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Symphonic Fusion: WAYO and Gustav Mahler Orchestra Set for ‘Mathaka Thanu 2’ 🎻

Sri Lanka’s entertainment and creative arts sector marks a significant milestone with a unique fusion of pop and classical music. The event signals a sophisticated evolution in the local live performance industry, blending mass-market appeal with orchestral prestige. • Event Details: Scheduled for Saturday, 28 March 2026, at the Lionel Wendt Theatre. Due to high demand, the organizers have announced two sessions (3:30 p.m. and 7:30 p.m.). • Collaborators: Features the Gustav Mahler Orchestra of Colombo, pop ensemble WAYO, and the Ceylon Quartet. • Key Highlights: • Reimagining of timeless Sri Lankan pop hits through full Western classical arrangements. • Directed by Chief Conductor Maestro Srimal Weerasinghe with arrangements by Concertmaster Darshana Amarasinghe. • Economic Context: Such high-production events contribute to the growth of the creative economy and tourism, showcasing Sri Lanka's capability for large-scale, innovative cultural productions. • Reservations: Booking is managed via WhatsApp (+94 77 798 7030), reflecting the digital shift in the local ticketing and events market. 📈

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Product & Service Launches / Business Expansions

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Symphonic Fusion: WAYO and Gustav Mahler Orchestra Set for ‘Mathaka Thanu 2’ 🎻

Sri Lanka’s entertainment and creative arts sector marks a significant milestone with a unique fusion of pop and classical music. The event signals a sophisticated evolution in the local live performance industry, blending mass-market appeal with orchestral prestige. • Event Details: Scheduled for Saturday, 28 March 2026, at the Lionel Wendt Theatre. Due to high demand, the organizers have announced two sessions (3:30 p.m. and 7:30 p.m.). • Collaborators: Features the Gustav Mahler Orchestra of Colombo, pop ensemble WAYO, and the Ceylon Quartet. • Key Highlights: • Reimagining of timeless Sri Lankan pop hits through full Western classical arrangements. • Directed by Chief Conductor Maestro Srimal Weerasinghe with arrangements by Concertmaster Darshana Amarasinghe. • Economic Context: Such high-production events contribute to the growth of the creative economy and tourism, showcasing Sri Lanka's capability for large-scale, innovative cultural productions. • Reservations: Booking is managed via WhatsApp (+94 77 798 7030), reflecting the digital shift in the local ticketing and events market. 📈

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Dialog Expands 5G Network to 800+ Sites Nationwide 📈

• Digital Infrastructure: Dialog Axiata PLC has rapidly scaled its 5G coverage to over 800 live sites across 24 districts, marking the fastest 5G expansion in Sri Lanka's history. • Network Growth: The expansion follows the initial launch of 220 sites, now extending to key regions including Ratnapura, Badulla, Vavuniya, and Hambantota. • Connectivity & Adoption: The network currently serves over 1.5 million subscribers. To drive ICT engagement, Dialog has established 5G Experience Zones in Colombo and Kandy featuring AI and VR demonstrations. • Economic Context: This sustained investment in next-generation connectivity and telecommunications infrastructure aims to support enterprise innovation and inclusive national development. • Status: Expansion achieved within 3 months of commercial launch; based on official corporate data. _

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Porsche Centre Colombo Unveils New High-Tech Service Facility 📈

Eurocars (Pvt) Ltd, the authorized importer and a subsidiary of IWS Holdings, has officially opened a state-of-the-art service facility in Colombo. The center is built to Porsche’s global standards, specifically designed to support the transition toward electrified mobility in Sri Lanka. • Infrastructure & Capability: The workshop is fully equipped to handle the entire Porsche range, with a specialized focus on Battery Electric Vehicles (BEV) like the Taycan and Macan Electric, as well as Plug-in Hybrid Electric Vehicles (PHEV). • Technical Standards: The facility features Porsche PIWIS diagnostic systems, specialized EV high-voltage battery care, and dedicated service bays. All repairs are conducted by factory-trained high-voltage experts using only genuine parts. • Strategic Impact: This investment eliminates the need for overseas technical support for local owners, strengthening the automotive after-sales sector and supporting high-end premium mobility solutions in the country. • Global Recognition: Highlighting its operational excellence, Porsche Centre Colombo was recently named a recipient of the Porsche Aftersales World Challenge (PACE) for 2024 & 2025, ranking it among the brand's top-performing global service centers. • Services Offered: The facility is now open for routine maintenance, software updates, warranty repairs, and specialized diagnostics for all Porsche models currently on Sri Lankan roads.

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⚖️ CA Sri Lanka Launches Faculty of Business Law and Regulatory Compliance

The Institute of Chartered Accountants of Sri Lanka (CA Sri Lanka) has officially established the Faculty of Business Law and Regulatory Compliance to evolve the role of accountants from traditional finance to strategic guardians of corporate integrity. • Core Objectives: The faculty provides strategic direction for the CA Business School, focusing on building "legally aware" professionals capable of navigating complex governance and ethical compliance frameworks. • Strategic Pillars: The initiative is built upon four critical areas: • Business Law Integration • Regulatory Compliance Management • Financial Investigations • Dispute Resolution Expertise (including arbitration and mediation) • National Impact: By expanding expertise into alternative dispute resolution and legal proficiency, the faculty aims to reinforce transparency and public trust within the corporate Sri Lanka landscape. • Industry Context: CA Sri Lanka President Tishan Subasinghe noted that legal fluency is no longer optional, as the profession shifts beyond bookkeeping toward roles as trusted advisors in highly regulated environments. 📈

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Rs. 520m Apparel Training Complex Opens in Ratmalana 📈

The government has inaugurated a new three-storey multi-purpose facility at the Sri Lanka Institute of Textile & Apparel (SLITA) to bolster skills development within the export-oriented garment sector. • Investment Details: A total of Rs. 520 million was invested in the project, which commenced construction in 2024. • Key Facilities: The complex features a 150-computer CAD laboratory, an art and fashion studio, an auditorium, and a library to provide a modern learning environment for the textile & apparel industry. • Strategic Objective: Industry Minister Sunil Handunneththi stated the facility aims to reinforce the sector's supply chain and position Sri Lanka as a regional education hub for competitive garment manufacturing. • Economic Context: The apparel industry continues to serve as one of Sri Lanka’s primary sources of export revenue and a critical driver of national employment.

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MullenLowe Sri Lanka & Synapse VII Partner for Data-Driven Advertising 📈

• Overview: MullenLowe Group Sri Lanka has integrated Synapse VII’s advanced data analytics into its digital ecosystem. This collaboration aims to bridge the gap between daily digital content and long-term brand equity in Sri Lanka’s digital economy. • Strategic Focus: The partnership moves beyond short-term social media engagement metrics. It focuses on digital effectiveness and predictive diagnostics to identify media patterns that drive sustained business performance. • Expertise & Leadership: Led by Kevin Kulatilake (Managing Director, Synapse VII), the initiative brings UK-market experience—including performance leadership for global brands like Volkswagen Group and Unilever—to the local advertising and marketing sector. • Impact on Business: • Introduces a new benchmark for digital accountability. • Offers LoweDigital clients exclusive access to evidence-based strategies. • Shifts focus from traditional reporting to predictive growth trajectories. • Context: This move signals a maturing ICT/BPM and services landscape in Sri Lanka, prioritizing data-driven precision and measurable ROI for local and international brands.

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### Hayleys Mobility Launches Premium OMODA C9 PHEV 📈

Hayleys Mobility has expanded its premium automotive portfolio in Sri Lanka with the introduction of the OMODA C9 Plug-in Hybrid Electric Vehicle (PHEV), priced at Rs. 29.9 million. • Performance & Power: The SUV features a 1.5L DGI Turbo engine paired with a tri-motor all-wheel-drive system. It delivers a combined output of 395 kW and 650 Nm of torque, achieving 0–100 km/h in 4.9 seconds. • Range & Charging: Powered by a 34 kWh NCM battery, it offers a total driving range of 1,100 km and a pure electric range of 169 km (NEDC). Fast-charging capabilities (70 kW DC) allow a 30% to 80% charge in 25 minutes. • Technology & Safety: Equipped with Level 2 Advanced Driver Assistance Systems (ADAS), Automatic Parking Assist, and a Driver Monitoring System to enhance road safety. • Market Context: The launch signifies a push toward New Energy Vehicles (NEVs) within the transportation sector, offering a high-performance alternative to traditional internal combustion engines while catering to the luxury SUV segment.

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📈 WindForce PLC Secures 10 MW Battery Storage Project in Panadura

WindForce PLC has been awarded its 13th grid-scale Battery Energy Storage System (BESS) project, a significant step in strengthening Sri Lanka's renewable energy infrastructure. • Project Capacity: 10 MW / 40 MWh facility located in Panadura. • Investment: Approximately Rs. 1.73 billion to be financed via a mix of debt and equity. • Model: Build-Own-Operate (BOO) with a 15-year operational term. • Strategic Impact: The facility aims to enhance grid stability and manage peak demand, supporting the national transition toward sustainable energy. • Ownership: The project will be 100% owned by WindForce, expanding its dominant footprint in the local power & energy sector. The move reinforces the role of the utilities sector in driving national energy security through advanced storage technology.

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SL to Fast-Track Trincomalee Oil Tank Farm Redevelopment 📈

Sri Lanka is accelerating the restoration of the World War II-era Trincomalee oil tank farm to secure a long-term solution for the national energy crisis and fuel distribution challenges. • Strategic Partnership: The project is being developed as a regional energy hub with backing from India and the United Arab Emirates (UAE), following a tripartite MoU signed in April 2025. • Current Status: The Energy Ministry is currently reviewing technical aspects of a submitted concept proposal before moving the project to the formal tender stage. • Economic Impact: Billed as a "permanent solution" to volatile global supply chains, the redevelopment aims to stabilize energy costs and enhance storage capacity in the eastern district. • Policy Shift: The move signals a pragmatic pivot by the current administration, prioritizing infrastructure diversification and regional cooperation despite previous political opposition to foreign involvement in the site. _Note: Based on recent ministerial statements and provisional project proposals._

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### HNB Launches 'The Happiness Card' Campaign for Avurudu 2026 📈

HNB PLC has rebranded its card proposition as 'The Happiness Card,' timed with the upcoming Avurudu (Sinhala and Tamil New Year) season to enhance consumer purchasing power through flexible financing and extensive retail partnerships. • Seasonal Offers & Savings: The campaign features discounts of up to 70% across a network of over 300 merchant partners. Key focus areas include apparel, supermarkets, electronics, home appliances, and wellness. • Flexible Payment Solutions: To support high-value household and lifestyle purchases, the bank is offering 0% interest installment plans for up to 48 months. Standard repayment tenors of 3, 6, 12, 24, and 36 months are also available to improve affordability. • Sector Diversification: Benefits extend beyond traditional retail into travel & leisure, dining, and solar energy solutions, reflecting a shift toward sustainable and experiential consumer spending. • High-Value Incentives: As a premium highlight, HNB Visa Club Infinite cardholders can enter a draw to win a three-day trip for two to the USA for the FIFA World Cup 2026 Finals. _Note: Information based on campaign launch data as of March 23, 2026._

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### 📈 DFCC Bank Launches Avurudu 2026 Card Campaign to Ease Seasonal Spending

Amidst rising living costs, DFCC Bank has introduced "The most rewarding swipe of the Avurudu" to support household liquidity during the Sinhala and Tamil New Year. • Key Financial Incentives: Savings of up to 70% at leading merchants across retail, dining, and travel sectors. Cashback of up to 3% on eligible transactions to offset seasonal expenses. 0% Easy Payment Plans (EPP) extending up to 48 months for high-value purchases. • Sector Focus & Consumer Impact: Targeted spending categories include clothing, home-related goods, and festive gifting. Designed to facilitate consumer spending while providing budgetary flexibility through debt restructuring at the point of sale. • Security & Digital Integration: Support for secure contactless and online transactions with integrated fraud protection. Real-time transaction visibility via digital banking platforms to enhance financial monitoring during high-expenditure periods.

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Sampath Bank & Apartner Digitise Condominium Payments 📈

• The Partnership: Sampath Bank PLC has partnered with Apartner Ltd to introduce a secure, real-time digital payment and settlement framework for Sri Lanka’s expanding real estate and condominium sector. • Technology Integration: The system integrates Visa’s Cybersource payment gateway with Sampath Bank’s API Manager. This allows for seamless digital collection, instant outward settlements, and automated reconciliations for apartment management. • Key Benefits: Operational Efficiency: Eliminates manual cash handling, paper receipts, and delayed reconciliations for management corporations. Resident Convenience: Residents can now settle maintenance fees and other charges digitally through the Apartner platform, which already manages visitor access and facility bookings. Financial Transparency: Provides real-time visibility into cash flows, improving payment discipline and reducing operational friction within residential communities. • Market Reach: The solution is already being utilised by premier developments, including Havelock City, Capitol Twin Peaks, Trillium, and John Keells Properties. • National Context: This move supports Sri Lanka’s broader push toward a cashless economy and modernises the financial infrastructure supporting urban living and the ICT/digital services landscape.

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Economic News

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📈 ADB Launches Emergency Support for Sri Lanka & Asia Amid Mideast Crisis

The Asian Development Bank (ADB) has announced a rapid financial package to mitigate economic shocks from the Middle East conflict, specifically targeting energy volatility and supply chain disruptions affecting member countries like Sri Lanka. • Key Financial Tools: Deployment of "fast-disbursing" budget support via the Countercyclical Support Facility to stabilize fiscal pressures and protect vulnerable populations. • Trade & Energy Security: Reactivation of the Trade and Supply Chain Finance Program (TSCFP) to secure imports of oil, fertilizers, and food, acknowledging the surge in global prices. • Economic Impact: ADB analysis highlights rising shipping costs, delivery delays, and risks to agriculture and industrial inputs (petrochemicals). • Sector Vulnerabilities: Specific focus on stabilizing remittance-dependent and tourism sectors, which face compounding risks from regional instability. • Macroeconomic Focus: Measures aim to curb inflationary pressures, manage currency volatility, and maintain external account balances during this period of global uncertainty.

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### 📈 APAC Sovereigns Face Credit Risks Amid Prolonged Iran Conflict

Fitch Ratings warns of significant downside risks for Asia-Pacific sovereign credit profiles due to high reliance on imported energy and potential disruptions in the Strait of Hormuz. • Economic Impact: A shift to an adverse scenario—where oil averages USD 128/bbl in Q2 2026—would trigger negative terms-of-trade shocks, hurting growth and public finances across South and Southeast Asia. • Energy & Supply Chains: Beyond crude and LNG, disruptions threaten petrochemical feedstocks and fertilisers. Producers are already cutting operating rates, which could spike food prices and inflation. • Sector Vulnerabilities: Agriculture: Reduced fertiliser availability and high costs pose food security risks, particularly for frontier markets with limited fiscal buffers. Industrial/Manufacturing: Supply chain frictions are forcing some Asian petrochemical firms to declare force majeure. • Fiscal Strain: Median government debt/GDP is projected at 50% for 2026. Increased subsidies for fuel and electricity to dampen social tension would further delay fiscal consolidation. • Regional Exposure: Net importers like India and Pakistan face the sharpest deterioration in external balances. While Australia and Malaysia may see higher export receipts, the overall credit impact remains negative due to broader inflation-growth trade-offs.

