News & market updates

Heads of the IEA, IMF, World Bank and WTO said the war in the Middle East is straining energy, trade and food security and pledged coordinated support and readiness to act. They noted fuel and fertilizer prices have fallen since June but uncertainty and transit strains persist.

Dividend · Rs 0.20 · XD Jul 20, 2026

First Interim dividend of LKR 0.2/share; XD 2026-07-20; record 2026-07-21; payable 2026-08-07; FY For the year 2026/2027

Asian shares rose as semiconductor stocks rebounded while Brent crude jumped to about $78.65/bbl after renewed Gulf hostilities, pushing up global bond yields and increasing markets' bets on further Fed rate hikes.

Access Solar and Access Real Estate have named javelin thrower Rumesh Tharanga as their corporate brand ambassador in a sponsorship running through the 2028 Olympic Games. The partnership will provide financial and logistical support for Tharanga and his coach and is presented as part of the Access Group's commitment to sports development.

Developing Asia received $644 billion in FDI in 2025 (about 40% of global FDI and over 70% of flows to developing economies), according to UNCTAD. Investment shifted toward South‑East Asia and India (India +44%), with growing flows into semiconductors, digital infrastructure, advanced manufacturing, pharmaceuticals and energy‑transition technologies.

Brent crude rose about 2% to $75.60/bbl and 10-year U.S. Treasury yields climbed to ~4.565% as renewed Middle East fighting and U.S. moves on Iranian oil raised supply and inflation risks. Equities saw renewed volatility and the AI rally lost momentum after volatile semiconductor results.

Colombo Stock Exchange fell for a sixth straight session as the ASPI dropped 0.54% to 21,962.30. Turnover exceeded Rs.1.5bn with foreigners net sellers of Rs.185m; major drags included Melstacorp, John Keells, Carson Cumberbatch and CIC Holdings, while Access Engineering and Chevron Lubricants featured among top contributors.

Roshane Perera, Deputy Managing Director – Energy of Hayleys Fentons (Hayleys PLC), won the Global CEO 45 Under 45 Leadership Excellence Platinum Award 2025. Since 2017 he grew Hayleys Solar to Rs.15bn revenue and ~800 staff, delivered 500+ MW rooftop capacity and a 300 MW utility-scale portfolio, and is on track for 750 MW by mid-2026.

Exhibitor registration for Sri Lanka Expo 2027 is open until 31 July 2026. The expo runs 14–17 Jan 2027 at BMICH with 650 booths across 25 sectors and offers opportunities to meet over 1,500 global buyers.

Colombo Stock Exchange fell, with the ASPI down 0.39% to 21,995.04 and the S&P SL20 down 0.27% to 6,150.33. Top negatives included Melstacorp, John Keells and Carson Cumberbatch while Digital Mobility Solutions, Royal Ceramics and Haycarb were positive; turnover was LKR 1.13 billion.

Frontier Research said easing Eurozone inflation and lower oil prices could narrow Sri Lanka's fuel import bill, ease inflationary pressures and reduce depreciation pressure on the rupee. It notes Eurozone headline inflation fell to 2.8% in June and markets expect the ECB to keep rates on hold, though risks from the Middle East and food prices remain.

Colombo market opened deep in the red: ASPI fell 0.44% (98.08 pts) to 22,080.65 and the S&P SL20 dropped 0.44% as foreign investors were net sellers of Rs. 315.8m. Main negatives included Ceylinco, HNB, RIL and Central Finance; utilities (led by Windforce), capital goods and banking led turnover.

The government launched 'Badhu Shakthi 2026' National Tax Week, a year-long initiative to boost state revenue and voluntary tax compliance with a countrywide awareness campaign (National Tax Week observed 6–10 July). Officials said higher tax revenue is being used to finance infrastructure and disaster relief, citing Rs.500 billion for Cyclone Ditwah response.

HayWind One (Hayleys Fentons), part of Hayleys PLC, has received all ten turbines for the 50MW Mannar Wind Farm, moving the project into peak construction and installation with energisation targeted by December 2026. Once operational it will add 50MW to the grid and is projected to save ~LKR 100 billion in imported fuel costs over 20 years.

