Category: Daily Financial Times

The Cabinet of Ministers has approved a proposal to invite investors for the development of a 0.42-hectare land parcel on Baladaksha Mawatha, Colombo 03, owned by the Urban Development Authority, on a 99-year lease basis.

Janashakthi Finance PLC, formerly known as Orient Finance PLC yesterday announced a strong financial performance for the nine-month period ended 31 December 2025, driven by sustained growth in its core businesses, disciplined execution and continued focus on scale and efficiency.

Chairman Rajendra Theagarajah said: ‘The performance for the period reflects the clarity of our strategic priorities and the strength of our governance framework. With strong leadership in place that is confidently driving the business, we continue to grow steadily while maintaining balance sheet strength and stakeholder confidence.’

For the period under review, Profit Before Tax (PBT) rose by 39% year-on-year to Rs. 389 million, supported by higher operating income and portfolio expansion. Net Operating Income increased by 35% year-on-year to Rs. 2.2 billion, reflecting sustained lending activity and improved business scale.Net Profit After Tax (NPAT) amounted to Rs. 240 million.

The Company’s Loans and Receivables portfolio grew by 49% year-on-year to Rs. 29 billion, driven by demand across key lending segments and focused growth initiatives. Deposits increased to Rs. 17 billion, recording a 14% year-on-year growth, reinforcing funding diversity and customer confidence.

CEO Sithambaram Sri Ganendran said: ‘During the period, we focused on expanding our loan book responsibly, strengthening our funding base and enhancing operational capability. The growth achieved across our key indicators positions the Company strongly as we continue to execute our medium-term strategy and respond to market opportunities.’

Looking ahead, Janashakthi Finance PLC remains focused on driving sustainable growth through prudent risk management, customer-centric solutions and continued investment in its people and platforms. The Company is well-placed to build on this momentum and deliver consistent value to shareholders while supporting the evolving financial needs of its customers.

Samagi Jana Balawegaya (SJB) MP Mujibur Rahman has filed a complaint with the Criminal Investigation Department (CID) calling for an investigation into the import and use of a drug allegedly administered to cancer patients.

Rahman said the complaint relates to a drug that was used on a cancer patient known to him. He said medical professionals had indicated that the drug had been found to be ineffective.

He further said inquiries made with the National Medicines Regulatory Authority (NMRA) had revealed that the drug in question was not registered with the regulator.

Based on these concerns, Rahman said he had requested the CID to conduct a full investigation into the importation and use of the drug, including the circumstances under which it was administered to patients.

The finance industry is undergoing one of the most significant transformations in its history. What was once a sector driven by physical branches, paperwork, and human intermediaries is now becoming a digital ecosystem powered by data, algorithms, and intelligent systems. Technology is not simply improving financial services – it is fundamentally redesigning how the financial world operates.

At the heart of this transformation is the shift from traditional banking models to digital-first financial services. Banks are no longer just places to deposit money or apply for loans; they are becoming technology platforms. Mobile apps now act as full-service branches, enabling customers to open accounts, transfer funds, invest, and even access financial advice without ever stepping into a building. This shift reduces costs for institutions while delivering faster, more convenient services for users.

The rise of financial technology, or FinTech, has accelerated this change. FinTech companies specialize in using technology to solve financial challenges in simpler, faster ways. They have introduced innovations such as peer-to-peer payments, digital lending platforms, robo-advisory investment tools, and online insurance services. These firms operate with agility, focusing on user experience and rapid innovation. As a result, traditional banks are increasingly partnering with FinTech startups to remain competitive and modern.

Data has become the backbone of modern finance. Every transaction, purchase, and digital interaction creates information. Financial institutions use advanced analytics and Artificial Intelligence (AI) to turn this data into actionable insights. AI systems can analyze spending behavior, detect fraud, assess creditworthiness, and personalize financial products. Instead of offering the same services to everyone, banks can now tailor solutions to individual needs.

Fraud detection is one area where technology has made a significant impact. AI algorithms monitor millions of transactions in real time, identifying unusual patterns that could indicate fraud. This level of speed and precision would be impossible through manual monitoring. As digital transactions increase, intelligent security systems become essential for maintaining trust.

Blockchain technology is another innovation reshaping finance. A blockchain is a distributed digital ledger that records transactions securely and transparently. Because records cannot easily be altered, blockchain reduces the risk of fraud and errors. In cross-border payments, blockchain can shorten processing times from days to minutes, lowering costs and improving efficiency. Financial institutions are also exploring smart contracts, which automatically execute agreements when specific conditions are met.

