Category: Daily Financial Times

The Colombo stocks market yesterday ended the week in green, extending its upward momentum to a third straight session on buoyant investor sentiment.

During the week, the ASPI gained 1.18% or 253.08 points and the S and P SL20 was up 1.29% or 77.56 points.

Yesterday, with 113 counters closing in green against 108 in red the ASPI ended up 0.39% or 84.17 points at 21,623.17 and the S and P SL20 was up 0.56% or 33.63 points at 6,065.72.

Market turnover was Rs. 2.24 billion on nearly 76 million shares traded. Foreign investors were net sellers on a net outflow of Rs. 696 million.

Positive contributors to the ASPI were MELS, SAMP, DIAL, NTB and CTC while negative contributions came from BREW, DFCC, RICH, LION and CSF.

First Capital Research said the bourse maintained its positive momentum supported by resilient 2Q 2026 corporate earnings and stable global oil prices.

Participation from HNW and retail investors remained moderate during the trading session. The retailing sector led the daily turnover with a share of 32%, followed by the food, beverage and tobacco, and banking sectors collectively contributing 32%.

The Cabinet of Ministers has approved the permanent appointment of H. C. P. Jayaweera as Director General of the Department of National Botanic Gardens.

She is a Grade I officer of the Sri Lanka Scientific Service, was initially appointed to the post on a full-time acting basis following Cabinet approval at its meeting held on 30 December 2024.

Jayaweera has continued to serve in the position since then and was promoted to the Special Grade of the Sri Lanka Scientific Service by the Public Service Commission with effect from 31 January 2026.

The proposal to this effect was submitted by the Environment Minister Dr. Dammika Patabendi.

Continuing its long-standing commitment to empowering future generations through education, Seylan Bank recently opened its 294th ‘Pahasara’ Library at Galgamuwa Maha Vidyalaya, Maharachchimulla, Narammala, marking another milestone in the Bank’s flagship social sustainability initiative.

The library was officially declared open in the presence of Assistant Director of Education – Giriulla Division N. D. R. Jayasuriya, Seylan Bank Regional Manager – North Western Region Upendra Adhikari, Galgamuwa Maha Vidyalaya Principal H. P. A. S. Jayathilaka, and Seylan Narammala Branch Manager T. D. Wijerathna alongside students, teachers, parents and other distinguished guests.

Seylan Bank Assistant General Manager – Marketing and Sales Asiri Abhayaratne said: ‘At Seylan Bank, we believe education is one of the most powerful investments we can make in the future of our nation. Through the ‘Pahasara’ initiative, we remain committed to creating learning environments that inspire young minds, broaden opportunities, and empower students with the knowledge and resources they need to succeed.’

As part of the initiative, Seylan Bank donated two laptop computers, a multimedia projector with a white screen, and books worth Rs. 100,000 to enrich the school’s library facilities and provide students with greater access to quality educational resources. The opening also formed part of ‘Pahasara Week’, which featured an Elle tournament, a Media Day program for students in Grade 9 and above, a financial literacy educational program, and an art competition for students below Grade 9.

The opening of the 294th library represents another significant step towards Seylan Bank’s commitment to establishing 300 ‘Pahasara’ Libraries across Sri Lanka. Through the initiative, the Bank continues to strengthen library infrastructure, expand access to essential learning tools, nurture financial literacy, and create a lasting positive impact within communities across the country.

The Government will present the proposed 22nd Amendment to the Constitution, which seeks to extend the retirement age of Superior Court judges, to Parliament on Tuesday (18), Justice Minister Harshana Nanayakkara said yesterday.

He said the related Judicature (Amendment) Bill would also be presented on the same day.

The 22nd Amendment proposes raising the mandatory retirement age of Supreme Court judges from 65 to 67 and Court of Appeal judges from 63 to 65.

