Economic

State Minister of Money, Capital Markets and State Enterprise Reforms Ajith Nivard Cabraal yesterday issued a statement dismissing allegations that his support to Port City is connected to his son being employed by the project company CHEC Port City Ltd.

Hemas Holdings PLC (HHL) has ended FY21 with a strong performance despite the challenges encountered in the macroeconomic environment, including the COVID-19 pandemic and the intensity of the competitive landscape.

The Colombo stock market yesterday continued with its positive stance despite low turnover and investor participation.

Oxford study of American Airlines, British Airways and oneworld trial reveal pre-travel testing does catch those who have COVID-19 before they fly

Monetary Board says economy seeing renewed disruptions due to emergence of third wave of the COVID-19 pandemic after notable rebound in 2020 second half and early-2021
Estimates adverse effects on economic activity from third wave of COVID to be lesser than first two waves
Stresses need for continued fiscal and monetary support to place the recovery process on a firm footing
Says external sector remains resilient despite multitude of challenges
Emphasises accommodative monetary policy stance and high level of rupee liquidity aimed at supporting economic recovery through provision of affordable credit to productive sectors of the economy
Forecasts inflation to remain within 4-6% range in the near to medium term
Assures any pressures over medium term will be addressed with appropriate measures
Rupee depreciated by 6.6% against dollar thus far in 2021
End-April gross official reserves were estimated at $ 4.5 b (excluding Bank of China Swap facility)
The Monetary Board yesterday kept policy rates unchanged, as mostly expected, to continue with its support for the recovery of the economy amidst a worsening COVID-19 pandemic.

New concessions on capital, interest, or both, are applicable to performing as well and
non-performing borrowers and facilities as of 15 May
Interest rate for rupee facilities deferment period and amount is 6.18% per annum
Banks told to extend due dates of revolving credit facilities, including but not limited, to facilities such as working capital, pawning, temporary overdrafts, short-term trade finance facilities etc. up to 31 Aug.
Penal interest cannot be accrued or charged during concessionary period of 15 May to 31 Aug.
Banks should not levy excessive fees or charges in relation to granting of concessions, must extend validity period of cheques valued less than Rs. 500,000 until 30 June
Banks told to discontinue charging for cheque returns and stop payments in relation to all cheque payments until 30 June
Banks must discontinue late payment fees on credit cards and other credit facilities up to 30 June; told not to charge early settlement fees
Eligible borrowers must request for new concessions on or before 21 June
Borrowers who currently enjoy deferment of lease repayments or moratorium under previous measures not eligible

PickMe, the app-driven digital mobility company has taken several new measures to further strengthen safety measures for its drivers and customers.

The Sri Lanka Chamber of the Pharmaceutical Industry (SLCPI), whilst thanking the Government for its efforts in obtaining vaccines to tackle the COVID-19 pandemic, said yesterday it would continue to collaborate closely to ensure that imports are strictly from legitimate distributors registered with its principals, who are the global manufacturers.

The Hotels Association of Sri Lanka (THASL) is seeking urgent attention and action from the Government on what it described as seven key requests to prevent the collapse of Sri Lanka’s tourism industry.

Considering the current pandemic situation in the country, Board of Investment of Sri Lanka Chairman Sanjaya Mohottala has requested all factory administrations to ensure maximum safety of the staff in compliance with health guidelines during factory operations.

The Colombo stock market yesterday failed to take off from its Wednesday’s late rally as it closed negative for the second consecutive day.

SANASA Development Bank (SDB) has announced plans to raise Rs. 4.5 billion via a Secondary Public Offering (SPO).

Headline inflation as measured by the year-on-year (Y-o-Y) change based on the National Consumer Price Index (NCPI) has been compiled as 5.5% for April as against 5.1% in March.

The government has shot down a request by the private sector to pay for the importation of Astrazeneca vaccines for the corporate world as several are desperately awaiting the second jab, the Daily Mirror learns.

Commercial Bank has announced plans to raise Rs. 10 billion via a listed debenture issue.

The bearish run at the Colombo stock market persisted yesterday as both indices dipped sharply despite improved turnover.

Top diversified blue chip Hayleys Plc yesterday announced historic results in FY21 with consolidated post-tax profit up by near 400% to Rs. 14.05 billion whilst pre-tax figure was a staggering Rs. 19.2 billion, up 250% from the previous year.