The investment sector has also been transformed. Online trading platforms allow individuals to invest in stocks, bonds, and other assets from their phones. Robo-advisors use algorithms to build and manage portfolios based on a client’s goals and risk tolerance. This technology makes wealth management more accessible, especially for younger investors and those with smaller portfolios.

Another major development is open banking. This system allows customers to share their financial data securely with third-party providers through APIs (application programming interfaces). With customer consent, different financial apps can work together, offering a more integrated experience. For example, budgeting apps can connect directly to bank accounts, helping users track spending and plan finances more effectively.

Regulatory Technology, or RegTech, is helping institutions manage complex compliance requirements. Financial regulations are strict and constantly evolving. Digital tools can monitor transactions, generate reports, and flag potential violations automatically. This reduces the risk of penalties and allows compliance teams to focus on oversight rather than manual paperwork.

Financial inclusion is one of the most powerful benefits of technology in finance. In many parts of the world, people lack access to traditional banking services. Mobile money platforms and digital wallets allow individuals to store money, make payments, and access microloans using only a smartphone. This expands economic participation and supports small businesses and entrepreneurs.

Despite these advances, challenges remain. Cybersecurity threats are growing as more financial services move online. Hackers target banks, payment systems, and even customers directly. Financial institutions must continuously upgrade security measures, including encryption, biometric authentication, and real-time monitoring.

Data privacy is another concern. Financial data is highly sensitive, and institutions must handle it responsibly. Clear policies, secure systems, and transparent practices are necessary to maintain customer trust.

The future of finance will likely be shaped by even more advanced technologies. Artificial Intelligence may provide real-time financial coaching, analyzing income, spending, and savings to offer personalized advice. Digital currencies issued by central banks could change how money is stored and transferred. Embedded finance – where financial services are integrated into non-financial platforms like shopping apps – will make transactions even more seamless.

Ultimately, technology is turning finance into a more connected, efficient, and customer-focused industry. The boundaries between banks, technology firms, and service providers are blurring, creating a dynamic financial ecosystem. Success in this environment will depend on balancing innovation with security, convenience with responsibility.

The financial institutions that thrive will be those that see technology not as a tool to support operations, but as the foundation of their strategy. In this new era, finance is no longer just about money – it is about intelligent systems that move value safely and instantly across a digital world.

Colombo Land and Development Company PLC has appointed Urban Development Authority Chairman M. G. Hemachandra to its Board as a Non-Executive Director.

Hemachandra is a distinguished professional of experience in development policy analysis and formulation, economic development program and project design, implementation, and post-evaluation. A veteran in corporate governance, strategic planning, project management, procurement, and Contract Administration, he holds an MBA in Infrastructure and a Bachelor of Engineering (Hons) from the University of Moratuwa.

As the UDA Chairman, Hemachandra provides strategic leadership to transform Sri Lanka’s urban development framework. His key priorities include strengthening transparent and efficient governance, revitalising strategic and stalled urban development projects, enhancing investor confidence and public-private partnership initiatives, and modernising urban policy and planning in line with sustainable development goals, smart city concepts, and national economic priorities. He is also focused on promoting integrated and sustainable urbanization, driving digital transformation through e-governance, fostering multi-agency coordination, and ensuring urban development contributes directly to GDP growth, employment generation, and improved living standards.

Previously, Hemachandra served as Chief of Yen Loan Operations at JICA Sri Lanka, overseeing development portfolios across water supply and sanitation, ports, airports, irrigation, agriculture, livestock, fisheries, and rural development sectors. His earlier professional experience includes service as Senior Engineer at the National Water Supply and Drainage Board, and Project Engineer at the Central Engineering Consultancy Bureau. He also sits on the boards of management and advisory councils for several prominent organisations.

In addition to serving as the Chairman of the Urban Development Authority, Hemachandra also serves as the Chairman of Urban Investment and Development Company Ltd. as a Director of Lanka Rest Houses Ltd., Ocean View Development Ltd., Urban Settlement Development Authority, Water’s Edge Ltd., and the Tea, Rubber and Coconut Estates (Control of Fragmentation) Board.

As of end-September 2025 the UDA was the third largest shareholder with a 17.45% stake after E.G. Ng (23.71%) and Hikkaduwa Beach Resort PLC (20.22%). Ceybank Unit Trust held a 5.96% stake.