The Government has approved a three-year project to strengthen nutrition services for pregnant and lactating mothers and children below five years in four districts identified as facing serious nutritional challenges following the COVID-19 pandemic and the subsequent economic crisis.

The move was approved by the Cabinet of Ministers this week that the Maternal and Early Childhood Nutrition Services Project will be implemented in Nuwara Eliya, Ratnapura, Polonnaruwa, and Trincomalee, with grant funding of $ 2.73 million from the Japan Social Development Fund (JSDF) of the World Bank Group.

The initiative is aimed at increasing access to selected community-based nutrition interventions for vulnerable groups, particularly mothers and young children.

‘The Government has identified a deterioration in the nutritional status of vulnerable communities as a growing concern, with the economic difficulties that followed the COVID-19 pandemic affecting access to adequate nutrition and related services,’ Cabinet Spokesman and Health Minister Dr. Nalinda Jayatissa said at the weekly post-Cabinet meeting media briefing on Tuesday.

He said the project will focus on strengthening community-level interventions, with an emphasis on improving access to nutrition services for pregnant and lactating mothers and children under five.

The initiative is expected to complement existing maternal and child health programs by strengthening access to nutrition interventions at the community level and addressing nutritional risks during the critical stages of pregnancy, lactation, and early childhood.

The proposal to this effect was submitted by Health Minister Dr. Jayatissa.

The Cabinet of Ministers on Monday approved a special mechanism to facilitate the voluntary return of Sri Lankan nationals who fled to India during the conflict without passing through an approved port or obtaining a formal passport and were subsequently registered as refugees by the Indian Government.

The Cabinet approval follows instructions obtained from the Attorney General on providing the necessary immigration clearance facilities for those seeking to return through the UN High Commissioner for Refugees (UNHCR).

Under the approved arrangements, Sri Lankan diplomatic missions in India will first verify the identities of individuals who left the island without using an approved port or a formal passport before 1 August 2006. Once their identity as Sri Lankan nationals has been confirmed, a clearance report will be obtained from the State Intelligence Service (SIS).

The authorities will also verify that the individuals concerned have not been involved in murder, treason, or offences covered by special provisions of the law. Those who satisfy the required conditions will be issued temporary passports, enabling them to enter Sri Lanka through a recognised port without legal action being taken against them under the Immigration and Emigration Act, No. 20 of 1948.

Similar arrangements will apply to Sri Lankan nationals who travelled informally to India between 1 August 2006 and 19 May 2009, the date on which the war ended. Those who can establish their Sri Lankan identity and obtain the required clearance from the SIS will be given an opportunity to enter Sri Lanka through a recognised port without legal action under the Immigration and Emigration Act, in accordance with the powers vested in the Controller General of Immigration and Emigration.

However, the arrangements will not apply to individuals found to have committed crimes, acts of treason, or offences covered by special legal provisions. Where such offences have been established, the individuals will be detained at the port and referred to the relevant institutions for appropriate legal action.

‘The Government’s decision is intended to facilitate the orderly and voluntary return of Sri Lankan refugees from India, whilst ensuring that necessary identity, security, and legal checks are completed before their arrival,’ Cabinet Spokesman and Minister Dr. Nalinda Jayatissa said at the weekly post-Cabinet meeting media briefing on Tuesday.

The proposal to this effect was submitted by Public Security and Parliamentary Affairs Minister Ananda Wijepala.

A $328.25 million power system strengthening project has commenced aimed at modernising the national transmission network and improving the integration of renewable energy into the electricity grid.

The Power System Strengthening and Renewable Energy Integration Project (PSSREIP) was launched yesterday with the commencement of construction of the Homagama 132/33 kV Grid Substation under the patronage of Energy Minister Anura Karunathilaka.

The project is financed through concessional funding from the Asian Development Bank (ADB) and will be implemented through Lanka Electricity Company (LECO) and the Government-owned successor companies of the Ceylon Electricity Board – National Transmission Network Services Provider (NTNSP) and National System Operator (NSO).