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Middle East Conflict Triggers "External Shock" to SL Economy 📈

A significant escalation in the US-Israel-Iran conflict has placed the Sri Lankan economy under severe pressure, highlighting the nation's high vulnerability to global energy and trade disruptions. • Overall Impact: Analysts warn of immediate threats to fuel prices, tea and apparel exports, and remittances from the Middle East. The conflict affects the Strait of Hormuz and Suez Canal, critical bottlenecks for global supply chains. • Energy & Transport: Sri Lanka remains heavily dependent on imported fossil fuels, with the 2024 import bill reaching approx. US$ 4.00 Bn. The transport sector alone accounts for roughly 24% of total import expenditure. • Sector Focus: • Agriculture: Currently hindered by low productivity and post-harvest losses; experts urge a shift from subsistence to a commercial, research-driven model. • Manufacturing: Government aims to transition to a "production economy" to substitute imports with locally made goods and increase value addition. • Renewable Energy: Calls to bypass bureaucratic hurdles to harness solar and wind power, reducing the US$ 4.00 Bn annual drain on foreign reserves. • Strategic Outlook: Based on provisional analysis, the government is urged to move beyond "external shock" excuses by facilitating SMEs and large-scale entrepreneurs through a "one-stop shop" for clearances and infrastructure.

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Headline: Sri Lanka Positions as a Neutral Safe Haven Amid Global Geopolitical Shocks 📈

With rising tensions in the Middle East and the South China Sea, Sri Lanka is urged to pivot from reacting to crises to strategically capturing shifting global capital. • Strategic Outlook: The global "reorganization of risk" presents a rare window for Sri Lanka to offer stability. Key opportunities lie in moving beyond traditional models to attract investors fleeing high-risk zones. • Sector Opportunities: • Port City Colombo: Must transition from a real estate project to a liberalized financial zone for global HQs seeking neutral bases. • ICT/BPM & Tech: Potential to attract global cloud providers (AWS, Microsoft) by offering political neutrality and strategic Indian Ocean connectivity. • Education: Opportunity to emerge as a regional hub for international students prioritizing safety and affordability. • Logistics: Leveraging geography to function as a primary transshipment hub as traditional routes face disruption. • Critical Weaknesses: • Energy: High dependence on imports remains a "strategic vulnerability." Resilience through solar, nuclear, and potential offshore oil/gas (Mannar to Panadura) is essential for hub status. • Execution: Growth is hindered by bureaucracy and policy reversals. Building macroeconomic credibility and improving the ease of doing business are non-negotiable for long-term investment. Summary: Sri Lanka possesses the fundamentals of neutrality and geography, but must act with urgency to ensure these advantages are not lost to more decisive regional competitors.

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National Inflation Slumps to 1.6% in Feb 2026 📈

Sri Lanka’s National Consumer Price Index (NCPI) indicates a significant deceleration in headline inflation for February 2026, driven largely by a sharp decline in food prices. • Overall Inflation: Year-on-Year (YoY) inflation fell to 1.6% in February 2026, down from 2.4% in January 2026. • Food Sector: The YoY inflation for the food group saw a major drop to 1.1% in February, compared to 3.4% in the previous month. This easing provides significant relief for household consumption and the retail sector. • Non-Food Sector: Conversely, YoY inflation for the non-food group edged upward to 1.9% in February from 1.6% in January, reflecting slight price pressures in services and industrial goods. • Economic Context: The data suggests a cooling of the overall price level, primarily influenced by volatile food supply chains, while non-food costs remain relatively stable. _Note: Summary based on provisional NCPI data._

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### 📈 ADB President Arrives for Strategic Economic & Disaster Assessment

Asian Development Bank (ADB) President Masato Kanda has commenced a three-day official visit to Sri Lanka (March 23–25, 2026) to strengthen bilateral cooperation and evaluate climate-related damages. • Key Engagements: Maritime & Infrastructure: Toured the Colombo Port control tower, highlighting the sector's role in the national economy. High-Level Talks: Scheduled meeting with President Anura Kumara Dissanayake to discuss economic recovery and development financing. Private Sector: Consultations with business leaders and the ADB Sri Lanka Resident Mission. • Disaster Assessment: Focus on areas impacted by Cyclone "Ditwah," specifically Aranayaka and Ambalankanda in the Kegalle District. The mission includes both aerial and ground inspections to facilitate resilient infrastructure planning. • Economic Context: The visit underscores the ADB’s commitment to Sri Lanka’s recovery phase, focusing on sustainable development and addressing climate vulnerabilities that threaten long-term stability. The delegation includes senior officials from the South Asia Regional Department to streamline future funding and technical support.

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📈 Fuel Subsidy Benefits Skewed Toward Top 30% Income Cohort

Advocata Institute CEO Dhananath Fernando warns that Sri Lanka’s current fuel pricing and rationing are unsustainable, highlighting a significant imbalance in national consumption. • Consumption Patterns: The top 30% of income earners consume 70% of total fuel, while the poorest 70% of the population account for only 30% of consumption. • Pricing Gap: Despite a recent 25% price hike due to Middle East tensions, prices remain below cost-reflective levels. Based on provisional data, petrol may need an additional Rs. 100/litre increase and diesel Rs. 200/litre to match market conditions. • Policy Recommendations: • Move beyond QR-based rationing toward market-driven price signals. • Remove price caps to encourage the 40 private companies newly licensed to import fuel. • Implement targeted social safety nets for vulnerable segments rather than broad subsidies. • Economic Risks: Failure to adjust could lead to broader strain on the balance of payments, tourism disruptions, and rising costs for the export sector.

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Debt Path Risks & Rising Reserve Targets Amid Geopolitical Tensions 📈

Economist Talal Rafi warns that Middle East instability could complicate Sri Lanka’s debt sustainability as the country faces higher external buffer requirements under IMF targets. • Debt & Reserves: Gross Official Reserves are projected to jump from US$ 8.9 Bn in 2026 to US$ 13.4 Bn by end-2027. Annual external debt servicing is expected to rise from US$ 2 Bn to US$ 3 Bn as bilateral repayments resume from 2028. • Market Return: Sri Lanka aims to return to international capital markets with a US$ 1.5 Bn International Sovereign Bond (ISB) issuance in 2027, followed by another in 2028. • Energy & Fiscal Pressure: The country spends approximately US$ 4.5 Bn annually on oil imports, effectively offsetting a significant portion of foreign exchange earnings. Transitioning toward renewable energy is highlighted as critical for long-term energy independence and fiscal stability. • Emerging Opportunities: Geopolitical risks in the Middle East have created demand for alternative ICT/BPM and data centre hubs. While 20% of global investment is shifting to data infrastructure, Sri Lanka requires structural reforms and a reliable electricity supply to capture this market. _Note: Projections based on current IMF program targets and economist analysis._

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Govt. Monthly Fuel Subsidy Hits Rs. 20 Bn Amid Global Spikes 📈

The Sri Lankan government is currently absorbing a monthly loss of Rs. 20 billion to subsidize fuel costs, despite recent price revisions. Cabinet Spokesman Dr. Nalinda Jayatissa confirmed the state continues to shield consumers from the full impact of volatile global markets. • Subsidy Breakdown The state subsidizes diesel by Rs. 100 per litre. Petrol receives a subsidy of Rs. 20 per litre. Total potential economic burden without price adjustments estimated at US$ 1.5 Bn. • Global Market Volatility (Feb 28 – Mar 20) Petrol prices rose by 89% (up US$ 70.98). Diesel prices surged by 141% (up US$ 129.76). Crude oil increased by 92% (up US$ 66.35). Import premiums for diesel have spiked by up to 57%. • Supply & Infrastructure Local refining covers 30% of diesel and 20-25% of petrol demand. A 37,000-ton diesel shipment is due on March 25, with further consignments scheduled through mid-April. An April crude oil shipment has been cancelled and rescheduled for June. • Economic Strategy Focus is on preserving foreign reserves and exchange rate stability to prevent the dollar from reaching "uncontrollable levels." The Treasury is shifting toward targeted welfare support rather than unsustainable universal subsidies. The government is advocating for "mindful usage" of energy as a civic responsibility ahead of the festive season. _Note: Figures based on provisional data and current global market trends._

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⛽ Govt. Expands Fuel Quotas & Probes QR System Misuse

The government has increased fuel quotas under the national QR-based allocation scheme while simultaneously launching a crackdown on fraudulent activity and hoarding. • Registration & Usage: A total of 5,995,365 individuals are now registered for the system, reflecting a recent surge of nearly 2 million new users. • Enforcement & Investigations: Authorities have identified 153 mobile numbers suspected of exploiting the digital system. Ongoing Police raids are targeting the illegal storage of fuel to ensure equitable distribution. • Supply Logistics: The Ceylon Petroleum Corporation (CPC) distributed 1,511,400 litres of fuel yesterday via the Kolonnawa and Sapugaskanda terminals to maintain a steady countrywide supply. • Public Sector Conservation: Ministry Secretaries have been directed to implement energy-saving measures within the public sector to manage resources during this period of economic strain. • Economic Context: Despite the expanded quotas, the government has urged restraint in consumption due to global supply disruptions and logistical pressures affecting the energy sector.

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Fuel Hike Expected to Drive Up Living Costs 📈

SJB MP S.M. Marikkar has warned that the recent fuel price increase will trigger a broad rise in the cost of goods and services across Sri Lanka, primarily driven by escalating transport and operational expenses. • Key Economic Impacts: Logistics & Distribution: Rising fuel costs are expected to increase the retail prices of staple items, specifically rice, as transport overheads are passed to consumers. Fisheries Sector: Operating costs for fishing vessels are set to rise, likely leading to a price hike in seafood and related proteins. Service Sector: The broader services industry faces inflationary pressure due to the interconnected nature of energy costs. • National Context: The MP highlighted that these increases dampen public expectations for economic relief, emphasizing the sensitivity of domestic trade and food security to energy price volatility.

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Middle East Conflict to Impact Banking Sector Earnings 📈

CT Smith Securities has warned that a prolonged Middle East conflict poses significant risks to Sri Lanka's banking sector, primarily through reduced non-interest income. • Impact on Income Streams: Remittances: Expected to weaken due to heavy reliance on inflows from the Middle East. Trade Finance: Income from Letters of Credit (LCs) is under pressure as global supply chain disruptions intensify. • Monetary Policy & Inflation: Potential inflation uptick may delay Central Bank (CBSL) policy rate reductions. Market interest rates may rise in the short term despite current liquidity. • Economic Outlook: CBSL has modeled various impact scenarios but has not disclosed details. Official briefing provided to the Parliamentary Committee on Public Finance (CoPF). • Upcoming Event: The Central Bank of Sri Lanka will release its second Monetary Policy Review for 2026 this Wednesday, March 25. _Note: Analysis based on provisional sector updates and official statements as of March 23, 2026._

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Market News

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📈 Colombo Bourse Surges Over 3% in Broad-Based Rally

The Colombo Stock Exchange (CSE) witnessed a significant upswing on Tuesday, March 24, 2026, driven by strong investor sentiment and widespread gains across the board. • Market Performance Overview: The All Share Price Index (ASPI) climbed by 706.26 points (+3.47%) to close at 21,071.23. The S&P SL20 Index, tracking blue-chip stocks, rose by 222.41 points (+3.91%) to settle at 5,909.23. • Market Breath & Sentiment: The rally was exceptionally broad-based, with share prices of 228 companies advancing against only 11 decliners. • Turnover & Investor Activity: Total daily turnover reached Rs. 4.21 Billion. • Domestic Participation: Local investors dominated the session with purchases of Rs. 4.16 Bn and sales of Rs. 3.55 Bn. • Foreign Participation: Foreigners remained net sellers, with purchases totaling Rs. 47 Mn against sales of Rs. 661 Mn. The session reflects a robust recovery in banking, diversified financials, and manufacturing interests, signaling renewed domestic confidence in the national economic trajectory.

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CSE Slumps 1.33% as Middle East Tensions Weigh on Market Sentiment 📉

The Colombo Stock Exchange started the week in red, driven by escalating Middle East conflict concerns and global supply chain disruptions. The market has lost over Rs. 1.1 trillion in value since late February 2026. • Market Indices: The ASPI dropped 1.33% (274.76 points) to close at 20,364.97, while the S&P SL20 fell 1.14% to 5,686.82. • Trading Volume: Market turnover recorded a low US$ 7.28 Mn (Rs. 2.37 Bn) with 96.2 million shares traded. • Sector Performance: The Capital Goods sector led turnover (29%), followed by Banking and Diversified Financials (27%). • Key Decliners: Major negative contributors included JKH, DOCK, RIL, DIAL, and CFIN. Market breadth was heavily negative (209 losers vs. 39 gainers). • Investor Activity: Foreign investors remained net sellers with a net outflow of Rs. 118.1 Mn. High-net-worth and retail participation remained below average due to rising crude oil prices and domestic energy supply uncertainties.

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📈 Asia-Pacific Markets Plunge on US-Iran Energy Ultimatum

Global markets are reeling following US President Donald Trump’s threat to "obliterate" Iran's energy infrastructure if the Strait of Hormuz is not reopened within 48 hours. The escalating conflict has triggered a sharp sell-off across major indices and spiked energy volatility. • Market Performance Overview: Japan’s Nikkei 225: 📉 Down 4.0% South Korea’s KOSPI: 📉 Down 4.5% Hong Kong’s Hang Seng: Down ~2.0% Australia (ASX 200) & NZ (NZX 50): Down 1.6% and 1.3% respectively. • Energy & Commodity Impact: Brent Crude: Surged above US$ 114 per barrel before settling near US$ 112. Oil prices have climbed over 50% since the conflict began on February 28. Analysts warn of a "cascading global energy crisis," with projections suggesting oil could hit US$ 150–200 per barrel if the blockade persists. • Economic Context: The Strait of Hormuz is a critical chokepoint for one-fifth of global oil and gas exports. For Sri Lanka, a sustained spike in global energy prices typically pressures foreign reserves, increases transportation costs, and impacts the manufacturing sector due to higher thermal power costs. • Geopolitical Status: Iran has threatened retaliatory strikes on regional energy and water infrastructure and a total closure of the waterway, which currently only sees limited transit by Chinese, Indian, and Pakistani vessels.