The Ministry of Finance, Planning and Economic Development has issued a new circular providing financial assistance to micro, small and self-employed businesses impacted by Cyclone Ditwah, expanding the relief measures introduced under Budget Circular No. 08/2025.

”Poor Mexico, so far from God, so close to the United States”-Porfirio Diaz, Ruler of Mexico (1876 1911).

My interest in trade agreements arose while working on my PhD in Canada in 1982-1985. Having been immersed in the protectionist/State-centric discourse that pervaded Sri Lanka in the 1970s, I was intrigued that the Canadian Government was pressing for a bilateral agreement with the more powerful and much larger United States.

The Canada-US Free Trade Agreement (CUFTA) that was signed in 1987 was the first to include services trade. Given the cultural protectionism that was pervasive among many of the people I interacted with, I was also surprised that services were included. In one of my first publications on services trade I stated: ‘the Canada-US FTA is the only availability ‘laboratory’ for the study of free trade in services. . . . Such research is also of value to groups in other countries seeking to shape integration processes of various kinds including free-trade arrangements and labour exports.’

CUFTA became NAFTA, which then was renegotiated and renamed during the Trump first term as USMCA. This served to blunt the force of the pressure exerted on Canada and Mexico by President Trump in 2025. He announced massive tariffs but found they would not apply to trade that was covered by the agreement. This was a confirmation of the central justification for trade agreements: protection of the smaller partners (Canada and Mexico) from bullying by the powerful partner.

The USMCA is up for review in July 2026. Trump is likely to try to insert provisions harmful to Canada and Mexico. Will Canada and Mexico push back and achieve a mutually satisfactory agreement? Or will they walk away? If the latter, they will be subject to Trump’s volatility with no safeguards. These are issues that must be on the Canadian Prime Minister Mark Carney’s mind these days.

Fortress or trade diversification

Hints of Carney’s thinking may be gathered from his acclaimed speech in Davos:

”Many countries are drawing the same conclusions – that they must develop greater strategic autonomy: in energy, food, critical minerals, in finance and supply chains.”

”And this impulse is understandable. A country that cannot feed itself, fuel itself or defend itself has few options. When the rules no longer protect you, you must protect yourself.”

”But let’s be clear-eyed about where this leads. A world of fortresses will be poorer, more fragile and less sustainable.”

”And we are no longer relying on just the strength of our values, but also on the value of our strength.”

”We are building that strength at home.”

”Since my Government took office, we have cut taxes on incomes, on capital gains and business investment. We have removed all federal barriers to interprovincial trade. We are fast-tracking a trillion dollars of investment in energy, AI, critical minerals, new trade corridors and beyond.”

”We are doubling our defence spending by the end of this decade and we’re doing so in ways that build our domestic industries.”

”And we are rapidly diversifying abroad. We’ve agreed a comprehensive strategic partnership with the EU, including joining SAFE, the European defence procurement arrangements.”

”We have signed 12 other trade and security deals on four continents in six months.”

”In the past few days, we have concluded new strategic partnerships with China and Qatar.”

”We’re negotiating free trade pacts with India, ASEAN, Thailand, Philippines and Mercosur.”

Canada is not adopting the fortress approach. Its focus is on trade diversification through free trade agreements. Because Canada’s industrial areas are mostly around the Great Lakes, very close to the US market and far from Asian and European markets, trade diversification is not easy.

Like Canada, Sri Lanka has also been subject to the Trump treatment. Having thought that a 20 percent tariff we could live with had been negotiated by making yet undisclosed concessions, we are again under threat for trading with Iran. Our choices are no different from those facing Canada.

Rationale for agreements

It is private firms that engage in foreign trade, not governments. Because most economic actors in both Canada, India and Sri Lanka have a degree of autonomy from the State, companies will not invest or engage in trade as directed by political authorities to satisfy strategic objectives.

I recall the distinct lack of enthusiasm on the part of India’s partially-state-owned IOC to take over the colonial-era oil tanks in Trincomalee in 2002. They obeyed their Government’s directions only when the tanks were bundled with a fuel-distribution business.

Private entities will take risks, but they would prefer reduced risks of administrative expropriation. Bilateral or other trade and investment agreements reduce risks flowing from State action.

Economic actors who are immersed in ‘deal culture’ dislike legally binding trade and investment agreements. They prefer deals worked out through favourably disposed politicians and officials. Their opposition is not worded in this language, but is clothed in the rhetoric of national sovereignty.

