News & market updates

Siyapatha Finance PLC received CSE approval to list a new issue of five-year debentures, initially 20 million units at 11.50% p.a., with options to expand the issue up to Rs. 3.75 billion. Subscription opens 20 March 2026 and People's Bank Investment Banking Unit is the manager.

LOLC Securities' Investor Forum said a sovereign credit rating upgrade could attract foreign inflows as CSE market capitalisation rose to about Rs.7.6 trillion (from Rs.2.9 trillion in 2022). The forum highlighted stabilised macro fundamentals, recovering exports and tourism, and sectoral opportunities in finance, construction and export-oriented industries.

Sri Lanka's rupee weakened to 311.15/25 per US dollar on Friday while government bond yields were broadly steady, with maturities from 15.03.2028 to 15.06.2035 trading roughly in a 9.05%–10.85% range.

Sri Lanka's rupee weakened to 311.00/10 per US dollar while bond yields were broadly steady (selected maturities quoted roughly 9.55%–10.75%); the ASPI fell 0.66% to 21,843.94.

Asian stocks fell as Iran-related fighting kept oil around $100 a barrel and trimmed expectations for US rate cuts, lifting the dollar and raising inflation and market volatility.

Treasury bond auctions raised Rs.87.02bn (66.94% of Rs.130bn offered) with weighted average yields at or below secondary market levels (yields 9.63%–10.80%); the 2036 tenor was fully subscribed and has an issuance window until 13 Mar 2026. Money-market surplus was Rs.319.48bn and USD/LKR closed near 311.00/311.15.

Hayleys PLC received CSE in-principle approval to list debentures to raise up to Rs. 7 billion (initial 50 million debentures to raise Rs. 5 billion, with an option for 20 million more). The issue has three tranches: 5-year fixed at 10.6% (10.88% eff), 5-year floating at 1Y T-bill+2% (9.5% floor/11.5% cap) and 7-year fixed at 11.15% (11.46% eff); subscription opens 17 March.

Brent crude topped $100/bbl, jumping over 9% intraday despite IEA members releasing about 400 million barrels from strategic reserves. Asian equities fell — Japan's Nikkei ~1.6% and Australia's ASX200 >1.3% — as markets priced higher inflation and potential rate pressure.

Commercial Credit and Finance PLC was ranked first by K Seeds Investments among Category 1 (asset base > Rs.100 billion) finance companies based on aggregated scores across 10 KPIs for Q3 2025/26 (Oct–Dec 2025). The report attributes sector-wide improvement to favourable macro conditions, lower rates and stronger credit demand.

The Unit Trust Association of Sri Lanka appointed Jeevan Sukumaran (SENFIN Asset Management) as President and announced a 2026–2027 board prioritising retail expansion, investor education, digital accessibility and product innovation for the unit trust industry.

Sri Lanka sold Rs87.02bn of 2030, 2034 and 2036 government bonds at average yields of 9.50% (2030), 10.75% (2034) and 10.85% (2036); the Rs40bn 15‑Aug‑2036 issue was fully sold and is available on tap.

Sri Lanka's rupee closed weaker at 311.00/05 per US dollar (from 310.85/95) and government bond yields were broadly steady, with the 15.12.2026 note at 8.20/30% and other maturities largely unchanged.

The Cabinet approved adding National Savings Bank (NSB) to the government's interest-free student loan scheme. Under Stage 10 the scheme will extend interest-free loans to 7,000 students who passed A-levels but did not gain state university admission.

Weekly T-Bill auction raised Rs.96.72 billion (74.4% of Rs.130 billion) as the sale was undersubscribed; weighted average yields dipped slightly — 91-day 7.61% (-2bp), 182-day 7.91% (-1bp), 364-day 8.23% (unchanged). The Central Bank drained liquidity via overnight repo Rs.150bn and seven-day repo Rs.90bn, with USD/LKR closing at 310.85/310.95.

Fitch forecasts global growth slowing slightly to 2.6% in 2026 (from 2.7% in 2025) if the recent oil-price shock is short-lived, and raises its 2026 Brent oil forecast to USD70/bbl. It also expects US growth of 2.2%, China 4.3% and anticipates two Fed cuts in 2026 under the base case.

