News & market updates

The Cabinet approved signing three bilateral agreements with Belarus on aviation, higher education and health ahead of Foreign Affairs Minister Vijitha Herath's visit from 12–15 May, including an Air Services Agreement to enable enhanced aviation links and MoUs on education and health cooperation.

Colombo Stock Exchange fell, with the ASPI down 0.41% (95 points) to 22,920 and the S&P SL20 down 0.40% to 6,269. Banking stocks saw profit taking while top movers included Nawaloka Hospitals (+8.44%), LOLC (+0.83%) and Seylan Bank (+1.65%), and Ceylon Tobacco declared a first interim dividend of Rs.32.40.

Sri Lanka Expo 2026 has been rescheduled to 14–17 January 2027 at BMICH in Colombo. The EDB expects about 750 local exporters and 1,500 international participants and has extended exhibitor registration to 31 July 2026, citing geopolitical uncertainties.

Mordor Intelligence forecasts the coconut oil market to grow from USD 7.75bn in 2026 to USD 11.05bn by 2031 (CAGR 7.36%). Growth is driven by rising demand in cosmetics/personal care, clean-label cooking oils and pharmaceutical/nutraceutical uses, with Asia-Pacific leading production and government support improving supply.

The Sri Lanka Export Development Board has rescheduled Sri Lanka Expo to 14–17 January 2027 at BMICH citing geopolitical uncertainty. The event is expected to host about 750 local exporters and 1,500 international participants across apparel, tea, ICT, pharma, renewable energy and other sectors.

Ceylinco Life donated a Centralised Medical Gas Pipeline System to Teaching Hospital Kalutara, repairing and integrating an oxygen concentrator at a cost of Rs.19 million. The system supplies multiple wards and two operating theatres, supports ~60 inpatient beds, saves ~75,000 Rs/month and avoids ~50 cylinder changes monthly.

Merak 2026 is running islandwide autism-awareness programmes ahead of a Guinness World Record attempt for the World’s Longest Sensory Board, which will be open to the public on 16–17 May at the BMICH to engage parents, teachers and communities.

Lanka Hospitals presented its 2025 Annual Report and the 2026–2030 'HEARTS 360' five-year strategic roadmap, reporting its highest-ever revenue in 2025 and contributing over Rs. 1.4 billion to the State Treasury. The group highlighted record clinical volumes (802 cardiothoracic surgeries) and plans for digital transformation and medical tourism expansion.

Sri Lanka and Türkiye held their second political consultations in Ankara on May 5, focusing on defence and security cooperation and exploring expanded investments and joint ventures in pharmaceuticals, renewable energy, tourism, logistics and technology. They also discussed connectivity, maritime cooperation and education links.

IIHS and Akutagawa HRM launched the Japanese Care Professional Programme to train Sri Lankan youth for healthcare jobs in Japan, with starting salaries of about LKR 450,000/month and potential earnings exceeding LKR 5.4 million within five years. The programme uses Japan's SSW visa pathway, includes a four-year progression with language and cultural training, employer-supported benefits, and financing options such as through NSB.

360 Skin Clinic & 360 Aesthetics (360 Wellness Centre Pvt Ltd) received SLSI ISO 9001:2015 certification, recognising it has implemented an ISO 9001:2015 quality management system covering its medical, cosmetic and wellness services.

Sri Lanka and the Maldives pledged deeper economic cooperation at the Maldives–Sri Lanka Business Forum in Colombo, with Maldives announcing investment‑friendly reforms and leaders urging expansion of bilateral trade (US$137m in 2025), tourism, infrastructure and sector partnerships.

Sri Lanka may face medicine shortages as industry bodies warn NMRA has not allowed upward price revisions despite a 5.6% rupee depreciation over six months. The country imports about US$667m of drugs (≈85% of the market) and costs have risen up to 25% per stakeholders.

ASPI rose 0.65% (145.47 pts) to 22,695.00 while the S&P SL20 gained 0.6% to 6,244.64. Market turnover exceeded Rs. 4.8bn with Ceylon Tobacco Company dominating turnover (Rs. 2.4bn) even as foreign investors were net sellers, extending YTD foreign outflows to Rs. 27.6bn.

