rs. 335.00) and TT rates easing to Rs. 326.01/Rs. 336.42. Analysts say external buffers, expected CBSL rate hikes and easing oil prices reduce the risk of a renewed BOP crisis; CBSL issued an advisory against oversimplified narratives on money printing and exchange rates.

Central Bank raised the Overnight Policy Rate by 100bps to 8.75%. The board cited supply-driven inflation (5.4% y/y in April) from high global oil prices, stronger credit-driven demand, external pressures including fuel-import driven trade deficits and recent rupee depreciation; reserves stood at USD 6.8bn.