Economic

The Government yesterday reassured people that there was ample food stock in the country for the foreseeable future.

Essential food items rice and sugar will come under the Maximum Retail Price (MRP) regime with effect from today,

The Government is investing over Rs. 750 million to step up its efforts to open and expand first-ever pesticide-free, State-run retail chain, the Sathosa Organic Supermarket network – covering all 25 main cities across the country.

National Carrier SriLankan Airlines, a member of the oneworld Alliance, this week celebrated 42 years of flying across the globe.

Softlogic Stockbrokers said yesterday that the Colombo Stock Exchange (CSE) was the highest gainer globally in August and second-best performer year-to-date (YTD), trading at a 40% discount to peers.

The Colombo Stock Exchange (CSE) has requested a root cause analysis from the system provider Iron One Technologies Ltd., regarding a disruption to the order management system provided to four stockbroker firms during trading yesterday, which resulted in trading difficulties to clients of these firms.

With the rupee having already lost 7.5% against the dollar so far this year, importers are worried price controls will further discourage imports, according to a Reuters report.

Quantum unspecified but tenor could be 1 year or more; bids to be submitted by 22 Sep.
Financing proposals sought from banks, institutional investors, investment houses
Funds to meet expenditure approved in Annual Budget
In mid-2020 Finance Ministry specified FCTF $ 500 m and 5 responded with proposals

A day of lockdown in Sri Lanka causes a negative impact of Rs. 22.4 billion, or $ 112 million, according to the economic projection model developed by the Imperial College.

Relief to COVID-19-affected biz and individuals was to expire on 31 Aug.
Banks are required to ensure deferment or restructuring of existing credit facilities in performing category as of 1 Sept.
For facilities in non-performing category, banks may reschedule on case-by-case basis, over a longer period, considering repayment capacity of borrower and acceptable revival plan
Eligible borrowers must request for latest concessions on or before 21 Sept.
Banks cannot allow penal interest to be accrued or charged during concessionary period 1 Sept. to 31 Dec. for amounts falling due
Banks told to suspend all types of recovery actions until 31 Dec. against credit facilities that have been classified as non-performing on or after 1 April 2020
Banks also requested to extend validity period of cheques valued less than Rs. 500,000 until 31 Oct., discontinue charging for cheque returns and stop payments in relation to all cheque payments until 30 Sept.
Banks requested to discontinue late payment fee on all credit cards and other credit facilities during period up to 31 Oct. for those who are demonstrably affected
The Central Bank (CB) has extended the debt moratorium for COVID-19-affected businesses and individuals by another three months till 31 December.

The Central Bank finally confirmed yesterday that Sri Lanka received Special Drawing Rights (SDR) allocation of International Monetary Fund (IMF) and the Initial Disbursements under the Currency Swap Arrangement with the Bangladesh Bank.

A combined release of over $ 200 million today to two State commercial banks is likely to ease pressure on the rupee, forex market sources said.

Top apparel manufacturers yesterday reiterated that the European Union (EU) GSP+ is very critical for the future growth of exports and expressed hope that the Government will work towards retaining the concession.

The Colombo Stock Exchange (CSE) yesterday tweeted saying the market still remains attractive in terms of Price Earnings Ratio (PER).

A special permit procedure will be introduced to import sugar required for the production of bakery and confectionery products, a top Minister confirmed yesterday.

Turnover tops Rs. 10 b mark for sixth consecutive market day
Indices gain by 2%; ASPI extends YTD return to 38%, S&P SL20 shy of 15 points to reach highest level in 2021; up 33% YTD
Foreign exodus continues; YTD figure now nearing Rs. 40 b mark or $ 200 m
Gainers outnumber decliners by a wide margin of 137 to 54
Expolanka sustains most valued status for third straight day; market capitalisation tops Rs. 360 b mark

The Government yesterday reassured that foreign exchange inflows continue, though the markets reacted differently as rupee depreciation persisted.

Recording its highest-ever profit for a period of six months with a Profit Before Tax (PBT) of Rs. 13.9 billion and a Profit After Tax (PAT) of Rs. 11 billion, National Savings Bank (NSB) shows strength and financial resilience in performance amidst the heightened uncertainty due to the COVID-19 pandemic which has triggered a wide range of shocks on the banking sector and the economy as a whole.