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Asian Currencies Falter as South Korean Won Hits 17-Year Low 📉

Asian markets faced significant downward pressure on Monday as geopolitical volatility in the Middle East drove a broad strengthening of the US dollar. • Regional Overview: Major currencies across Asia hit historic or multi-year lows, driven by concerns over energy costs and capital outflows, though some resilience was noted in Southeast Asian hubs. • Key Market Decliners: South Korean Won: Fell to 1,517.3 per dollar, its weakest level since the 2009 global financial crisis. Indonesian Rupiah: Hovered near the critical 17,000 level despite active policy support. Indian Rupee & Philippine Peso: Both touched record lows before central bank interventions provided temporary stability. Thai Baht: Faced bearish sentiment linked to rising fuel costs and potential impacts on tourism and the current account. • Resilient Performers: Singapore Dollar: Maintained stability within its existing policy band. Chinese Yuan & Malaysian Ringgit: Showed relative strength, bolstered by domestic economic signals and proactive policy measures. _Note: Market sentiment remains sensitive to Middle Eastern developments and central bank intervention strategies._

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SL Bond Yields See-Saw Amid Mideast De-escalation & Oil Price Drop 📈

The secondary bond market experienced a volatile start to the week, initially trending bearish before recovering late in the session following shifts in global energy markets. • Bond Market Performance: Yields rose early in the day due to geopolitical tensions, but saw a recovery (lower quotes) toward the close. This shift followed a 10% plunge in Brent crude to approximately US$ 100 per barrel after U.S. signals of de-escalation in the Middle East. • Key Yield Ranges: • 2027-2028 Maturities: Traded between 8.57% – 9.70%. • 2029-2030 Maturities: Significant activity seen between 9.85% – 10.22%. • Long-term (2034): Traded higher in the 11.12% – 11.23% range. • Market Liquidity: The total secondary market volume for treasury bonds/bills reached Rs. 23.63 Bn. Money markets recorded a net liquidity surplus of Rs. 240.27 Bn, with the Central Bank draining Rs. 87 Bn via overnight Repo at 7.59%. • Currency Watch: The Sri Lankan Rupee (LKR) depreciated further against the US Dollar, closing at Rs. 313.00/314.00 compared to the previous close of Rs. 311.85/312.00. Total USD/LKR traded volume stood at US$ 62.28 Mn. _Note: Based on provisional market data from Wealth Trust Securities and CBSL._

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📈 Global Oil Prices Plunge 13% as Geopolitical Tensions Ease

Global Markets: Crude oil prices saw a sharp decline on Monday following U.S. President Donald Trump's decision to postpone military strikes on Iranian energy infrastructure and power plants. Price Benchmarks: • Brent crude futures dropped approximately $17 (15%), hitting a session low of US$ 96.00 per barrel. • U.S. West Texas Intermediate (WTI) fell by $13 (13.5%), reaching a session low of US$ 85.28 per barrel. National Context: For Sri Lanka, a sustained drop in global oil prices is critical for reducing energy costs and easing pressure on foreign exchange reserves. Lower fuel prices typically support the transportation and manufacturing sectors, helping to manage domestic inflation. _Data based on reports from 23 March 2026._

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📈 Global Energy Shock: Asia Markets Slide as Gulf Conflict Escalates

Regional markets plummeted on Monday as rising geopolitical tensions in the Gulf sent oil prices on a volatile trajectory, severely impacting net energy importers across Asia. • Market Performance Japan’s Nikkei fell 3.8% (down 13% in March), while South Korea’s market dropped 5.2%. MSCI’s Asia-Pacific index (ex-Japan) shed 2.5%; Chinese blue chips declined 1.9%. U.S. 10-year Treasury yields hit an eight-month peak of 4.4150% as inflation fears mount. • Energy & Commodities Brent crude rose to US$ 112.62/barrel, marking a 55% increase this month. Singapore jet fuel has surged 175% this year, while Asian LNG climbed 130%. Bunker fuel price spikes are driving up shipping & logistics costs, while rising fertilizer prices threaten global food security. • Economic Outlook Markets have abandoned hopes for monetary easing, now pricing in potential rate hikes to combat the energy-led inflationary pulse. The crisis is described by the IEA as potentially more severe than the combined oil shocks of the 1970s. High energy costs and rising yields are clouding corporate profit outlooks and pressuring fiscal budgets globally. • Currency & Gold The US$ remains a dominant store of liquidity, benefiting from the U.S. status as a net energy exporter. Gold slipped 2.6% to US$ 4,371/oz as investors pivot toward expectations of higher global interest rates.

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## CSE Slumps 4.85% Weekly Amid Middle East Crisis 📉

The Colombo stock market faced a volatile week as geopolitical tensions continue to erode investor sentiment, despite a minor recovery during the final session. • Market Performance ASPI dropped 4.85% (1,052.82 points) to close at 20,639.73. S&P SL20 (blue-chip index) declined 5.46% (332.46 points). Total market value loss of Rs. 1.06 trillion since the Middle East conflict began on Feb 28. • Sector & Trading Activity Capital Goods led daily turnover (42%), followed by Banking and Insurance (25%). Investors engaged in bargain hunting within the Banking sector. Top positive contributors included SAMP, HAYL, JKH, DOCK, and MELS. • Investor Sentiment Foreign investors remained net sellers with a net outflow of Rs. 783 million. High-Net-Worth (HNW) activity was elevated, specifically in JKH (Rs. 628 million in crossings), while retail participation remained subdued. Daily turnover reached Rs. 4.4 billion, supported by easing global oil prices. _Note: Summary based on provisional market data as of March 21, 2026._

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Global Markets Update: Oil Retreats from $119 Peak Amid Iran Conflict 📈

Global markets remain volatile as energy prices react to escalating tensions in the Middle East following strikes on Gulf infrastructure. • Energy & Commodities • Brent Crude fell 0.4% to US$ 108.19/bbl, pulling back from a session high of US$ 119. • US Crude (WTI) declined 1.2% to US$ 94.40/bbl. • Safe-haven assets saw gains: Gold rose 1.8% to US$ 4,688.50/oz, while Silver climbed 1.3%. • Global Equity Markets • Asian Markets: Mostly lower; Hong Kong’s Hang Seng dropped 1%, and China’s Shanghai Composite fell 1.2%. India’s Sensex bucked the trend, gaining 1%. • Wall Street: US indices closed in the red; the S&P 500 slipped 0.3% and the Dow Jones fell 0.4%. • Currency Trends • The US Dollar strengthened against the Yen (158.37), while the Euro weakened slightly to $1.1570. The retreat in oil prices provides a slight breather for oil-importing nations like Sri Lanka, though sustained high prices near the US$ 110 mark continue to pose risks to transportation and manufacturing costs. Based on provisional market data (March 21, 2026).

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📈 Global Oil Prices Retreat Amid De-escalation & Supply Boost

Oil prices softened on Friday as international efforts to secure the Strait of Hormuz and U.S. measures to increase supply eased supply chain anxieties. This provides a potential cooling effect on global energy costs, critical for Sri Lanka’s fuel imports and inflation management. • Price Movements: Brent futures fell 1.3% to $107.29/bbl, while WTI dropped 2.0% to $94.22/bbl. Despite the daily dip, Brent remains on track for a nearly 4% weekly gain following recent geopolitical tensions in the Gulf. • Supply & Logistics: Strait of Hormuz: European nations and Japan have committed to ensuring safe passage through this chokepoint, which handles 20% of global oil and LNG. U.S. Interventions: The U.S. may remove sanctions on stranded Iranian oil and consider further Strategic Petroleum Reserve releases. Production: North Dakota's output is expected to rise as inactive wells restart, adding further downward pressure on prices. • Market Outlook: Analysts suggest that while "war premiums" are unwinding due to diplomatic engagement, the market remains sensitive. Any fresh hits to energy infrastructure or tanker routes could quickly reverse these gains. _Source: Reuters (Provisional Data)_ ---

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📈 Yields Surge Across Secondary Bond Market Amid Global Risks

The secondary bond market saw a sharp upward trend yesterday, with yields spiking by 20–30 basis points across the curve. This shift was triggered by a deterioration in global risk sentiment following a surge in Brent crude to nearly US$ 117 per barrel and heightened geopolitical tensions in the Middle East. • Secondary Bond Market Performance: Selling pressure was broad-based across all maturities, though buying interest at higher yield levels eventually capped the rise. • 2027 Maturity: Traded between 8.55%–8.60%. • 2029 Maturities: Range expanded significantly to 9.70%–10.10%. • 2034 Maturities: Reached highs of 10.95%–11.12%. • Total Transacted Volume (18 March): Rs. 51.91 Bn. • Money Market & Liquidity: • Net Liquidity Surplus: Recorded at Rs. 283.00 Bn. • Central Bank Intervention: The DOD drained Rs. 100.00 Bn to manage excess liquidity. • Overnight Rates: Call money and Repo weighted averages stood at 7.58% and 7.60% respectively. • Forex Market: The USD/LKR spot exchange rate closed slightly weaker at 311.50/311.65, compared to the previous close of 311.30/311.50. The total traded volume for the day was US$ 38.45 Mn. _Note: Market sentiment remains sensitive to global energy prices and central bank inflation warnings._

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📈 Oil Surges 3% Following Iranian Strikes on Mideast Energy Hubs

Global oil benchmarks spiked on Thursday as geopolitical tensions escalated following Iranian attacks on several key energy facilities in the Middle East, including major sites in Qatar, Saudi Arabia, and the UAE. • Price Movements: Brent futures rose by 3.44% (US$ 3.69) to US$ 111.07 per barrel. U.S. West Texas Intermediate (WTI) increased by 2.38% (US$ 2.29) to US$ 98.61. WTI continues to trade at its widest discount to Brent in 11 years. • Sector Impact & Infrastructure: QatarEnergy reported "extensive damage" to the Ras Laffan LNG hub. In the UAE, operations at the Habshan gas facilities and Bab oil field were partially shut. Saudi Arabia intercepted four ballistic missiles targeting Riyadh and a drone strike on a gas facility. • Regional Context: The escalation follows strikes on Iran’s South Pars gas field. With no immediate signs of de-escalation or the reopening of the Strait of Hormuz, market analysts expect prices to remain supported by high risk premiums. • Economic Outlook: For Sri Lanka, sustained high global oil prices typically exert pressure on foreign exchange reserves and domestic energy costs, impacting the transportation and manufacturing sectors. The U.S. is reportedly considering troop deployments to secure oil tanker passage through the region.

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Awards & Recognitions

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### 📈 Union Assurance Secures Triple Honors at TAGS Awards 2025

Union Assurance PLC, a subsidiary of John Keells Holdings, was recognized for excellence in corporate reporting at the 60th anniversary of the TAGS Awards organized by CA Sri Lanka. The awards highlight the company’s commitment to Transparency, Accountability, Governance, and Sustainability. • Key Accolades (2024 Annual Report): Bronze Award: Insurance Companies sector (Gross Premium > LKR 10 Bn). Certificate of Recognition: Integrated Reporting (linking strategy to value). Certificate of Recognition: Corporate Governance Disclosure. • Financial Footprint (as of Dec 2025): Market Capitalization: Rs. 45.6 Bn. Life Fund: Rs. 92.8 Bn. Workforce: 3,000+ employees across an island-wide network. • Economic Impact: As a major player in the Life Insurance sector, the company’s focus on governance and integrated reporting reflects high standards within the financial services industry, supporting investor confidence in the Colombo Stock Exchange (CSE).

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🏛️ Ceylon Chamber of Commerce Marks 187 Years of Economic Stewardship

The Ceylon Chamber of Commerce celebrates its 187th anniversary on March 25, 2026, reinforcing its role as a cornerstone of Sri Lanka’s private sector and economic policy advocacy. • Legacy & Strategy: Founded in 1839, the Chamber remains focused on "putting Sri Lanka first," navigating shifting global geopolitical dynamics and economic uncertainty to ensure national competitiveness. • Recent Impact: Over the past year, the institution spearheaded public-private stakeholder engagements to facilitate economic recovery, enhance market access, and stabilize the business environment. • Future Focus: Key priorities include building resilient businesses, driving innovation, and deepening Sri Lanka’s integration into global markets to expand opportunities for local enterprises. • Core Functions: The Chamber continues to lead in policy advocacy and providing the necessary framework for SMEs and large corporates to scale within a volatile global landscape.

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HNB’s Damith Pallewatte Named ‘Bank CEO of the Year 2025’ 📈

HNB Managing Director/CEO Damith Pallewatte has been honored by the Global CEO Forum for leadership excellence, following a record-breaking financial year for Sri Lanka’s largest private sector retail bank. • Financial Performance (FY2025): Banking Sector Strength: Bank PAT reached Rs 45.4 Bn, while Group PAT stood at Rs 49.8 Bn. Asset Base: Expanded to Rs 2.39 Tn as of December 2025. Lending & Deposits: Gross loans exceeded Rs 1.5 Tn; deposits crossed Rs 2.0 Tn. • Strategic Focus: Emphasis on MSMEs and financial inclusion via initiatives like Gami Pubuduwa to integrate grassroots businesses into export value chains. Prioritization of digital innovation and risk governance to drive a 5-year growth strategy. Maintained capital and liquidity buffers above regulatory minimums despite aggressive loan book expansion. • Operational Excellence: Achieved ISO 22301:2019 certification for Business Continuity Management. Award recognizes Pallewatte’s role in navigating wholesale banking and risk management since his appointment in 2024.

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Shehara De Silva Named to EY Asia-Pacific Winning Women Class of 2026 📈

• Overview: McLarens Group Managing Director, Shehara De Silva, has been selected as one of 23 female leaders for the 2026 EY Entrepreneurial Winning Women (EWW) Asia-Pacific cohort. • The Program: A bespoke executive initiative by Ernst & Young (EY) designed to scale high-potential, women-led businesses internationally through strategic insights and global networks. The community now connects 1,000+ women across 60+ markets. • Candidate Profile: • Leads the McLarens Group, a diversified conglomerate with 45+ companies spanning shipping, logistics, bunkering, manufacturing, and hospitality. • Academic background from LSE and CASS Business School with international experience in Singapore and Dubai. • Founding President of WISTA Sri Lanka and the first female Chairperson of CASA. • Economic Impact: The selection highlights Sri Lanka's leadership in the maritime & logistics and industrial sectors on a regional stage. De Silva is recognized for driving modernization, system upgrades, and workplace reform within the group. • Strategic Value: Participation provides access to mentorship and global advisors to accelerate growth and build long-term value, reinforcing EY Sri Lanka's commitment to empowering visionary female entrepreneurs. _Source: Based on announcements from EY Sri Lanka/Maldives dated March 23, 2026._

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📈 Deloitte Sri Lanka Tax Leader Charmaine Tillekeratne Named ‘Highly Regarded Women in Tax’ for 2026

• Recognition: Deloitte Sri Lanka and Maldives Partner – Head of Tax, Charmaine Tillekeratne, has been recognized as a Highly Regarded Women in Tax Leader – Asia Pacific for 2026 by the International Tax Review (ITR) World Tax Guide. • Evaluation Criteria: The ranking is based on technical expertise, client feedback, and the ability to navigate complex, high-impact tax matters across multiple jurisdictions. • Sector Impact: Tillekeratne leads the tax practice, advising local and multinational clients on corporate tax, international tax, transfer pricing, and regulatory compliance. Her role is pivotal in helping organizations manage risk and sustainable growth within Sri Lanka's evolving regulatory landscape. • Firm Performance: This individual accolade coincides with Deloitte Sri Lanka’s inclusion in the ITR World Tax 2026 firm rankings, reinforcing its position in the professional services and tax advisory sector. • National Context: The recognition highlights the strength of Sri Lanka’s ICT/BPM and professional services talent on a regional scale, emphasizing leadership excellence and global competitiveness in high-value consulting services.