The new Homagama Grid Substation is expected to address rising electricity demand from rapid industrial and commercial development in Homagama, Kottawa, Malabe and Horana. It will also help ease the load on the existing Pannipitiya and Kosgama substations serving these areas.

A second 132/33 kV Grid Substation will be constructed in Negombo under Package 1B of the project to support increasing electricity demand from tourism and industrial activity in the region, while providing additional capacity for the expansion of Bandaranaike International Airport and the proposed Aero City project.

The project is expected to improve power system reliability, strengthen security of supply and enhance operational stability, while creating capacity for future renewable energy generation to be connected to the national grid.

The Homagama and Negombo substations are scheduled for completion within two years.

NTNSP is also planning further transmission infrastructure investments, including a 220/33 kV Grid Substation in Mirigama, a 132/33 kV Grid Substation in Peliyagoda and a 78-kilometre 132 kV double-circuit transmission line connecting Hambantota and Matara.

Additional developments include 132 kV substations, sections of 220 kV transmission lines with LILO (Line-In Line-Out) connections, and a 2-kilometre underground 132 kV transmission line linking the Kelaniya-Kotugoda transmission line to the Peliyagoda Grid Substation.

Construction of a 220 kV underground transmission cable system connecting Kerawalapitiya and the Colombo Port also commenced last week, as part of efforts to strengthen electricity infrastructure and support future economic expansion.

A seven-wicket haul by Malith Mihiranga was in vain as David Pieris Group defended 178 to beat Golden Green Plantations by 55 runs in Qualifier One of the MCA – Abans Premier League 2026 played at DHH Sports Complex, Negombo, on Thursday (13)

David Pieris Group, invited to bat first, were restricted to 178 by Malith’s seven-fer. Asitha Wanninayake contributed 45 off 73 balls, while Santhush Gunathilake and Tharinda Nirmal chipped in with thirty-plus scores.

Defending 178, Lahiru Samarakoon, Lakshan de Silva and Tharindu Nirmal captured three wickets each to bowl Golden Green Plantations out for 123 runs in 26.4 overs. Upul Hettiarachchi, Sammu Ashan and Vikum Sanjay contributed with twenty-plus scores, while Malith Mihiranga was the only other batsman to enter double figures.

David Pieris Group qualify for the final, while Golden Green Plantations will meet the winner of the Eliminator between DFCC Bank and Nawaloka Hospitals to vie for a place in the final.

Scores:

David Pieris Group 178/10 in 40.5 overs (Santhush Gunathilake 36, Asita Wanninayake 45, Tharinda Nirmal 35; Malith Mihiranga 7-29) vs. Golden Green Plantations 123/10 in 26.4 overs (Sammu Ashan 27; Lahiru Samarakoon 3-30, Lakshan de Silva 3-27, Tharinda Nirmal 3-38)

Bank of Ceylon (BOC), the country’s largest bank, posted Rs. 67 billion Profit Before Tax (PBT) for the first half of 2026 as it continued to make significant contributions to the economy and growth.

Chairman Kavinda de Zoysa said: ‘Building on our strong financial base and enduring commitment to the nation, BOC remains dedicated to supporting Sri Lanka’s economic growth and sustainable development. During 1H 2026, our focus on operational excellence, prudent risk management and customer-centric innovation enabled us to maintain financial resilience while continuing to support the businesses, entrepreneurs and communities across the country’.

He added: ‘As the Bankers to the Nation, we remain committed to strengthening our contribution to national economic development, expanding financial inclusion, accelerating digital transformation and advancing sustainable banking. Looking ahead, we will continue to leverage our financial strength, extensive nationwide presence and capabilities to support the country’s evolving priorities and create enduring value for our customers, stakeholders and the nation while ensuring that, customer service and experience will be at the heart of everything we do.’