Asian shares eased as investors awaited a key AI earnings season and oil slipped after OPEC+ raised output targets; softer U.S. payrolls and lower energy costs cut the chance of an imminent Fed hike. Futures imply about a 78% probability of no rate change at the July 29 meeting.

SLAM Power Solutions and Ceyring commissioned Sri Lanka's first industrial-scale BESS integrated with solar at Ceyring's Horana factory — a 125 kW / 241 kWh BSLBATT system paired with an existing 100 kW rooftop PV. The installation is designed for peak shaving, grid-failure backup and smoothing solar output for industry.

LAUGFS Gas PLC cut its 12.5 kg domestic LP gas cylinder price by Rs.1,280 to Rs.4,965 (5 kg down Rs.512 to Rs.1,988). Litro Gas Lanka also reduced domestic LP gas prices (12.5 kg down Rs.300 to Rs.4,465), citing lower international LP gas prices and promising uninterrupted supply.

INFRACON 2026 opened at BMICH in Colombo and runs through Sunday; the exhibition brings regional exhibitors in HVAC-R, power & energy (including green energy), safe water management and building materials to promote trade, investment and technology in Sri Lanka's infrastructure and construction sectors.

Colombo market extended losses as the ASPI fell 1.03% for the week to 22,178.73 and the S&P SL20 fell 0.85% to 6,194.22. Market turnover topped Rs.1.5bn with foreigners net sellers of Rs.157.9m and notable moves from SAMP, CINS, JKH, RCL (weak) and DIAL, BUKI, CARS, AEL, COMB (positive/active).

China EXIM Bank Vice President Yang Dongning met Sri Lanka's Deputy Minister of Finance on 2 July 2026 to review and expedite the amended financing agreement for the Central Expressway Project (CEP-1) Section I, targeting signature before end‑August 2026. They also discussed cooperation to support tourism, value-added manufacturing, logistics, energy, IT and higher-education links.

Oil prices rose slightly ahead of the U.S. long weekend as U.S.-Iran peace efforts held; Brent was $72.10/bbl and WTI $68.83. Reopening of the Strait of Hormuz, higher Kuwaiti output (1.65m bpd in June) and Saudi supertanker movements boosted supply flows.

CBSL expects inflation to remain around 6.8% in the coming months but, aided by lower global oil prices and if expectations remain contained, sees no immediate need for another policy rate hike. The central bank raised the OPR by 100bps in late May and says tightening is already transmitting through higher market interest rates and some reductions in domestic energy prices have been observed.

Colombo market fell for a third session as the ASPI dropped 0.10% (21.79 pts) to 22,221.91 on heavy foreign net selling of Rs. 774.2 million. Top negative contributors included SPEN, SAMP, DFCC, CTC and CINS while CARG, DIAL, JKH and MELS supported the index; capital goods led turnover (55%).

Colombo Stock Exchange closed down as the ASPI fell 0.19% (43.18 points) to 22,178.73 on turnover of Rs.1.54 billion. Asia Asset Finance announced GM and rights timetable and Associated Motor Finance said its merger with L B Finance will become effective by 31 July 2026.

The Sri Lanka–Germany Business Council held Members' Day where Germany reaffirmed cooperation and highlighted opportunities in logistics, manufacturing, renewable energy, green technologies, digital transformation and tourism. SLGBC also announced a CSR project to support a local school's infrastructure.

GITA, together with the Indo‑Lanka Chamber of Commerce and Industry, has launched an India Trade Desk in Colombo to provide end-to-end, one-to-one advisory and market-entry support for Sri Lankan firms seeking to expand into India. The service targets SMEs and larger firms across textiles, food processing, ICT/BPM, tourism, pharma, logistics, manufacturing and renewable energy.

The Sri Lanka–Germany Business Council held its Members' Day, with Germany reaffirming bilateral partnership and participants highlighting trade and investment opportunities in logistics, manufacturing, renewable energy/green tech, digital transformation and tourism; SLGBC also announced a CSR project and networking initiatives.

Ceylon Chamber held a dialogue on Sri Lanka's energy transition to advance renewable energy, storage, grid modernisation and the development of technical and safety standards to attract investment. Speakers highlighted aligning energy policy with economic growth and supporting digitalisation, EVs and data centres.