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Lankadeepa Secures 20th Consecutive SLIM Kantar People’s Newspaper Award 🏆

• Key Achievement: Wijeya Newspapers’ flagship brand, Lankadeepa, was crowned the "People’s Newspaper of the Year" at the SLIM Kantar People’s Awards 2026. • Historic Milestone: This marks the 20th consecutive year the publication has secured this top honor, reinforcing its dominant position in the media and communications sector. • Industry Recognition: The award, based on public heartshare, was accepted by editors Ajantha Kumara Agalakada and Kanchana Dissanayake, alongside COO Janaka Rathnakumara. • Economic Context: The consistent performance of leading print titles highlights the ongoing influence of the publishing and advertising industry within Sri Lanka's domestic consumption market. 📈

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Sri Lankan Icons Nominated for Global Merit Poll 📈

Four Sri Lankan trailblazers have been featured in the Quarticentennial Merited Impacts Gazette (2000-2025), a prestigious global list recognizing 181 icons from a pool of 1.9 million profiles across 195 countries. • Overall Figures & Recognition: The "Impact Hallmarks (IH)" initiative uses a Merited Impact Value (MIV) methodology to identify individuals who have shaped humanity, knowledge, and social resilience over the first quarter of the 21st century. • Sri Lankan Nominees: Peace & Human Rights: Dr. Jehan Perera, recognized for long-term advocacy in inter-ethnic reconciliation. Science & Research: Prof. Chandra Wickramasinghe, cited for pioneering work in astrobiology and the cosmic origins of life. Environment & Marine Science: Dr. Asha de Vos, honored for her research on blue whales and promoting locally-led ocean conservation. Social Development: Dr. A.T. Ariyaratne (Sarvodaya Movement), recognized for empowering rural communities through grassroots action. • Regional Context: South Asian representation remains strong with nominees from India (e.g., Kailash Satyarthi), Pakistan (e.g., Dr. Muhammad Amjad Saqib), and Bangladesh (Prof. Muhammad Yunus). These figures highlight the region's influence in microfinance, healthcare innovation, and humanitarian aid, which are critical pillars for regional social stability. The international opinion poll, themed ‘The Mirror of Rectitude,’ is now open for global validation of these meritorious contributions.

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📈 HNB Crowned Sri Lanka’s Best Retail Bank for 16th Year

HNB PLC secured the "Best Retail Bank in Sri Lanka" title at the TAB Global Excellence in Retail Financial Services Awards 2026 in Shanghai, marking its 16th win. • Customer Base & Digital Adoption The bank serves over 2 million retail customers. Notably, nearly 80% are digitally active, highlighting a significant shift toward digital banking and technology-driven financial services in the banking & finance sector. • Market Leadership HNB maintains its position as the market leader in the leasing industry, retaining the largest market share. • Key Innovations The bank continues to drive financial inclusion and ICT/BPM integration through several "firsts": HNB Accept: A Tap-to-Phone solution for contactless merchant payments. World Elite Metal Mastercard: Sri Lanka’s first premium metal card. Expressway Toll System: Appointed as the exclusive partner for the nation's first card-based toll payment system. Trilingual App: Enhanced accessibility with a mobile banking platform available in Sinhala, Tamil, and English. • Economic Impact The award recognizes HNB’s role in supporting Sri Lanka’s economic progress through digital transformation and diversified retail products, including E-Cashback loans and streamlined credit facilities.

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Sampath Bank Named Runner-Up for Sustainability Reporting at ACCA Awards 2025 📈

• Sampath Bank PLC was recognized as the Runner-Up in the Banking Category at the ACCA Sustainability Reporting Awards 2025, held recently at Cinnamon Life, Colombo. • The award honors the Bank’s Integrated Annual Report 2024, highlighting its commitment to transparent ESG (Environmental, Social, and Governance) disclosures and responsible banking practices. • Key reporting strengths identified: • Integration of financial performance with environmental and social impact. • Alignment with global frameworks including GRI Standards, Integrated Reporting Framework, and TCFD. • Focus on sustainable financing and stakeholder engagement to drive long-term resilience. • Significance: The recognition reinforces the role of the banking sector in Sri Lanka's economic stability by embedding sustainability into risk management and strategic decision-making. • Note: The awards, organized by ACCA Sri Lanka since 2004, serve as a benchmark for corporate transparency and value creation within the national economy.

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📈 HNB Dominates at Effie Awards Sri Lanka 2026

HNB PLC has secured three major accolades at the Effie Awards Sri Lanka 2026, highlighting the bank’s leadership in effective and socially impactful marketing within the banking and financial services sector. • Performance Highlights: The bank was recognized for its strategic ability to drive tangible business results and measurable community impact through creative communication. • Award-Winning Campaign: The primary driver of this success was the "HNB Santa Brigade," a purpose-led Christmas initiative. • Economic & Social Impact: Focused on providing hearing aids to children with hearing impairments, blending brand purpose with social responsibility. Strengthened community engagement and customer relevance during the festive peak, a critical period for the retail banking sector. Demonstrated a shift in the marketing & communications landscape toward campaigns that balance brand growth with societal progress. • Strategic Outlook: The recognition underscores a trend in the Sri Lankan service economy where top-tier corporates are increasingly utilizing "strategic creativity" to enhance brand equity and drive inclusive growth.

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Ceylinco Life Secures Top Honors for 2024 Sustainability & Integrated Reporting 📈

• Ceylinco Life has earned two major awards for its 2024 Annual Report, titled "Beyond Insurance – A Promise for Life," marking its 10th year of integrated reporting. • Key Accolades: • ACCA Sri Lanka Sustainability Reporting Awards: Named Winner in the ‘Other Financial Services’ category for the second time, based on international sustainability benchmarks. • TAGS Awards 2025 (CA Sri Lanka): Ranked among the Top 10 Integrated Reports in Sri Lanka and received the Silver Award in the Insurance category (for entities with Gross Premium above Rs. 10 billion). • Reporting Standards: The report integrates SLFRS S1 and S2 standards for climate-related disclosures, emphasizing transparency, governance, and long-term value creation. • Economic Impact: The recognition highlights the insurance sector's shift toward global accountability standards, reflecting Ceylinco Life’s disciplined approach to sustainability and community-focused business practices.

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### 📈 Sri Lanka’s Santani Featured in $350,000 Oscars Gift Bag

• Overall Value: The 2026 "Everyone Wins" nominee gift bag, curated by Distinctive Assets, is valued at approximately US$ 350,000. It features ultra-luxury travel, wellness, and high-end consumer goods. • Sri Lankan Spotlight: Santani Wellness Kandy is included as a premier restorative retreat. Nominees such as Timothée Chalamet and Emma Stone received a 10-day wellness reset in Sri Lanka, positioning the island as a top-tier destination for wellness tourism. • Sector Impact: • Tourism & Hospitality: Inclusion alongside destinations like Ibiza and Costa Rica enhances Sri Lanka's brand equity in the high-net-worth segment. • Wellness & Services: Highlights the global competitiveness of Sri Lanka's wellness and restorative travel sector, a key area for foreign exchange diversification. • Key Comparisons & Logistics: • Duration: The Sri Lankan stay (10 days) is one of the longest individual experiences offered, compared to a 7-day stay at the famed Golden Door. • Recipients: Distributed to 25 top acting and directing nominees, providing high-profile organic marketing for the hospitality sector. • Selected Luxury Peer Group: • Travel: Essence of Dreams (Costa Rica), Hideout Villas (Arctic), and Can Nemo (Ibiza). • Consumer Goods: Tea Forté (Global tea branding), Japanese luxury luggage, and high-end Swiss skincare.

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Sustainability, ESG & Corporate Responsibility

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MAS Holdings Expands Sustainability Roadmap with New bluesign® Partnerships 📈

Sri Lanka’s largest apparel manufacturer, MAS Holdings, has announced a significant advancement in its "Plan for Change 2030" sustainability strategy. • Key Milestone: Two major subsidiaries—Texo (Pvt) Ltd (cotton fabric processing) and Noyon Lanka (knitted lace)—have officially become bluesign® System Partners. • Strategic Impact: With these additions, 75% of MAS’s wet processing facilities now align with the highest global standards for responsible chemical management. • Operational Standards: Adoption of Input Stream Management to ensure only approved chemical products are used. Utilization of digital platforms (CUBE, FINDER, and GUIDE) for enhanced traceability and performance measurement. Rigorous independent assessments across knitting, dyeing, finishing, and laminating processes. • Economic Context: This move strengthens the local supply chain for the apparel & textiles sector, reinforcing Sri Lanka's position as a hub for responsible and future-ready manufacturing for global brand partners. This follows the 2023 milestone where MAS Fabrics – Intimo became Asia’s first seamless textile mill to achieve this status, signaling a scaled commitment to reducing environmental impact across the textile supply chain.

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ComBank Renews Historic De Soysa Maternity Ward for International Women’s Day 📈

• Project Overview Commercial Bank of Ceylon has officially commenced the renovation of Ward No. 03 at the De Soysa Hospital for Women. The initiative, timed with International Women’s Month, aims to enhance maternal healthcare infrastructure and patient safety at Sri Lanka's oldest maternity hospital. • Hospital Impact & Stats Founded in 1879, De Soysa Hospital is a cornerstone of the healthcare sector, recording 25,000 admissions and 6,000–8,000 deliveries annually. Ward No. 03 specifically handles: 2,500 – 3,000 deliveries per year. 4,000 – 5,000 patient admissions per year. • CSR & Sector Context The project is managed by the Commercial Bank Social Responsibility Trust, which has supported over 100 government hospitals. This focus on infrastructure development complements the bank's broader ESG goals, including its status as Sri Lanka’s first 100% carbon-neutral bank. • Institutional Profile Commercial Bank remains the largest private sector lender in Sri Lanka. First Sri Lankan bank to exceed a market capitalization of US$ 1 Bn. Operates 272 branches locally with a significant footprint in Bangladesh, Myanmar, Maldives, and the UAE. _Note: Based on official bank announcement as of March 24, 2026._

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⚡ UK-Sri Lanka Partnership: Strategic Transition to Electric Bus Fleet

The UK’s Green Cities Infrastructure and Energy Program, in collaboration with the Ministry of Transport and UNDP, has initiated a technical framework to transition Sri Lanka’s public transport to electric buses, moving beyond climate goals toward national economic resilience. • Strategic Rationale: The shift aims to reduce heavy dependency on imported petroleum, mitigating exposure to global supply disruptions and recurring domestic fuel rationing (QR-based systems). • Key Focus Areas: Infrastructure & Energy: Assessing grid reliability, distribution capacity, and tariff structures to ensure the power sector can support large-scale fleet charging. Regulatory Reform: Developing a practical Action Plan for governance structures and institutional mandates to allow effective scaling. Inclusive Transport: Addressing public transport service quality, specifically focusing on safety for women, accessibility for the disabled, and affordability. • Economic Impact: Viewed as a strategic investment in stability, the program links transport and energy planning to foster long-term fiscal resilience by reducing foreign exchange outflows for fuel. • Implementation Status: Based on recent workshop outcomes, the transition is moving from ambition to a formal Action Plan grounded in local stakeholder engagement. _Source: British High Commission / Provisional Program Data_

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Headline: Moving from Intent to Infrastructure: Unlocking Women’s Economic Potential 📈

A recent policy analysis emphasizes that increasing female labor force participation is an economic necessity for Sri Lanka’s productivity and long-term growth. While awareness has grown, structural reforms remain critical to move beyond symbolic gestures. • Core Economic Impact The transition of women into senior leadership is no longer a supply issue but a system design challenge. Successful national platforms have already proven that women can account for a majority of board representation when institutional action is taken. • Key Structural Barriers Care Infrastructure: The lack of affordable, high-quality childcare and elder care is a primary constraint. Care must be treated as "economic infrastructure" to ensure workforce continuity. Transition Points: Biases regarding compensation and "perceived availability" often surface as women reach marriageable age or take on caregiving roles. Policy Gap: While paternity leave policies exist, low uptake due to fear of career repercussions highlights a disconnect between policy availability and usability. • Strategic Recommendations Labor Law Reform: Regularizing part-time work and extending benefits like gratuity are essential for an inclusive workforce. Safe Employment: Prioritizing dignified local jobs for women is key to reducing unsafe migration and protecting livelihoods in the ICT/BPM and other high-growth sectors. Engagement: Comprehensive organizational training and engaging men as partners are vital to sustaining behavioral change. _Note: Analysis based on current policy perspectives and provisional labor market observations._ ---

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## SLID-KPMG: Audit Committees Move Beyond ESG Compliance 📈

The 32nd SLID-KPMG Audit Committee Forum highlighted a shift in corporate governance, urging audit committees to treat sustainability reporting with the same rigor as financial data under new SLFRS S1 & S2 standards. • Strategic Oversight The board's role is evolving from mere disclosure to embedding ESG into core strategy. Diversified conglomerates like Aitken Spence PLC are now linking sustainability risks and opportunities directly to investment and divestment decisions, such as transitions from thermal power to waste-to-energy. • Data Governance & Accountability For large-scale operations like the apparel & textiles giant MAS Holdings, credible ESG reporting now requires enterprise-wide data architecture. Key focuses include: • Standardizing definitions and automating validation at source. • Moving from periodic validation to continuous controls monitoring. • Linking ESG performance metrics directly to individual KPIs to ensure accountability. • Implementation & Sustainable Finance Sector Resilience: Companies like Lion Brewery PLC are investing in wastewater treatment and flood protection to mitigate climate-related operational risks. Access to Capital: Financial institutions like DFCC PLC are pioneering green and blue bonds. However, concerns remain regarding the ability of SMEs to meet the stringent compliance demands of EU and other advanced markets to access preferential sustainable capital. • Key Takeaway Compliance with SLFRS S1/S2 must begin at the strategy stage, not the reporting stage. Audit-ready data is now central to safeguarding reputation and long-term value in the Sri Lankan economy.