BOC continued to leverage its financial strength to support national priorities and drive economic activity during the 1H. The bank continued to provide financing to the Government and State-Owned Enterprises, invest in Government Securities and support power and critical national infrastructure projects, while facilitating essential imports including fuel, pharmaceuticals, coal, gas and capital goods. BOC also continued to contribute to Government revenue through taxes and dividend payments.

Supporting private-sector growth, the bank provided financing across key sectors, with particular emphasis on SMEs, agriculture, exporters and entrepreneurs. Through initiatives such as SME Circles, the Export Circle and the country’s first Agri-Banking Unit, together with dedicated program for youth and women entrepreneurs, BOC continued to strengthen productive capacity, employment and inclusive economic growth, reinforcing its enduring contribution to Sri Lanka’s economic resilience and development.

In 1H 2026, Net Interest Income (NII) reached Rs. 109.4 billion, reflecting the bank’s continued focus on disciplined balance sheet management, effective management of asset-liability trade-off and optimised funding strategies. Interest income grew by 4% YoY to Rs. 253.7 billion, demonstrating the bank’s ability to effectively manage its earning assets and sustain income generation through prudent financial management.

Net fee and commission income grew by 17% YoY to Rs. 12.7 billion. The growth was driven by higher transaction volumes across card services, retail banking and remittances, alongside the increasing use of digital banking solutions. Continued investment in digital capabilities and value-added financial solutions, together with the bank’s established card business and customer-focused offerings, supported the growth of non-interest income and enhanced customer engagement.

Building on its earnings momentum, the bank recorded total operating income of Rs. 131.4 billion, representing a 9% YoY increase, driven by growth in both net interest income and fee-based income. Operating profit before taxes on financial services reached Rs. 79.0 billion, demonstrating the bank’s robust underlying earnings capacity and effective management of its core operations. The cost to income ratio stood at 32.67%, reflecting sustained operational efficiency and disciplined management of the bank’s cost base.

Profit Before Tax (PBT) reached Rs. 62.7 billion after accounting for Value Added Tax (VAT) and the Social Security Contribution Levy (SSCL). Income tax expenses amounted to Rs. 22.9 billion, resulting in a Profit After Tax (PAT) of Rs. 39.8 billion. Extending its contribution beyond financial performance, the bank contributed Rs. 39.2 billion in total taxes to the Government, making a significant contribution to national revenue.

BOC maintained a prudent and proactive approach to credit risk management during 1H 2026, navigating heightened geopolitical and economic uncertainties while maintaining a disciplined approach to credit exposures. An impairment charge of Rs. 14.6 billion was recognised on loans and advances, compared with Rs. 12.0 billion in the corresponding period of the previous year, reflecting a cautious assessment of credit exposures across lending segments and the bank’s continued focus on maintaining portfolio quality.

Asset quality remained resilient, as the Stage 3 loan ratio (Net) improved to 5.01%. The Stage 3 provision coverage ratio also strengthened to 61.79%, reflecting enhanced provisioning buffers and the bank’s continued focus on maintaining sound asset quality. Strengthened credit evaluation, proactive portfolio monitoring, enhanced recovery mechanisms and disciplined lending practices supported the bank in maintaining asset quality and effectively managing credit exposures amid evolving economic conditions.

The General Manager/CEO Y. A. Jayathilaka said: ‘As BOC marks 87 years of a legacy of trust and service to Sri Lanka, we continue to build on a legacy of resilience, innovation and an unwavering commitment to the nation’s economic progress. During 1H 2026, we remained focused on strengthening our financial performance while accelerating digital transformation to make banking more accessible, seamless and customer-centric. The continued advancement of platforms such as BOC Flex, SmartPay QR and digital payment solutions, together with our extensive digital and physical banking network, reflects our commitment to shaping a more connected and inclusive financial ecosystem’.