Asia Securities convened 150+ investors and corporate leaders at the Sri Lanka Investor Conference 2026 to present a constructive capital-market outlook, with speakers citing roughly 4% GDP growth prospects for 2026. Panels highlighted construction, banking/finance, consumer and digital sectors as key growth drivers and projected strong corporate earnings expansion.

Sri Lanka's rupee closed at 310.85/95 to the US dollar, slightly stronger than 310.95/311.05 previously; government bond yields edged up, e.g. the 15.09.2027 bond at 8.50/60% and the 01.10.2032 bond at 10.20/30%.

The Economic Surveillance Committee met at the Presidential Secretariat to discuss urgent measures to stabilise Sri Lanka's economy amid the Middle East conflict, focusing on risks from fuel imports, remittances, trade, tourism and export links.

Sri Lanka's rupee was quoted at 310.95/311.10 to the US dollar and bond yields were broadly steady, with a 130,000 million rupee Treasury bill auction ongoing; key government bond yields showed little change. The ASPI rose 0.54% to 22,499.79 and the S&P SL20 climbed 0.84% to 6,333.27.

Global markets steadied after a brief oil pullback following reports the IEA proposed the largest-ever release of reserves, with Brent at $87.89/bbl. Investors remain anxious as intensified Middle East fighting raises inflation risk, supporting the dollar and keeping bond yields and central-bank hawkishness in focus.

Falling global oil prices and stronger external metrics prompted a relief rally in Sri Lanka’s secondary government bond market, driving yields lower across the curve (e.g., 01.08.26 at 8.30%, 15.02.28 at 9.10%). Ahead of a Rs.130bn T‑bill auction, money‑market liquidity stayed ample (net surplus Rs.335.36bn) and USD/LKR closed around Rs.310.90/311.00.

Fitch warned the Iran conflict could raise credit risks for emerging markets such as Sri Lanka by raising energy prices and disrupting remittances, exchange rates, fiscal subsidies and access to international finance.

Fintrex Finance PLC reported PAT of LKR 478 million for the nine months to 31 Dec 2025, a 352% increase y/y. Gross income rose 79% to LKR 4.80bn, NII was LKR 2.38bn, total assets reached LKR 29.8bn, and a LKR 500m Tier II issuance plus a rights issue (SEC approval pending) were completed.

Sri Lanka's rupee strengthened to 310.95/311.05 per USD (from 311.60/311.90) and government bond yields fell across maturities (e.g., the 15.09.2027 bond to 8.45–8.50% from 8.80–8.90%). A Rs130,000 million Treasury bill auction is scheduled for March 11; yields declined following a global energy price drop.

Sri Lanka's rupee strengthened to 311.0/20 per USD (from 311.60/90) and secondary government bond yields fell (e.g. 15.02.2028 at ~9.05–9.09% from ~9.20–9.26%) as global oil prices eased and geopolitical tensions subsided.

IMF Director Kristalina Georgieva warned a prolonged war could raise global energy prices and lift inflation, testing economic resilience and placing new demands on policymakers.

Secondary bond yields rose sharply after Brent crude jumped over 15% above $100/bbl, with key maturities trading in ranges from 8.60% to 11.00% and a Rs.130bn Treasury bond auction scheduled (1 Mar 2030, 15 Jun 2034, 15 Aug 2036). Net liquidity was Rs.334.72bn and USD/LKR closed at 311.60/311.90.

Parliament passed the Microfinance and Credit Regulatory Authority Bill into law on 4 March 2026 to establish an authority to licence and supervise the microfinance and money‑lending sector. Critics say the Act fails to curb predatory lending, lacks mandated women's representation and risks harming community lenders.

Brent crude jumped past $110/bbl in March 2026, prompting Sri Lanka to raise diesel 7.8% and petrol 10%, which widens the import bill, pressures reserves and has devalued the rupee. The shock raises energy and transport costs, risking higher inflation and strain on fuel importers and the power sector.

NDB Wealth Management, a fully owned subsidiary of National Development Bank (NDB.N0000), hosted an investor forum in Kandy focusing on the low interest rate environment and emerging investment opportunities. Company executives highlighted renewed capital market prospects post-2022 crisis and urged long-term, risk-aware portfolio positioning.