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📈 She Radiates 2026: Female Leaders Push for Economic Inclusion

The inaugural "She Radiates 2026" forum, organized by WeOptimize, highlighted the critical need for increased female participation in Sri Lanka’s formal economy and corporate leadership. • Workforce Statistics (Provisional): Current female labor force participation: ~30%. Female representation on Colombo Stock Exchange (CSE) listed boards: 10%. • Sector Focus & Leadership Insights: Apparel & Textiles: Rajitha Jayasuriya (Chairperson, SLAEA) emphasized purpose-driven leadership and collective success as vital for the industry’s growth. Hospitality & Tourism: Nayantara Fonseka (CEO, NyneHotels) and Sheanna Gardiner (Director, Galle Face Hotel) advocated for resilience and emotional intelligence in navigating sector challenges. Legal & Corporate Governance: Panelists urged women to build deep expertise to dismantle masculine norms in courtrooms and structural barriers in boardrooms. SMEs & Personal Branding: Sessions by GFlock, Radi, and Ramani Fernando linked personal branding and confidence to professional credibility and individual success. • Strategic Goals: The event aims to build a mentorship-driven network to help women achieve their full potential, emphasizing that women can act as "anchors" to support the broader economy through workforce diversification and leadership.

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INSEE Ecocycle Drives Sri Lanka’s Circular Economy Transition 📈

INSEE Ecocycle has launched a comprehensive series of high-level engagements in March 2026, aimed at establishing Sri Lanka as a regional leader in sustainable manufacturing and resource efficiency. • Circularity Summit 2026: Held on March 19 at Cinnamon Life, convening 200+ stakeholders from industry and academia. Key focus areas included waste reduction strategies, material recovery, and global best practices in energy efficiency. • Future 360 CEO Forum: A premier gathering of 300+ senior corporate leaders and policymakers. The forum focused on integrating sustainability into industrial operations to maintain global competitiveness while exploring leadership visions for circular economy adoption. • Academic & Youth Integration: • The ICRES online conference (March 14) shared global research on regulatory frameworks and technological innovation. • The Circularity Challenge (Season 2) engaged students from Colombo, Peradeniya, and Sri Jayewardenepura universities, providing mentorship for commercial-scale sustainable business models. • Strategic Impact: These initiatives connect research, policy, and youth innovation to reduce industrial emissions and transition the national economy toward cleaner production systems. This framework supports Sri Lanka’s long-term goal of becoming an investment-ready, future-oriented manufacturing hub.

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📈 CDB Empowers Women Entrepreneurs via CAN Market Partnership

Citizens Development Business Finance PLC (CDB) has reinforced its commitment to the SME sector by partnering with The Creative Isle Ltd. for the International Women’s Day edition of the CAN Market. The collaboration aligns with the 2026 IWD theme ‘Give to Gain’ and focuses on the Wings Ecosystem to drive financial inclusion. • Strategic Objectives: The partnership aims to provide greater visibility, financial accessibility, and digital enablement for women-led businesses and eco-conscious local brands. • Digital Integration: CDB facilitated seamless transactions using QR payments and provided exclusive benefits via the CDB SELF platform, promoting the adoption of fintech solutions among micro and small enterprises. • Event Highlights: Held at Arcade Independence Square, the initiative showcased a diverse collective of artisans and creative brands, connecting local entrepreneurs with conscious consumers to foster sustainable growth. • Economic Impact: By strengthening the Wings Ecosystem, CDB is focusing on inclusive growth and resource allocation for women-led enterprises, which are vital for community progress and employment diversification.

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Headline: War-Driven Environmental Crises Threaten Sri Lankan Waters 📈

• Local Impact: Sri Lanka's Exclusive Economic Zone (EEZ) is under threat following the sinking of an Iranian vessel off the southern coast. The Marine Environment Protection Authority (MEPA) is currently monitoring for oil spills and debris that have already begun washing ashore. • Regional Risks: Escalating Middle East conflicts involving oil refineries and industrial areas have triggered warnings of "black acid rain" and heavy metal contamination. A single major oil spill in the Strait of Hormuz is projected to cause irreparable damage to marine habitats, affecting regional biodiversity and food security. • Global Context: • Gaza: Over 500,000 tonnes of $CO_2$ generated in the first 120 days of conflict. • Sudan: Widespread deforestation and collapse of sanitation systems. • Iran: Aerial bombardments have compromised soil fertility and groundwater through toxic acidic particles. • Economic Vulnerability: As an island nation, Sri Lanka is disproportionately affected by marine pollution from non-party conflicts. Experts urge authorities to document damages to seek international reparations for environmental remediation and cleanup costs. _Note: Summary based on provisional reports and MEPA monitoring data._

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Sofia Colombo Becomes Sri Lanka’s First GSTC-Certified Hotel 📈

• Sofia Colombo has achieved the Global Sustainable Tourism Council (GSTC) accreditation, marking it as the first hotel in Sri Lanka to receive this international sustainability milestone. • The certification was conducted by Control Union, an entity accredited by GSTC since 2016, following rigorous audits against standards for environmental impact, social responsibility, and economic viability. • This achievement is a strategic move to align with future global demand, specifically targeting the EU market, which is expected to prioritize sustainable-certified hotels for business starting in 2027. • The move enhances the hotel’s long-term commercial potential and competitive edge within the tourism and hospitality sector, reinforcing Sri Lanka’s position as a responsible travel destination.

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### Sustainability Reporting Seminar for Corporates 📈

Corporate Legal Consultants will host a specialized seminar and workshop on March 26, 2026, at The Kingsbury Hotel, focusing on the mandatory shift toward ESG and climate disclosures in Sri Lanka. • Regulatory Mandate: Effective 1 January 2026, all companies listed on the Colombo Stock Exchange (CSE) Main Board must adopt Sustainability Reporting in compliance with SLFRS S1 and S2 standards. • Key Focus Areas: The session covers carbon accounting standards, climate-related financial implications, and the practical application of footprint assessments. • Financial Instruments: Discussions will include the potential of Green Bonds within the local capital market as a tool for sustainable financing. • Target Audience: Designed for Directors, Audit Committees, and ICT/BPM or manufacturing leads responsible for compliance and risk management. • Event Details: - Date/Time: 26 March 2026 | 9:30 a.m. – 12:30 p.m. - Location: Victorian Hall, The Kingsbury Hotel. - Investment: Rs. 13,550 per person. This transition marks a significant shift in governance, elevating sustainability data to board-level accountability to align with global emerging ESG regulations. ---

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ComBank Appointed Patron of UNGC Sri Lanka Working Groups 📈

• Overall Commitment: Commercial Bank of Ceylon has signed a two-year MoU to become the Patron of two key UN Global Compact (UNGC) Network Sri Lanka Working Groups: ‘Diversity & Inclusion’ and ‘Water & Ocean Stewardship’. This reinforces the bank’s status as a leader in ESG (Environmental, Social, and Governance) and responsible finance. • Strategic Focus Areas: • Environmental: Focuses on sustainable water management, ocean stewardship, and marine ecosystem restoration (e.g., mangroves and coral reefs). • Social: Aims to foster equitable workplaces, promote gender equality, and enhance economic participation for women entrepreneurs and SMEs. • National & Global Context: • First Bank in SL to join UNGC (2002). • Market Position: First Sri Lankan bank to exceed US$ 1 Bn market capitalization. • Sustainability: Recognised as Sri Lanka’s first 100% carbon-neutral bank. • Impact on Business: The partnership will provide clients with access to sustainability-linked knowledge, advisory services, and specialized green financing solutions, helping local businesses align with international standards to improve global competitiveness.

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Global & International Business

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Indian Sugar Exports Surge as Rupee Hits Record Low; Sri Lanka Taps Supply 📈

A sharp depreciation of the Indian rupee and rising global prices have reignited Indian sugar exports, with 100,000 metric tons contracted in just one week. • Market Dynamics: The Indian rupee has fallen 4.5% in 2026, reaching a record low. This, coupled with global prices hitting a five-year high due to Middle East tensions and higher ethanol demand in Brazil, has made exports more lucrative than local sales. • Key Export Figures: • Total seasonal contracts: 550,000 tons (ending September). • Projected seasonal total: 1.5 million tons. • Current offer price: Approx. US$ 450 per ton (FOB). • Regional Impact: Sri Lanka, alongside African nations like Djibouti and Somalia, has booked shipments for April and May. India remains a preferred supplier for South Asian buyers due to significantly lower freight costs compared to Brazilian imports. • Trade Barriers: Despite a raised export quota of 2 million tons, shipments face logistical hurdles including limited container availability and rising freight rates. • Strategic Context: For Sri Lanka, the proximity to India provides a critical buffer against surging global shipping costs, ensuring essential commodity price stability amidst volatile energy markets.

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Pakistan Celebrates 86th National Day in Sri Lanka 🇵🇰

The High Commission of Pakistan in Colombo marked the 86th National Day of Pakistan on March 23, 2026, emphasizing the historical significance of the 1940 Lahore Resolution. • Diplomatic Relations: Acting High Commissioner Zunaira Latif highlighted the "traditionally close and mutually beneficial" ties between Pakistan and Sri Lanka, anchored in mutual respect and trust. • Economic & Sectoral Ties: The relationship is driven by diversified engagement across several key pillars, specifically: • Trade and Investment • Defense cooperation • Science, Culture, and Education • Key Sentiment: Leadership messages from Pakistan paid tribute to founder Quaid-e-Azam Muhammad Ali Jinnah while extending greetings to the Government and people of Sri Lanka, reinforcing bilateral stability.

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Bank of Ceylon Strengthens Indo-Lanka Banking Ties 📈

The Bank of Ceylon (BOC) recently concluded a high-level strategic visit to India led by Chairman Kavinda de Zoysa and CEO Y.A. Jayathilaka, aimed at reinforcing international operations and bilateral financial collaboration. • Regulatory Engagement: The delegation met with senior Reserve Bank of India (RBI) officials in Mumbai and Chennai. The RBI expressed satisfaction with BOC’s governance standards and regional performance, pledging continued support for future expansion. • Diplomatic & Trade Ties: Discussions with the Sri Lankan Deputy High Commissioner to Southern India focused on strengthening cross-border enterprise support and enhancing economic connectivity between the two nations. • Operational Focus: Leadership engaged with branch staff and the Country Manager to align on international regulatory frameworks and improve service delivery for banking & finance customers in the region. • Strategic Outlook: The visit emphasizes BOC’s role in driving regional financial integration, identifying emerging market opportunities, and fostering long-standing relationships with high-value international clients.

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Iran Offers Fuel and Essential Supplies to Sri Lanka 🇮🇷🇱🇰

Iranian Ambassador Alireza Delkhosh has reaffirmed Iran’s readiness to support Sri Lanka’s economic stability through the supply of critical resources. • Energy & Essentials: Iran has expressed immediate readiness to supply crude oil, fuel, and other essential goods to Sri Lanka upon official request to prevent supply disruptions. • Maritime Security: Ambassador Delkhosh clarified that the Strait of Hormuz—a vital global shipping lane—remains fully accessible to friendly nations like Sri Lanka, dismissing concerns over potential maritime restrictions. • Diplomatic Cooperation: The offer highlights longstanding ties, citing past bilateral assistance such as Sri Lanka’s rescue of the Iranian naval vessel IRIS Dena crew. • Repatriation Support: The Iranian government is also prepared to facilitate and arrange the return of Sri Lankan nationals currently in Iran if required. _Summary based on official statements as of March 24, 2026._ 📈

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### 📈 India-Sri Lanka Financial Capacity Building Initiative

A 25-member delegation from the Central Bank of Sri Lanka (CBSL) completed a specialized training program at the Reserve Bank Staff College in Chennai, India, from March 2–6, 2026. • Core Focus: Titled "Financial Frontiers – Innovation, Resilience and Internationalisation," the program targeted contemporary central banking challenges, focusing on financial innovation and systemic stability. • Key Training Areas: • Digital Finance: Emerging technologies and their impact on central banking. • Monetary Policy: Strategic insights into reserve management and currency internationalisation. • Fintech & Payments: Exposure to global best practices in fintech regulation and payment systems. • Strategic Context: This initiative is part of India’s 2025 commitment to provide 700 customised training slots annually for Sri Lankan professionals. • Economic Impact: Strengthening institutional linkages and professional competencies is expected to enhance policy readiness and bilateral cooperation in the financial sector.

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Sri Lanka and Brazil Set Target to Reach US$ 1 Bn Bilateral Trade by 2030 📈

Sri Lanka and Brazil concluded the Second Round of Bilateral Political Consultations in Colombo on March 20, 2026, marking a significant step in strengthening economic and diplomatic ties. • Trade & Investment: Both nations agreed to elevate bilateral trade to US$ 1 Bn by 2030, emphasizing diversification to meet evolving global economic dynamics. • Agriculture & Technical Cooperation: Finalized agreements for a Dairy Livestock Project and a Sugarcane Project are expected to be signed soon with support from the Brazilian Cooperation Agency (ABC), boosting local animal husbandry and agricultural research. • Key Sectors for Collaboration: New avenues for cooperation were identified in ports and shipping, sports, and agriculture, aiming to leverage Brazilian expertise for Sri Lankan sectoral growth. • Legal & Security Framework: Committed to finalizing pending MoUs on defense, law enforcement, countering human smuggling, and traditional/Ayurvedic medicine. • Diplomatic Milestones: Discussions covered President Anura Kumara Dissanayake’s upcoming state visit to Brazil and the revival of Parliamentary Friendship Groups, including an upcoming visit from a Brazilian women’s parliamentary delegation. Based on official 2026 bilateral consultation data.

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India-Funded 240-Foot Bailey Bridge Restores Critical Coastal Link in Chilaw 📈

A major infrastructure milestone was reached yesterday with the inauguration of a 240-foot Bailey bridge on the Chilaw–Thoduwawa Road, a vital transport artery in the Puttalam District. • Overall Project: The bridge is the longest extra-wide Bailey bridge installed by India in Sri Lanka to date, measuring 240 feet long and 13 feet wide. It was constructed by the Indian Army’s Engineer Task Force in coordination with the Sri Lankan Army and the Road Development Authority (RDA). • Economic Impact: The bridge restores a key coastal corridor connecting Colombo to Puttalam. This is critical for the fisheries and agriculture sectors, facilitating the movement of goods, essential supplies, and supporting local livelihoods disrupted by Cyclone Ditwah. • Funding & Recovery: The project is part of a US$ 450 Mn Reconstruction and Rehabilitation Package from India. A specific US$ 30 Mn grant is allocated for bridge restoration. The structure utilized part of a 214-ton consignment of bridge components that arrived in February 2026. • Future Outlook: Based on provisional plans, approximately 15 additional Bailey bridges are scheduled for construction in the coming weeks. Indian engineering teams have already assessed over 40 damaged sites across seven provinces to provide technical guidance for infrastructure repairs.

