News & market updates

Colombo Stock Exchange closed lower as ASPI fell 2.59% (592.28 pts) to 22,313.47. Brokers cited broad selling with John Keells, RIL Property, Hayleys, Commercial Bank and Colombo Dockyard weighing on the index while Ceylinco Insurance was a positive contributor; Lion Brewery and Ceylon Beverage reported higher quarterly profits.

INSEE Lanka will be the Corporate Sponsor of the Build Sri Lanka Housing & Construction Exhibition 2026, held 22–24 May 2026 at BMICH. The company will showcase its cement, mortar and ready-mix solutions and promote sustainability and innovation initiatives to industry stakeholders.

Delight Trust Engineering (Pvt) Ltd was recognised with the Platinum Excellence in Engineering Services & Operational Reliability Award at the Platinum Excellence Awards 2026. The company provides construction and interior solutions including fit-outs, aluminium/glass works and customised furniture for commercial and banking clients.

Hayleys (via Hayleys Fentons) signed a JV with Jyoti Structures to build the Mannar–Mullikulam 220kV double-circuit transmission line, the inaugural NTNSP contract to evacuate Mullikulam wind power to the national grid. The project will support renewable integration and expands Hayleys Fentons into infrastructure.

Energy Ministry and the BOI issued an RFI on 23 April 2026 inviting domestic and international investors to develop green hydrogen and green ammonia projects in Sri Lanka, targeting $1 billion in annual export revenue by 2030. The non-binding RFI (open to 5 June 2026) covers production, storage, export terminals and component manufacturing and notes potential BOI facilitation and incentives.

The government is considering ending the odd-even fuel distribution system and increasing fuel quotas, saying fuel stocks are sufficient until August 2026 and supplies are being secured for the rest of the year. Officials also discussed appointing Energy Managers, boosting renewable energy and introducing Green Building measures under the Clean Sri Lanka program.

Central Bank Governor Nandalal Weerasinghe warned lowering Sri Lanka's inflation target to 2% would require strict monetary tightening and higher interest rates that would compromise economic growth. The bank currently targets 5% under a flexible exchange rate and the three-year agreement with the Finance Ministry ends in August.

The Sri Lankan rupee has fallen more than 5% so far this year, risking higher inflation and possible monetary tightening that would raise borrowing costs; rising import, fuel and medicine prices threaten household purchasing power and could drag on growth.

Prime Lands Residencies PLC has officially handed over 43 by the Sea, a sold-out ground plus 12-storey residential development on Marine Drive, Colombo; construction is complete, transfer deeds are ready and homeowners have taken possession.

Colombo Stock Exchange closed down, the ASPI dipped 0.09% to 22,899. Vallibel Finance listed 29,431,675 ordinary voting shares from its rights issue, raising 2,119,080,600 rupees.

Ambeon Essentials (a subsidiary of Ambeon Capital PLC) has appointed Dr. Sajeeva Narangoda, Aravinda de Silva, Savanth Sebastian and Sujeewa Mudalige to the Board of Harischandra Mills PLC with effect from 12 May.

Colombo Stock Exchange was slightly higher midday Thursday — ASPI +0.04% (22,930) and S&P SL20 +0.11% (6,276). Top gainers included John Keells, Alumex, RIL Property and Lion Brewery while Sampath, Vallibel One, Hayleys and Malwatte fell; NDB reported a High Court order in a derivative action and Harischandra appointed four board members.

Home Lands Group signed an SPA with CHEC Port City Colombo to develop a $150m twin-tower high-rise in Port City's Central Park District, part of a project valued at over $300m and expected to attract significant foreign currency inflows. The development will offer over 600 ultra-luxury residential, commercial and recreational units.

Cabinet approved about Rs.112.44 billion in Treasury-funded contracts for Central Expressway Phase II, awarding Access Engineering a Rs.18.7 billion package. Seven local contractors won packages covering 18.65 km of the expressway, fully government-financed.

The Sri Lankan government has launched a fresh investor drive for Mattala Rajapaksa International Airport, inviting EOIs for airside operations and landside commercial development across cargo, logistics, MRO, industrial parks, renewable energy and hospitality; EOI documents are available until 8 June with a briefing and site visit scheduled for 22 May.

Home Lands Port City signed an SPA with CHEC Port City to develop an iconic twin-tower high-rise in Port City Colombo, with Home Lands investing US$150 million in a total project valued at over US$300 million.

Cabinet approved leasing a prime one-acre state-owned parcel in Kottawa for 99 years to a private investor for a mixed-use development and has called for investment proposals under government procurement rules. The site was previously transferred to the Urban Development Authority.

Colombo market ended marginally higher as the ASPI closed up 0.02% at 23,015.32 with turnover near Rs.3.7bn and foreign net outflows of Rs.361.3m; MELS.N0000, RIL.N0000, CIC.N0000, BUKI.N0000 and CARG.N0000 were among the leading positive contributors. Investors stayed cautious amid escalating US‑Iran tensions and rising oil prices.

ANC Campus hosted a dialogue with Hayleys' executive director and Janashakthi's CEO on geopolitical risks and private-sector resilience; the University of West England will open its first Sri Lanka branch campus in June. Speakers urged firms to adopt AI, diversify exports and streamline approvals to attract investment.

Overseas Realty (Ceylon) PLC's Havelock City Mall hosted a Mother’s Day Celebration Weekend (9–10 May) featuring retail promotions and a debut Mother & Daughter Fashion Show that attracted strong visitor turnout and boosted premium retail engagement.

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.

Vietnam President To Lam made a four-day state visit to China and rode China's high-speed rail, including a 2,400 km Beijing–Nanjing trip, highlighting plans for China-assisted high-speed rail in Vietnam. The article urges Sri Lanka to use BRI technical know‑how to rebuild and modernize its rail network to boost connectivity.

Prime Melwa Port City (Pvt) Ltd signed a Sales and Purchase Agreement with CHEC Port City Colombo (Pvt) Ltd on 12 May 2026 to develop the only remaining marina and waterfront residential project in Port City Colombo. The development is positioned as a luxury marina-front landmark within the Port City's foreign-currency Special Economic Zone.

Sri Lanka's Ministry of Ports & Civil Aviation has launched an EOI drive (27 Apr–8 Jun 2026) to attract local and foreign investors to Mattala Rajapaksa International Airport for airside and landside opportunities covering cargo, MRO, logistics, industrial parks, renewable energy and resort/hospitality projects.

Government will amend the National Environmental Act to introduce pollutant-based (load-based) charging, stricter industrial approvals, legally binding Environmental Management Plans and mandatory pre-project environmental clearances. The changes target manufacturing, energy, construction and chemicals firms and include fines and up to two years' imprisonment for non-compliance.

Colombo Stock Exchange closed marginally higher, ASPI up 0.02% at 23,015.32 with turnover of Rs.3.66 billion. Real estate and transportation led turnover (Rs.495.2m and Rs.485.2m) and Abans Finance listed Rs.1.34bn five-year debentures; its shares rose 3.47%.

Sri Lankan Australian business networks — exemplified by Arjuna (Arj) Samarakoon — are helping connect Australia, Sri Lanka and Southeast Asia, supporting market entry, trade and investment, illustrated by his meeting with Cambodian Prime Minister Hun Manet.