He added: ‘Looking ahead, we will continue to invest in technology, strengthen our digital capabilities and deliver innovative solutions that anticipate evolving customer needs, while leveraging our scale and national reach to empower businesses, communities and contribute to Sri Lanka’s sustainable economic development.’

As of 30 June 2026, the bank maintained a robust balance sheet, with total assets of over Rs. 5.4 trillion, gross loans and advances of Rs. 2.8 trillion and a deposit base of Rs. 4.3 trillion, underscoring the bank’s substantial balance-sheet capacity and financial strength. The bank recorded a Return on Assets (ROA) of 2.30% and a Return on Equity (ROE) of 20.44%, demonstrating its strong capacity to generate returns from its asset and capital base. The bank remained well-capitalised, with a Tier I Capital Adequacy Ratio of 13.32% and a Total Capital Adequacy Ratio of 17.22%, comfortably maintaining regulatory capital requirements. Liquidity coverage ratios for both rupee and all currencies remained well above the minimum regulatory thresholds, reinforcing the bank’s strong liquidity position and financial resilience.

Last year’s finalists CCC and Police SC made winning starts on their first appearance at the Major Club 50-over tournament yesterday.

CCC, the defending champions opened their campaign to retain the title with an easy nine-wicket win against Kurunegala YCC at the Welagedara Stadium. Former Sri Lanka white ball bowler Isuru Udana showed that he still had the skill to win matches even at the age of 38 by destroying the Kurunegala YCC for 93 taking 4/25. CCC coasted home in 15.2 overs riding on Lasith Croospulle’s brisk knock of 64* off 48 balls (9 fours, 2 sixes).

Police SC plucked a 62-run (DLS method) win over SSC at Police Park. Batting first Police SC made 205 with Dhanuja Induwara’s knock of 48 being the top score. A combined bowling effort by Police SC saw SSC dismissed for 136 after being asked to chase a revised target of 199 in 46 overs. SSC began their chase well with an opening stand of 79 by Shevon Daniel (55 off 43 balls, 5 fours, 3 sixes) and skipper Avishka Fernando (26), but the rest of the batting failed miserably.

Ravindu Fernando’s skipper’s knock of 140 off 93 balls (14 fours, 8 sixes) for Bloomfield proved in vain as NCC chasing a revised target of 269 off 45 overs coasted home with 39 balls to spare under the DLS method at Bloomfield grounds. Chamika Karunaratne took 5/39 and Ahan Wickramasinghe hit an undefeated 108 off 82 balls (7 fours, 6 sixes) and shared in stands of 135 with Sahan Arachchige (52 off 65 balls, 5 fours) and 87 with Karunaratne (47 off 27 balls, 3 fours, 5 sixes) for NCC.

In a high scoring game at the P Sara Oval, Ace Capital CC pulled off a thrilling two-wicket win with a ball to spare (DLS method) against Tamil Union. Tamil Union hit up 279-8 with fifties from Vihas Thewmika (59 off 74 balls, 5 fours, 1 six) and Sharujan Shanmuganathan (57 off 69 balls (2 fours, 2 sixes). Ace Capital CC had a revised target of 247 to chase off 37 overs, got there in 36.5 overs. Ranesh Silva (52 off 46 balls, 7 fours, 1 six), Chamika Heenatigala (59 off 63 balls, 4 fours) and Wanuja Sahan (46 off 27 balls, 3 fours, 3 sixes) made the major contribution to the win.

In a low scoring match at Surrey grounds, Maggona Colts sneaked through a 29-run win over Badureliya CC. Colts were bundled out for 132 by the spin of Chaturanga de Silva (4/25) and Seekkuge Prasanna (3/37), but hit back through Muditha Lakshan (5/21) to dismiss Badureliya CC for 103.

The Panadura SC v Moors SC match at Panadura esplanade ended in a no-decision with rain taking the upperhand. In the 16.2 overs possible Panadura SC scored 47-4. Former Peterite cricketer Santush Gunatilake taking 3/22. [ST]