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### 📉 Global Economic Outlook: The Petro-Dollar Under Pressure

The global financial landscape is facing a "perfect storm" in 2026, driven by conflict in Iran, fractured alliances, and the potential end of the petro-dollar era. Analysts warn of a systemic breakdown impacting global markets and US dollar dominance. • Geopolitical Risk & Energy: A "hot war" with Iran has pushed oil prices above US$ 100/barrel. Military asymmetry is high, with US interceptors costing US$ 2 Mn vs. Iranian drones at US$ 50,000, creating a staggering economic drain. • Currency & Debt: The US national debt has reached US$ 38.4 Tn. De-dollarization is accelerating as BRICS nations and Gulf states diversify reserves. Gold has spiked above US$ 5,000/oz, signaling a shift toward a multipolar financial system. • Impact on Technology & Investment: The "petrodollar reflux"—where Gulf oil profits fund US ICT and AI sectors—is at risk. If Gulf states cannot export oil, the "AI bubble" faces a liquidity crisis, potentially destabilizing the American financial core. • Strategic Alliances: NATO is at a "breaking point" following US protectionist shifts and threats toward member territories. European nations are now advocating for independent defense forces, ending the post-1945 security order. • Institutional Trust: The release of the Epstein files suggests a system of political blackmail ("kompromat") may be influencing foreign policy, further eroding market confidence in traditional Western leadership.

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📈 India Progresses Trade Pact Talks; ETCA with Sri Lanka Remains a Key Priority

India is currently negotiating six major Free Trade Agreements (FTAs) as part of a strategic push to expand global market access, according to the Ministry of Commerce. • India-Sri Lanka ETCA: Negotiations for the Economic and Technology Cooperation Agreement remain active. Since 2015, a total of 14 rounds of talks have been conducted, with the most recent high-level discussions held in July 2024. This pact is critical for Sri Lanka’s ICT/BPM and services sectors to gain deeper access to the Indian market. • Global Trade Expansion: Beyond Sri Lanka, India is fast-tracking negotiations with other key partners: • Australia: 11 rounds completed for the Comprehensive Economic Cooperation Agreement. • USA: An interim framework for a Bilateral Trade Agreement was reached in February 2026. • South America: Ongoing talks with Peru (9 rounds) and Chile (4 rounds). • Eurasia & Middle East: First rounds of negotiations recently launched with the EAEU (Nov 2025) and Israel (Feb 2026). • New Opportunities: Terms of Reference have been signed for upcoming negotiations with the Maldives, the GCC, and Canada, signaling a broader diversification of trade routes that could impact regional logistics and apparel transshipments. • Recent Milestone: India recently concluded FTA negotiations with the European Union and New Zealand, while pacts with the UK and Oman are currently awaiting ratification.

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## Iran Grants Safe Passage to Indian Vessels via Strait of Hormuz 🚢

Amidst broader maritime restrictions and regional conflict, Iran has provided a rare exception for Indian shipping traffic through the strategically vital Strait of Hormuz. • Key Developments: The Iranian Ambassador to India, Mohammad Fathali, confirmed limited safe passage for Indian vessels, marking a significant diplomatic carve-out during the ongoing blockade involving US and Israeli interests. • Vessel Details: At least two Indian-flagged tankers carrying Liquefied Petroleum Gas (LPG) successfully crossed the strait. These vessels are currently en route to ports in Western India. • Economic Impact: The Strait of Hormuz is a critical artery for global energy supplies. For the South Asian region, including Sri Lanka’s neighbors, such exceptions are vital for maintaining fuel security and stabilizing maritime logistics costs. • Official Status: Based on reports from the Indian Ministry of Ports, Shipping, and Waterways, the transit occurred early morning on March 16, 2026. The move highlights the importance of bilateral diplomacy in securing trade routes during geopolitical instability. 📈

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Chamber Hosts High-Level Diplomatic Networking to Boost Trade 📈

The Ceylon Chamber of Commerce convened a high-level evening in Colombo, bringing together diplomats from nearly 50 countries, government officials, and private sector leaders to strengthen international economic ties. • Strategic Collaboration: Acting Minister of Foreign Affairs Arun Hemachandra emphasized that public-private-diplomatic synergy is essential for expanding exports and fostering sustainable development. • Economic Outlook: The Ministry highlighted a steady recovery across the agriculture, industry, and services sectors, backed by strengthened fiscal management. • Market Expansion: Chairperson Krishan Balendra noted the event’s role in helping members discover new markets and diversify export portfolios through direct diplomatic engagement. • Diplomatic Recognition: The presence of Ambassadors and High Commissioners underscores the Chamber's position as the primary bridge between Sri Lanka's private sector and global partners. The session focused on forging long-term partnerships to drive foreign investment and enhance Sri Lanka's integration into global value chains.

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📈 EDB Meets Export Associations to Mitigate Middle East Crisis Impact

The Export Development Board (EDB) convened a high-level briefing with key private and public stakeholders to address logistical and trade disruptions caused by the ongoing Middle East conflict. The goal is to establish a support framework to be presented at the upcoming Export Development Council of Ministers (EDCM). • Strategic Sectors Involved: Representatives from the tea, spices, coconut-based products, food & beverages, and fruits & vegetables sectors participated to highlight regional volatility risks. • Supply Chain Mitigation: The Sri Lanka Freight Forwarders Association and the Ceylon Association of Shipping Agents joined the dialogue to address rising freight concerns and ensure the continuity of export operations. • Institutional Collaboration: Key government bodies, including the Sri Lanka Tea Board and the Department of Fisheries & Aquatic Resources, emphasized a unified approach to protect the interests of exporters. • Key Objective: To identify immediate assistance measures for exporters and minimize the impact of regional instability on Sri Lanka's trade balance and employment within these vital industries.

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Regulatory & Policy News

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Dimuth Atapattu Appointed as First Director General of Data Protection Authority 📈

The Data Protection Authority (DPA) has officially appointed Dimuth Bhashitha Atapattu, an officer of the Sri Lanka Administrative Service (SLAS), as its Director General effective 5 March 2026. This move marks a critical step in operationalizing the Personal Data Protection Act No. 9 of 2022. • Strategic Leadership: Atapattu transitions from his role as Director of Commercialisation and Partnerships at the Ministry of Digital Economy. He also holds board positions at Sri Lanka CERT and the LK Domain Registry. • Professional Background: His experience spans both public and private sectors, including roles at Virtusa (Colombo/UK) and the Ministry of Defence. He holds postgraduate degrees from the University of Melbourne and the University of Sri Jayewardenepura. • Economic Impact: The DPA is tasked with safeguarding privacy rights and fostering a secure digital economy. This is a core component of the Government’s Digital Economy Blueprint, aimed at enhancing digital trust and responsible data governance. • Implementation Status: Based on provisional plans, the Personal Data Protection Act (amended in 2025) will be brought into operation in phases as the DPA becomes fully functional under the new leadership.

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Sri Lanka’s WHT Regime: Key Pivots in IRA Bill 2026 📈

The proposed Inland Revenue (Amendment) Bill of 2026 marks a significant shift toward digitizing and formalizing Sri Lanka's tax landscape, specifically targeting the gig economy and investment returns. • Employment & Personal Tax Individual taxpayers with employment income subject to APIT are exempt from filing returns if their annual interest income is below Rs. 5,000 (eff. April 2025). However, providing a TIN is now mandatory for APIT statements; missing records will result in rejected tax credits. • Investment & AIT Changes Residents can now avoid mandatory withholding on interest by providing a self-declaration to banks confirming they have no taxable income. Note: Fraudulent declarations now carry a penalty of up to Rs. 200,000. • Expanded Service Fees (5% WHT) The "withholding universe" has expanded to include a broad range of independent service providers earning over Rs. 100,000/month. New categories include: • Digital & Creative: Social media specialists, brand ambassadors, IT specialists, videographers, and artists. • Professional Services: Auditors, valuers, advisors, translators, and debt collectors. • Personal Services: Personal trainers, coaches, beauticians, and therapists. • Administrative Compliance Withholding agents must now issue tax certificates free of charge. This structured pathway aims to integrate the ICT/BPM and gig sectors into the formal economy, enhancing the IRD's cross-verification capabilities.

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Planters’ Association Warns of 'Price Cliff' Over Proposed 13.6% Tariff Hike 📈

The Planters’ Association of Ceylon (PA) has raised urgent concerns over the CEB’s proposal to increase electricity tariffs by 13.6% in Q2 2026, warning it threatens the global competitiveness of Sri Lanka's primary exports. • Overall Impact: The industry faces a "price cliff" in April after a previous tariff freeze. High energy costs are inflating the cost of production for tea and rubber processing, which require 24-hour factory operations. • Sector Grievances: Unlike other export sectors in processing zones, Regional Plantation Companies (RPCs) are charged standard industrial rates. The PA is lobbying for a dedicated "Agricultural Export" tier or concessional "green tariffs" to reflect their role in earning foreign exchange. • Sustainability & Innovation: To combat rising costs, RPCs are aggressively diversifying into renewable energy: • Bogawantalawa: Committed over Rs. 300 Mn to solar and hydro projects. • Talawakelle Tea Estates: Invested Rs. 59.3 Mn in rooftop solar (2024/25). • Efficiency: Implementation of ISO 50001 standards, IE3 motors, and VSDs has already reduced emissions by thousands of tons of CO2 equivalent. • Strategic Goal: The PA emphasizes that fair pricing is essential to allow reinvestment into renewable energy and ESG initiatives, ensuring the plantation sector aligns with national net-zero targets while remaining viable in international markets.

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Legal Challenge Filed Against Inland Revenue (Amendment) Bill 2026 ⚖️

A significant constitutional petition has been filed in the Supreme Court by tax expert Prasad Dasanayaka, challenging key clauses of the proposed Inland Revenue (Amendment) Bill 2026 on grounds of judicial independence and taxpayer rights. • Judicial Oversight Concerns: The petition targets Clause 31, which allows tax default certificates issued by the Commissioner General to be treated as "conclusive evidence." This reportedly prevents Magistrates from questioning tax accuracy, which the petitioner argues is an unconstitutional transfer of judicial power to an administrative body. • Corporate Tax Impact: Clause 4 seeks to redefine "reserves" to include negative retained earnings (accumulated losses) when calculating interest deductions. This change would disproportionately restrict the ability of loss-making companies in sectors like manufacturing or SMEs to deduct interest expenses compared to profitable firms. • Fiscal Transparency: The filing alleges "stealth taxation," noting that the 2026 Budget speech did not disclose these specific redefinitions. It argues this bypasses Parliament’s exclusive control over public finance under Article 148. • Legal Requirement: The petitioner urges the Court to mandate a two-thirds majority in Parliament and a public referendum unless the impugned clauses are amended to align with the Constitution. _Note: Based on provisional court filings dated March 24, 2026._

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⚡ LKR Power Crisis: Tariff Decision Pending for April 1st

The Sri Lankan government is currently navigating a critical period in the energy sector, balancing potential price hikes against rising operational risks. • Overall Status: Minister Nalinda Jayatissa has officially confirmed that a final decision regarding a proposed electricity tariff increase will be announced on April 1, 2026. • Key Risks: The decision-making process is heavily influenced by growing concerns over a fuel shortage, which threatens the stability of the national grid and thermal power generation capacity. • Sector Impact: The energy and power sector remains under pressure as the government weighs the financial viability of the Ceylon Electricity Board (CEB) against the cost-of-living impact on consumers and the industrial manufacturing sector. • Next Steps: Authorities are currently analyzing expenditure and fuel supply chains to determine if a tariff adjustment is necessary to prevent a wider power crisis. (Based on provisional government statements).

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SEC and CSE Move to Curb Prolonged Watchlist Stays 📈

The Securities and Exchange Commission (SEC) and Colombo Stock Exchange (CSE) held a joint session for auditors to streamline enforcement and improve transparency for companies on the Watchlist. • Core Objectives: The regulators aim to reduce the duration companies spend on the Watchlist by fostering better coordination between auditors, management, and the SEC/CSE. • Regulatory Compliance: Under Section 90 of the SEC Act, auditors are mandated to report material breaches, fraud, or financial irregularities. They are granted legal immunity for reports made in "good faith" to ensure independent oversight. • Watchlist Triggers: Key reasons for Watchlist inclusion include: • Non-submission of financial statements. • Modified Audit Opinions. • Going Concern issues (financial instability). • Key Solutions: • Companies must engage auditors early to avoid last-minute delays in financial reporting. • Resolution of Modified Opinions and independent verification can lead to full reinstatement of securities. • Early identification of Going Concern signals is critical for market stability and investor confidence. The initiative underscores a push for higher governance standards in Sri Lanka's capital markets, ensuring that enforcement actions drive corporate recovery rather than long-term delisting risks.

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Bottled Water Industry Seeks Relief from MRP Gazette 📈

The Sri Lanka Bottled Water Association (SLBWA) has formally requested President Anura Kumara Dissanayake to suspend or revoke the Maximum Retail Price (MRP) gazette, citing severe financial strain on manufacturers. • Pricing Deadlock: The industry is currently bound by Gazette No. 2430/15 (issued April 2025), which fixed prices such as Rs. 70 for 500ml and Rs. 130 for 1.5L bottles. • Cost Escalations: Manufacturers report that while prices remained fixed, operating costs have surged due to: • Higher electricity tariffs impacting treatment plants. • Rising costs of PET plastic (petroleum-based) and raw material imports. • Increased fuel and freight charges affecting logistics. • SME Risk: The SLBWA warns that small and medium-scale producers are struggling to remain viable, which could lead to supply disruptions of safe drinking water nationwide. • Current Status: Based on provisional industry appeals; the association is urging a framework review to reflect current economic realities.

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Fuel Pricing Transparency Questioned Amid Allegations of Inflated Cost Assumptions 📈

Opposition MP Dr. Harsha de Silva has challenged the government’s current fuel pricing mechanism, alleging a lack of transparency and the use of "hypothetical" data in determining retail rates. • Pricing Discrepancies: Back-calculations suggest retail prices are based on assumed global oil prices of US$ 130/barrel for Petrol 92 and US$ 180/barrel for Auto Diesel. • Subsidy Claims: The MP alleges that "hypothetical" subsidies—approximately Rs. 20 for petrol and Rs. 100 for diesel—are being factored into the pricing structure despite a lack of evidence for these actual costs. • Call for Disclosure: Demands have been made for the Ceylon Petroleum Corporation (CPC) to disclose actual landed costs and specific tax components to ensure public accountability. • Policy Consistency: The critique highlights a selective application of the pricing formula, noting the current administration’s previous opposition to similar mechanisms. The MP urges a return to clearer explanations of pricing decisions to stabilize the energy sector and protect consumer interests.

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CMC Reinstates Colombo Parking Charges 📈

The Colombo Municipal Council (CMC) has officially resumed vehicle parking fee collection within city limits effective today, March 23, 2026, starting at 6:00 a.m. • Policy Change: The decision, approved by the Finance Standing Committee, ends a temporary suspension of charges that had been in place since March 18. • Economic Context: The suspension was originally implemented to alleviate financial and logistical pressure during a period of heavy traffic congestion and long fuel station queues. • Operational Drivers: Authorities cited improved traffic flow and stabilized fuel distribution—facilitated by the QR code system and number-plate-based rationing—as the primary reasons for reinstating the standard fee system. • Impact: This move marks a return to normalized municipal revenue collection from the transport and urban services sector.