In practice, the authorisations for employment of foreign professionals and for investment in the telecom and IT industries in Sri Lanka were GATS+, or more liberal than the legal commitments that had been made. I pointed this out to a leading opponent of the IT sector commitments in the proposed India-Sri Lanka agreement. His response was that unilateral liberalisation could be withdrawn, which was not the case with treaty-level bilateral agreements. The external investor or trader is thus exposed to risks of rule changes damaging to his business case. This can only be mitigated by partnering with a deal maker.

What must be done

Sri Lanka can no longer consider the United States a trustworthy trade partner. It is in the interests of exporters and the country to diversify. Not that we do not sell to the US, but we cannot be dependent on that market. The only way to diversify is to fast track trade negotiations in Asia. Reduce or eliminate para tariffs on imports and make it easier to import and export.

Asia Rugby Elite Panel Referee, Aymen Jrill of Saudi Arabia will officiate the CR vs Havies and Kandy vs CH in the Super Round Cup encounters this weekend.

The appointment has been made in collaboration with Asia Rugby, underlining the importance attached to this decisive phase of the domestic league. With the Super Round set to determine the ultimate contenders for the league title, the presence of an internationally accredited referee brings added credibility and assurance to the competition. Jrill, a highly respected official within the AR circuit, is known for his firm control, consistency at the breakdown, and clear communication with players.

After three matches each team will be ranked with their accumulated points in round 1 and the top two teams will play in the Super final. This encounter will be played at the number 1 placed teams home ground. The two plate encounters will be officiated by the local referees. (SJ)

Seylan Bank PLC has appointed Ramani Samarasundera to its Board as an Independent Non-Executive Director.

Samarasundera holds a Bachelor of Science degree from the University of Colombo and brings with her over 30 years of experience in marketing, brand building, and consumer insight-driven growth, gained across several leading fast-moving consumer goods (FMCG) organisations.

She currently serves as the Group Chief Marketing Officer of CIC Holdings PLC, as part of the senior management team. Prior to this, she spent two decades at Unilever Sri Lanka, including eight years on the board, followed by senior marketing roles at Atlas Axillia and Hemas Consumer Brands.

Samarasundera is widely recognised within the industry for her ability to leverage strong consumer insights, market dynamics and brand strategies to build and grow some of Sri Lanka’s most loved consumer brands. She has also contributed significantly to industry capability building through her involvement with the International Advertising Association (IAA) other professional bodies, and customised training and is regarded as a role model in leadership and work-life balance.

Top seed Carlos Alcaraz is within two victories of a career grand slam after piling more major pain on home hope Alex de Minaur in a largely straightforward Australian Open quarter-final victory, secured 7-5, 6-2, 6-1 in 136 minutes on Rod Laver Arena.

The heavily anticipated clash delivered a sensational first set in which De Minaur looked a peer of the world No 1. However, Alcaraz took control beyond the one-hour mark, leaving the last Australian in the singles draw helpless, exasperated and pacing behind the baseline between points.

De Minaur is now the third man in the Open era, after Andrey Rublev and Tommy Robredo, to lose his first seven grand slam quarter-finals. He walked off the court downtrodden, and his mood hadn’t lifted by the time he spoke to press half an hour later.

‘It doesn’t feel amazing, I’ll tell you that,’ he said. ‘You try to do the right things, you try and keep on improving, but when the results don’t come, or the scoreline doesn’t reflect those improvements, then of course you feel quite deflated.’

Alcaraz won the first three games of each set, and while the Australian found a revival in the first frame, the Spaniard’s serve and groundstrokes wore down De Minaur’s valiant but ultimately helpless defence.

The No 1 seed said his level has been increasing as the tournament goes on, but he admitted he was tested in that first set. ‘I started the match really well, hitting really well the ball,’ he said. ‘But Alex makes you [feel like] you are in a rush all all the time, so you want to hit the ball as hard as you can every every ball, which is impossible against him. From 3-0 until 4-3, I was in a rush, but I took a moment, took a break.’

From there, Alcaraz produced a formidable display, leaving De Minaur exposed as a wannabe on the world stage. ‘There was some good parts out there, but overall I’m playing out of my comfort zone and at times out of my skin,’ the Australian said, adding he must tweak his normally flat groundstrokes if he is to ever compete with Alcaraz and Jannik Sinner.

‘They’ve got so many revolutions on the ball that they’re able to not only play at a higher speed, but also have that consistency because they’re able to get that spin that helps the ball come down, and create different angles as well.’