Colombo Stock Exchange closed higher Monday with the ASPI up 0.65% at 22,695.00 and turnover of 4.81 billion rupees, driven by buying in banking counters. Top contributors included NDB, Dialog, Melstacorp and Colombo Dockyard, while Ceylinco Insurance and Windforce were among decliners.

Manipal Hospitals announced the first-ever couple open-water swim from Talaimannar, Sri Lanka to Dhanushkodi, India — a roughly 32 km crossing by Danish Abdi and Vrushali Prasade scheduled for May 6, 2026. Manipal said it will provide clinical support and frame the event as reinforcing India–Sri Lanka health-connect and wellness ties.

KPMG Sri Lanka Academy will host a webinar on 5 May to explain recent tax reforms — including the Social Security Contribution Levy Act, the VAT (Amendment) Bill, expanded withholding taxes and higher capital gains tax — and their compliance implications for businesses and individuals.

Sri Lanka's Consumer Sentiment Index fell 16 points in March to 70, the lowest since June 2024 and the steepest monthly drop since Jan 2021. The decline reflects rising cost of living, energy and fuel concerns, heatwave risks to utilities, and trade-union action including a GMOA strike.

Colombo market closed in the green for a fourth straight session as the ASPI rose 0.07% to 22,635 and the S&P SL20 gained 0.18% to 6,241.01; turnover was about Rs.4.2bn and foreign investors were net sellers of Rs.332.5m. CINS, BREW and JKH were among top contributors while diversified financials and banks led turnover.

Colombo Stock Exchange closed up, ASPI +0.07% to 22,635, with diversified financials leading turnover (Rs 1.98bn) helped by the debut of Janashakthi; total market turnover was Rs 4.19bn.

The LMD-Peppercube Business Confidence Index fell 11 basis points to 171 in February (from 182 in January), signalling a renewed drop in corporate optimism. The decline follows improved CPI rankings, rising public-health concerns (daily cancer cases, Nipah vigilance), a 0.2% dip in reserves and cyclone disruptions.

Softlogic Life has partnered with Dialog Axiata's Doc990 to introduce a fully cashless, real-time OPD claims facility for its corporate health and life insurance clients, with eligible users receiving a 35% discount on Doc990 channeling fees. Claims are processed instantly at point of care, removing reimbursement paperwork and upfront payments.

China's Global Security Initiative (GSI), proposed in 2022, has been cited in over 140 international documents and endorsed by more than 130 countries by 2026, highlighting priorities such as information/cyber security, AI governance and bio-security. It calls for strengthening the UN's role, peaceful settlement and multilateral cooperation among its 20 listed priorities.

Census 2024: elderly share rises to 18% while total fertility falls to 1.3, signaling rapid ageing and a narrowing future workforce. Labour force participation is 47.3% (52.7% inactive) and NCD prevalence is 19.2%, raising long-term health, pension and housing pressures.

ILO Country Director Joni Simpson said unpaid care work is a social-justice issue and a constraint on Sri Lanka's inclusive growth, urging investment and policy reform in the care economy. She noted demographics driving demand — about 18% aged 60+, children ~21%, median age ~35 — and launched the South-4-Care Learning Hub.

The Colombo market closed lower as the ASPI fell 0.32% (73.23 pts) to 22,566.58, with foreign investors a thin net buyer of Rs. 3.4m. Top negatives included Bukit Darah, Ceylon Beverage, RIL Property and Sampath; turnover was led by food & beverage while Ceylon Cold Stores and Nawaloka gained and Access Engineering and Softlogic Capital fell.

World Bank says unpaid care work is holding back women's economic participation in Sri Lanka, with female labour force participation stuck at 31–35% and women aged 25–49 2.6 times more likely to be unemployed; it identifies the care economy (childcare/elder care) as both a constraint and a growth opportunity.

Colombo stocks rose 0.25% as foreign investors turned net buyers after a 21-session selling streak, recording a net inflow of Rs. 19.8 million and lifting the ASPI 55.45 points to 22,625.48. Top contributors included CINS, BUKI, CFIN, MELS and NHL, while consumer services led turnover and oil price moderation supported sentiment.