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Iran Claims $ 2 Mn Transit Fee in Strait of Hormuz 🚢

An Iranian Member of Parliament, Alaeddin Boroujerdi, has claimed that a new "governing regime" is being enforced in the strategic Strait of Hormuz, allegedly charging vessels a fee of US$ 2 million to pass through the waterway. • Context: Speaking on Iranian State television, Boroujerdi stated the move reflects Iran's "authority and right," adding that "war has costs." • Verification Status: The claim remains unverified by independent sources, including the BBC, and is based on provisional statements from Iranian officials. • Economic Implications: The Strait of Hormuz is a critical global chokepoint. Any disruption or imposition of high transit fees could significantly impact global trade and energy prices, potentially affecting Sri Lanka’s import costs and logistics sectors.

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### 📈 Sri Lanka to Mark National Tax Day Amid Compliance Reforms

The Inland Revenue Department (IRD) is shifting focus toward "voluntary compliance" by addressing the Pike Effect—a psychological phenomenon where past frustrations with complex processes lead to persistent taxpayer hesitation, even after systems improve. • Strategic Shift: The IRD is moving beyond mere enforcement to focus on building trust and positive user experiences. Key improvements include enhanced digital tools, streamlined online filing, and faster support services to dismantle old perceptions of a "difficult" tax system. • Economic Rationale: Taxes are framed as a "collective investment" in national infrastructure, specifically funding schools, hospitals, roads, and social programs. Strengthening the tax culture is seen as essential for Sri Lanka’s sustainable economic development. • Target Demographics: Next-Gen Taxpayers: High priority on educating students, young professionals, and first-time entrepreneurs to foster a culture of responsible citizenship. Corporate Sector: Encouraging businesses to lead by example through consistent, proactive compliance to stabilize the national revenue base. • National Tax Day: Scheduled for 02 April 2026, the event will serve as a platform to showcase system improvements and reinforce the link between tax contributions and public welfare. _Note: Based on official IRD communication regarding behavioral economic strategies for 2026._

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### RTI Supremacy Upheld: Court Rejects Navy’s ‘Security’ Claim on GR Voyage ⚖️

The Court of Appeal, in a landmark ruling on 19 March 2026, affirmed that the Right to Information (RTI) Act holds precedence over the Official Secrets Act, emphasizing transparency in public spending. • The Case: A 2022 RTI request sought details regarding former President Gotabaya Rajapaksa’s departure on a naval vessel during the July 2022 crisis, including travel costs and the source of payment. • The Ruling: The Court rejected the Navy’s argument that disclosing costs would compromise national security by revealing operational patterns like fuel consumption or vessel speed. • Key Legal Precedents: RTI Supremacy: Section 4 of the RTI Act overrides conflicting laws, including the Official Secrets Act. Narrow Interpretation: National security exemptions cannot be used as "blanket grounds" without demonstrating a direct link to potential harm. Fundamental Rights: Access to information is a constitutional right (Article 14A), specifically regarding the scrutiny of public expenditure. • Outcome: The Navy must disclose the total cost incurred and identify who paid for the voyage, as originally ordered by the RTI Commission. 📈

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Product & Service Launches / Business Expansion

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Prym Intimates Expands Global Footprint with New Vietnam Facility 📈

• Global Expansion: Prym Intimates, a division of the Germany-based William Prym Group, commenced operations at its fourth global manufacturing plant in Hung Yen, Vietnam, on 3 March 2026. • Strategic Footprint: The new facility complements existing operations in Sri Lanka, China, and Indonesia. This expansion is designed to place production "close to the needle point," reducing lead times for global brands. • Sector Impact: Specializing in accessories for the intimate apparel and apparel & textiles sectors, the move strengthens the company’s ability to serve key sourcing regions with increased supply chain flexibility and agility. • Operational Standards: The company utilizes standardized manufacturing platforms across all four countries to ensure consistent quality. This diversification allows the group to mitigate market volatility while remaining cost-competitive for its global partners. • Corporate Context: Led by Divisional Head Vasu Wijegoonawardane, the expansion reinforces Prym’s role as a critical supplier to the global garment industry, leveraging a history dating back to 1530.

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Seylan Bank Accelerates SME Credit Access with 3-Day Decisions 📈

Seylan Bank has streamlined its SME lending process to provide loan decisions within just three working days for facilities below Rs. 25 million, significantly reducing the traditional multi-week waiting period for entrepreneurs. • Efficiency Gains: The 3-day commitment applies to 'Atha Hitha', 'Dinana Aya', and specialized working capital schemes once documentation is submitted. • National Credit Guarantee (NCGIL): In partnership with the Government and ADB, Seylan is supporting MSMEs lacking collateral. Loans from LKR 500k to LKR 25Mn can now be secured with NCGIL guarantees covering up to 67% of the value. • Women’s Entrepreneurship: The LIYA SHAKTHI scheme provides enhanced guarantee coverage of up to 80% specifically for women-led MSMEs. • Sector Focus: The initiative targets growth in manufacturing, tourism, agriculture, IT, and exports to bolster national economic diversification. • Accessibility: Support is channeled through 171 branches and 13 dedicated SME hubs, featuring doorstep assistance for documentation and financial planning. This move aims to improve liquidity and business continuity for the MSME sector, which remains a backbone of employment in Sri Lanka.

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Tantri Trailers and Mercy Education Campus Partner for Industrial Skills Development 📈

• Overview: Tantri Trailers Ltd and Mercy Education Campus signed a strategic MoU on February 12, 2026, to launch over 100 industry-led technical training programs aimed at bridging the skills gap in Sri Lanka’s manufacturing and industrial sectors. • Key Objectives: • Enhance youth employability by aligning vocational education with real-world requirements. • Reduce national reliance on foreign technical labor. • Strengthen national manufacturing capability and industrial productivity. • Strategic Impact: • Focuses on practical, hands-on training to create a "job-ready" workforce. • Supports UN Sustainable Development Goals, specifically Quality Education (SDG 4) and Decent Work and Economic Growth (SDG 8). • Tantri Trailers, with over 30 years in industrial manufacturing, will provide internships and apprenticeships. • Future Outlook: The initiative plans to expand into additional technical fields and replicate this industry-academia model with other institutions to support Sri Lanka’s long-term economic recovery and industrial competitiveness.

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### Cambridge Launches AI-Focused Digital Literacy Framework for Schools 📈

The International Education group at Cambridge University Press & Assessment has announced a major transformation of its Digital Literacy curricula for learners aged 5–14, targeting the rapid rise of Artificial Intelligence. • Core Objective: Moves beyond basic tech usage to foster "digital maturity." The framework equips students with critical thinking to decide why, when, and how to use AI, rather than just consuming it. • Curriculum Scope: Primary and Lower Secondary levels (Ages 5–14). Focuses on human intelligence over "cognitive offloading" to AI. Addresses media literacy, cyberbullying, and the evaluation of AI-sourced information to combat misinformation. • Strategic Impact for ICT/BPM and Education: Skill Development: Prioritizes adaptable, transferable skills crucial for future-ready workforces. Ethics & Authenticity: Emphasis on personal responsibility and ensuring students remain the "primary author" of their work. Implementation: Flexible delivery; can be taught as a standalone subject or integrated across the broader curriculum. • Assessment: No formal testing; progress is measured through formative feedback, discussion, and observation to ensure learners demonstrate true ownership of AI-assisted outputs. This update reflects a global shift in education reforms, aiming to build a pipeline of talent capable of navigating an AI-powered economy responsibly.

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Nestlé Lanka Unveils Rs. 9 Bn Investment to Boost Exports 📈

Nestlé Lanka marks 120 years in Sri Lanka with a Rs. 9 billion investment plan over the next four years, focusing on its Pannala manufacturing facility to scale domestic and export production. • Investment & Growth: The capital injection aims to upgrade factory operations and expand export-oriented lines. Despite economic headwinds, the company targets sustainable annual growth of 3%–5%. • Export Focus & Sector Highlights: A primary focus is scaling coconut milk powder, a high-demand global dairy alternative. Nestlé is currently the leading exporter of this product from Sri Lanka, seeing consistent high single-digit to low double-digit volume growth. • Local Impact & Supply Chain: • Dairy: Procured Rs. 3.5 billion worth of fresh milk in 2025, supporting 7,000 farmers. • Agriculture: Purchases 130 million coconuts annually; supports 5,000 growers via the Coconut Development Plan. • Employment: Employs 800 staff directly with no plans for "right-sizing." Over 90% of products sold locally are manufactured in Sri Lanka. • Sustainability Goals: The company aims to be 100% plastic neutral by 2026 and reach net-zero carbon emissions by 2050. Current initiatives include biomass boilers and shifting logistics to rail. _Summary based on official company disclosures as of March 2026._

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Seylan Bank & DIMO Partner for Fast-Track Vehicle Leasing 📈

Seylan Bank PLC has signed a strategic partnership with DIMO to provide specialized leasing solutions for Tata commercial vehicles, aiming to support Sri Lanka’s recovering logistics and transportation sectors. • Core Offering: Dedicated lease-to-own facilities for both small and large-scale commercial operations. • Efficiency & Speed: Fast-track approvals guaranteed within 24 hours to ensure rapid vehicle deployment for businesses. • Financial Incentives: • 50% concession on leasing processing fees. • Competitive interest rates with doorstep consultancy from leasing specialists. • Insurance benefits included for selected vehicle models. • Strategic Impact: The collaboration leverages Seylan’s islandwide branch network and DIMO’s extensive after-sales support to empower SMEs and entrepreneurs. The initiative focuses on enhancing commercial mobility and operational efficiency as the national economy continues its recovery phase.

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### 📈 Dialog Axiata Partners with Ericsson for National 5G Expansion

Dialog Axiata PLC has signed an agreement with Ericsson to deploy its 5G Radio Access Network (RAN) across Sri Lanka, a move set to accelerate the country's digital transformation and ICT/BPM capabilities. • Key Infrastructure Details • Deployment focuses on the 3.5 GHz band using Massive MIMO antenna-integrated radio (AIR 3219). • Introduction of Ericsson’s Cloud Native Infrastructure Solution (CNIS) to support cloudification and real-time AI-powered automation. • Includes network optimization and rollout services to enhance capacity for both consumer and enterprise use cases. • Market Leadership & Reach • Dialog currently operates Sri Lanka’s largest 5G network with over 1.5 million subscribers. • As the only provider with 3.5 GHz spectrum, the expansion targets nationwide coverage and ultra-high capacity. • Economic Impact • The partnership aims to strengthen national digital infrastructure, fostering innovation and supporting new enterprise offerings. • This investment underscores a decade-long partnership aimed at improving connectivity and enabling high-speed data access for millions of Sri Lankans.

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AIBL Secures Reinsurance Broking Licence for Global Market Access 📈

Assetline Insurance Brokers Ltd (AIBL), a subsidiary of the David Pieris Group, has been granted a Reinsurance Broking Licence by the Insurance Regulatory Commission of Sri Lanka (IRCSL). This allows the firm to handle both insurance and reinsurance placements directly. • Market Standing: AIBL ranks among the top three insurance broking companies in Sri Lanka with over 20 years of operations in general and life insurance. • Strategic Capability: The licence enables AIBL to independently design and place treaty and facultative programs, bridging the gap between local insurers and international reinsurance capacity. • Economic Impact: Provides specialized risk solutions for high-value sectors including infrastructure, engineering, marine, and manufacturing, where domestic capacity is often limited. • Service Integration: The move creates a single platform for insurance broking, reinsurance, and risk advisory, leveraging the institutional framework of the David Pieris Group to support complex risk transfers. This expansion aims to provide local corporates with more technically robust, competitively priced risk solutions by connecting them to leading global and regional reinsurers.

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Roar Global Scales South Asian Presence in Bangladesh and Nepal 📈

Sri Lankan mar-tech venture builder, Roar Global, has announced a strategic expansion of its regional footprint, transitioning from initial market entry to scalable operations in key South Asian markets. • Bangladesh Operations: Following a successful first year of revenue generation since September 2024, the company is shifting to a dedicated regional team model. Key focus areas include strengthening Meta advertising capabilities and expanding local infrastructure to support sustainable growth. • Nepal Market Entry: Roar Global has entered an exclusive partnership with Advantage Group to lead local execution. This alliance aims to elevate digital advertising standards, accelerate Meta adoption, and enhance advertiser performance through structured market education. • Regional Strategy: These developments reinforce Roar Global’s role as a regional leader in the ICT/BPM and digital advertising sectors. The move focuses on professionalizing digital ecosystems and leveraging local talent to build enduring commercial infrastructure across emerging markets. • National Impact: This expansion highlights the global competitiveness of Sri Lankan-led digital firms, contributing to the country's reputation as a hub for regional mar-tech innovation and professional services.

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Corporate News

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📈 Lee Hedges PLC to Acquire 100% Stake in Lanka Realty Developments for Rs. 3.16 Bn

• Transaction Overview: Lee Hedges PLC has announced a two-part acquisition to take full ownership of Lanka Realty Developments Ltd (LRD) for a total consideration exceeding Rs. 3.16 Bn. • Stake Breakdown: Majority Stake: 51% (57.2 Mn shares) to be purchased from Lanka Realty Investments PLC (LRI) for Rs. 1.61 Bn. Remaining Stake: 49% to be acquired from Eighth Wonder for Rs. 1.55 Bn. • Regulatory Status: The deal is classified as a Related-Party Transaction. It has received approval from the Related Party Transactions Review Committee but remains subject to shareholder approval via a Special Resolution. • Strategic Impact: Upon completion, LRD will become a fully owned subsidiary of Lee Hedges PLC, consolidating its position within the real estate and property development sector. _Note: Based on official disclosure dated 24 March 2026; final completion pending shareholder approval._

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📈 People’s Insurance PLC Reports 34% GWP Growth in 2025

People’s Insurance PLC demonstrated strong financial resilience for the year ended 31 December 2025, driven by disciplined underwriting and robust expansion in key segments despite catastrophic claims from Cyclone Ditwah. • Key Financial Indicators • Gross Written Premium (GWP): Rs. 8,367.39 Mn (up 34% YoY from Rs. 6,249.30 Mn). • Total Assets: Rs. 15.67 Bn (up 23% YoY). • Shareholders’ Equity: Rs. 5,970.13 Mn (up 6% YoY). • Profit After Tax (PAT): Rs. 355.25 Mn. • Sector Breakdowns • Motor: Remained the primary growth engine, accounting for 79% of total GWP with a 42% increase. • Fire: Contributed 9% to total GWP, recording a steady 15% growth. • Investment Income: Amounted to Rs. 1,106.60 Mn, a marginal 9% decline due to market volatility. • Strategic Context The company maintained stability through its connection with People’s Bank and People’s Leasing & Finance. The results highlight the growing role of general insurance in protecting assets amid climate-related risks. The firm received multiple accolades in 2025, including "Best General Insurer" by The Global Economics and recognition for sustainability and integrated reporting. _Note: Based on audited financial results for the period ending Dec 31, 2025._

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People’s Bank Sets Record with Sri Lanka’s Largest Rs. 25 Bn Debenture 📈

• Overall Figures People’s Bank has successfully mobilized Rs. 25 Billion, marking the largest debenture issuance in Sri Lanka's history. The capital was raised via Basel III compliant, Tier 2, unlisted, subordinated, and redeemable debentures with 5-year and 8-year tenors. • Strategic Impact The issuance strengthens the bank’s capital base and balance sheet resilience. This record-breaking transaction, executed by the People’s Bank Investment Banking Unit (PBIBU), highlights strong investor confidence in state-owned financial institutions despite the typical market challenges faced by unlisted debt instruments. • Sector Milestones Banking & Finance: People’s Bank became the first state-owned bank to receive a Corporate Finance Advisor Licence from the SEC. Capital Markets: PBIBU has now mobilized over Rs. 225 Billion across 33 debenture listings and one IPO since its inception. Future Outlook: Two additional debt issuances are structured for launch in the first half of 2026 to further develop the local financial services ecosystem. • Recognition Reflecting its leadership in the investment banking sector, the bank was recently awarded "Best Investment Bank Sri Lanka 2026" for the second consecutive year by the Global Banking and Finance Review. _Data based on official bank statement (March 23, 2026)._

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📈 Siyapatha Finance Debenture Issue Over-Subscribed

Siyapatha Finance PLC has successfully closed its debenture issue after receiving applications exceeding the maximum target of Rs. 3.75 Billion. The offer was officially closed on March 20, 2026, due to strong investor demand. • Issue Details: The capital raise consisted of listed, rated, subordinated, unsecured redeemable debentures. • Subscription Tiers: The initial tranche of 20 million debentures was expanded via two oversubscription options (10 million and 7.5 million), reaching the full Rs. 3.75 Bn cap. • Market Sentiment: The rapid oversubscription reflects a robust appetite for fixed-income instruments within the financial services sector under current market conditions. • Next Steps: The basis of allotment will be notified to the Colombo Stock Exchange (CSE) shortly. Based on official company filings as of March 23, 2026.

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AIA Group Achieves Record Growth in 2025 📈

AIA Group has reported record-breaking financial results for the year ended 31 December 2025, driven by double-digit growth across key metrics and a strategic shift toward less capital-intensive products in the insurance sector. • Core Financial Highlights: Value of New Business (VONB) rose 15% to US$ 5.52 Bn. Operating Profit After Tax (OPAT) increased 12% per share to US$ 7.14 Bn. EV Equity reached US$ 79.7 Bn, up 14% per share. • Profitability & Returns: Operating ROE improved by 70 basis points to 15.5%. Operating ROEV stood at 15.8%, up 90 basis points. Net Free Surplus Generation (net FSG) grew 14% to US$ 4.45 Bn. • Shareholder Returns: Total dividend increased by 10% to 193.08 Hong Kong cents per share. Board approved a new US$ 1.7 Bn share buy-back program. Shareholder capital ratio remained strong at 221%. • Outlook: The Group remains confident in meeting its 2023–2026 OPAT CAGR target of 9% to 11%. Despite macroeconomic uncertainty, AIA highlights Asia as the premier growth hub for life and health insurance due to rising demand for protection and long-term savings.

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📈 Ambeon Holdings Proposes 1-for-4 Share Subdivision

The Board of Ambeon Holdings PLC has recommended a share split to enhance market liquidity, significantly increasing the number of shares in circulation without altering the company’s capital base. • The Split Details: Every 1 existing ordinary share will be subdivided into 4 new shares. • Share Volume: Total issued ordinary shares will rise from 356,869,666 to 1,427,478,664. • Capital Structure: The stated capital remains unchanged at Rs. 5,331,775,177. • Next Steps: The move is pending concurrence from the Colombo Stock Exchange (CSE) and final approval from shareholders at an upcoming Extraordinary General Meeting (EGM). _Note: Based on Board resolution dated 16 March 2026._

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### 📈 National Savings Bank (NSB) Posts Record Profits for 2025

The state-owned savings giant reported its highest-ever financial performance, driven by a sharp decline in impairment charges and robust growth in core interest income. Overall Financial Figures • Operating Profit: Surged 55% YoY to Rs. 59 Bn. • Profit After Tax (PAT): Group PAT rose 61% to Rs. 28.2 Bn; Bank-only PAT jumped 69%. • Total Assets: Expanded 4% to Rs. 1.83 t, supported by government securities and loans. • Total Contribution to Govt: Reached Rs. 38 Bn (including Rs. 30.1 Bn in taxes), a 77% YoY increase. Key Performance Metrics • Net Interest Income (NII): Grew 17% to Rs. 84.8 Bn, aided by a 14% reduction in interest expenses. • Net Interest Margin (NIM): Strengthened to 4.74% from 4.22%. • Fee & Commission Income: Rose 46% to Rs. 2.56 Bn, fueled by cards, remittances, and loan disbursements. • Efficiency: Cost-to-income ratio improved to 34.3%; Return on Equity (ROE) hit 25.08%. Asset Quality & Capital • Impairment Charges: Dropped 86% to Rs. 1.64 Bn, reflecting improved borrower creditworthiness. • Stage 3 Loan Ratio: Improved significantly to 2.53% (from 5.18% in 2024). • Deposit Base: Grew 3% to Rs. 1.6 t, backed by the bank's explicit Government guarantee. • Capital Adequacy: Total Capital Ratio stood at 26.83%, well above the 12.5% regulatory requirement. _Summary based on 2025 audited financial highlights._ ---

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📈 SriLankan Airlines $175 Mn Bond Restructuring Secured

Deputy Minister of Finance Dr. Anil Jayantha Fernando announced a major breakthrough in restructuring the aviation sector debt during a Parliamentary session today. • Approval Thresholds: The restructuring of the US$ 175 Mn bond, guaranteed by the Treasury, received consent from 98% of lenders, representing 99% of the total bond value. • Economic Impact: This move is framed as a critical step to move beyond stabilization. Successful sovereign debt restructuring has already contributed to an improved credit rating of CCC+ as of 2025. • Key Challenges: Unlike other sovereign debts, this specific bond was handled separately due to its Treasury guarantee, posing unique negotiation hurdles. • Next Steps: An official announcement detailing the specific terms of the restructuring is expected later today.

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Hayleys PLC Debenture Issue Over-Subscribed 📈

• Overall Figures: The initial public offer of listed rated unsecured senior redeemable debentures by Hayleys PLC has been oversubscribed, with applications exceeding the initial Rs. 5 Bn mark. • Issue Details: The company initially offered 50 million debentures at a par value of Rs. 100 each. Due to strong investor demand, the issue closed at 4:30 p.m. yesterday. • Expansion Option: To accommodate the high volume of applications, Hayleys may exercise its option to issue a further 20 million debentures (Rs. 2 Bn), potentially bringing the total issue size to Rs. 7 Bn. • Market Impact: This successful capital raising highlights robust investor confidence in one of Sri Lanka’s largest diversified conglomerates, with significant footprints in manufacturing, agriculture, and transportation & logistics. • Next Steps: The basis of allotment will be notified to the Colombo Stock Exchange (CSE) in due course.

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⚠️ SriLankan Airlines Issues Scam Alert for Social Media

SriLankan Airlines has officially warned customers regarding fraudulent activities circulating on platforms like Facebook and WhatsApp. Scammers are misusing the airline's brand name, logo, and identity to promote fake offers and phish for sensitive information. • Modus Operandi: Fraudulent messages, often shared via known or unknown contacts, use fake links with unusual characters or spellings to impersonate the airline. • Security Protocol: The national carrier clarified it will never request payments, OTPs, credit card details, or bank information through social media channels. • Verification: Customers are urged to verify all promotional offers via the official website ([www.srilankan.com](https://www.srilankan.com)) or the airline's verified social media accounts. • Risk Mitigation: The alert serves as a critical reminder for travelers and the public to maintain digital vigilance against increasing cyber-impersonation within the travel & aviation sector.

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📈 YouTube Surpasses Hollywood Giants in 2025 Ad Revenue

YouTube has officially overtaken the combined advertising power of major Hollywood studios, marking a historic shift in the digital media landscape. • Global Revenue Figures: YouTube generated US$ 40.4 Bn in ad revenue in 2025, surpassing the US$ 37.8 Bn combined total of Disney, NBCUniversal, Paramount, and Warner Bros. Discovery. • Growth Trend: This represents a significant YoY reversal from 2024, where Hollywood led with US$ 41.8 Bn against YouTube’s US$ 36.1 Bn. • Total Ecosystem: Alphabet reported YouTube’s total revenue reached US$ 60 Bn, bolstered by subscriptions such as YouTube Premium and Music. For context, this matches Disney’s entire media business (US$ 60.9 Bn) and exceeds Netflix (US$ 45.2 Bn). • Market Context: Despite this lead over traditional media, YouTube remains behind tech giants like Meta, which recorded US$ 196.2 Bn in 2025 ad revenue. • Strategic Focus: The platform is aggressively integrating AI/ICT tools, specifically deploying deepfake detection technology to manage content integrity for officials and journalists. _Data based on reports from Moffett Nathanson and Alphabet (Provisional)._

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Sanasa Life Completes Rs. 522.7 Mn Rights Issue to Boost Solvency 📈

• Sanasa Life Insurance Company PLC has successfully raised Rs. 522.7 million through a rights issue of 52.26 million shares at Rs. 10 each, concluded on March 13, 2026. • Capital Allocation: Unsubscribed shares were reallocated to existing shareholders, followed by company employees, and finally approved third parties to ensure full subscription. • Solvency Recovery: The equity infusion is a critical step to address the long-term insurance business suspension by the IRCSL (effective until May 5, 2026) due to non-compliance with solvency rules. • Capital Adequacy Ratio (CAR) Impact: Pre-Issue: 49.51% (as of Dec 2025/post-asset disposal). Post-Issue: Projected to rise by 51.13% to reach 100.64%. Target: Aided by a proposed Rs. 500 million debenture, the company aims for a 164% CAR to meet regulatory thresholds. • Context: This capital plan is vital for the financial services sector firm to lift its current regulatory suspension and avoid the appointment of an external administrator by the IRCSL.

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Politics & Government Impact

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India-Sri Lanka Strengthen Parliamentary & Infrastructure Ties 🇮🇳🇱🇰

• Diplomatic Engagement: India’s Lok Sabha Speaker, Om Birla, hosted a Sri Lankan parliamentary delegation led by MP S.M. Marikkar (Chair of the Oversight Committee on Infrastructure and Strategic Issues) to bolster bilateral relations and democratic cooperation. • Key Focus Areas: • Governance & Accountability: Discussions centered on structured legislative exchanges and the pivotal role of parliamentary committees in ensuring effective governance. • Infrastructure & Connectivity: India briefed the delegation on its national progress in infrastructure, connectivity, and the integration of innovation & technology within parliamentary processes. • Capacity Building: Commitment to mutual institutional engagement and sharing "best practices" to strengthen democratic institutions. • Strategic Context: The visit aligns with India’s Neighbourhood First policy. The delegation also engaged with Indian committees specializing in housing, urban development, and transportation to study sectoral frameworks. • Provisional Note: Based on official meeting reports dated March 24, 2026.

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Govt. Outlines Accountability Progress Amid Parliament Pressure 📈

TNA MP Shanakiyan Rasamanickam challenged the Government over delays in missing persons investigations and accountability gaps. Justice Minister Harshana Nanayakkara responded with data on domestic reconciliation and forensic progress. • Accountability & Data: The Govt. acknowledges inconsistent records but is consolidating a database with a recorded figure of 2,764 cases since 2009. A comprehensive system with international technical support is planned. • Missing Persons (OMP): The Office on Missing Persons has recruited 100 staff and received Rs. 375 million for 75 inquiry panels. The target is to resolve 5,000 cases in 2026 and 6,000 in 2027 to clear the backlog. • Forensics & Mass Graves: 19 sites have been identified, including Chemmani, where Rs. 19 million is allocated for excavation. Over 100 officers are receiving ICRC-backed forensic training. • Reparations: As of 31 Dec 2025, 4,456 claimants received payments, alongside 31 collective programs benefiting 1,523 individuals. • Policy Stance: The Govt. firmly rejects external accountability mechanisms, stating domestic criminal law will apply to all cases. Technical assistance will be accepted from international bodies, but enforcement remains strictly local.

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### Sri Lanka and Australia Strengthen Bilateral Economic & Security Ties 📈

A high-level meeting between the Presidential Secretariat and the Australian High Commission has reaffirmed a commitment to expanding cooperation across key economic and security sectors. • Education & Employment: Talks prioritized enhancing higher education ties and creating structured employment pathways for Sri Lankans in Australia, leveraging strong people-to-people links. • Security & Regional Stability: Both nations reaffirmed a joint commitment to maritime security in the Indian Ocean, focusing on combatting human smuggling and drug trafficking. • Future Cooperation: Australia pledged further support in critical growth areas for the Sri Lankan economy, specifically agriculture, sustainable development, and education. • Global Context: The High Commission noted that geopolitical instability, particularly the conflict in the Middle East, continues to impact global economic conditions for both nations. _Source: PMD (Based on provisional reporting March 2026)_ ---

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Impact of Gulf Conflict on Sri Lanka: Strategic Risks & Opportunities 📈

A recent seminar at the OPA highlighted critical economic and maritime imperatives for Sri Lanka as Middle East tensions escalate. Experts warn of significant domestic repercussions despite the geographical distance. • Economic Vulnerabilities: Foreign Remittances: Approximately 40% of inflows originate from the Middle East; regional disruptions pose a direct threat to national reserves. Energy Security: Fuel accounts for nearly 20% of the import bill. Rising global prices and potential supply constraints threaten to increase the cost of living. Tourism & Exports: Possible decline in arrivals and weakened demand in key export markets due to global price hikes. • Maritime & Geopolitical Risks: The sinking of an Iranian vessel near Sri Lankan waters underscores the urgent need for enhanced maritime security and awareness. The potential closure of the Strait of Hormuz remains a high-risk factor for global trade fluidity. • Strategic Opportunities: Logistics & Ports: Potential to capitalize on shipping route diversions, specifically utilizing the Trincomalee oil tanks and improving port efficiency. Capital Inflows: Wealth fleeing Middle Eastern instability could be diverted to Sri Lanka, provided reforms in labor laws and ICT/cybersecurity are fast-tracked. Investment: A shift toward renewable energy is deemed essential to mitigate future fuel-led crises. • Policy Recommendations: Implementation of true-cost fuel pricing to curb demand. Transitioning the Port City from a real estate venture into a functional global financial hub. _Summary based on expert seminar proceedings (March 2026)._

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## 📉 Neutrality vs. Strategic Autonomy: Sri Lanka’s Foreign Policy Dilemma

A recent analysis suggests Sri Lanka’s traditional stance of non-alignment is becoming an "outdated worldview" in a polycentric global order where trade and technology are weaponized. • The Current Stance President Anura Kumara Dissanayake maintains that neutrality is the "winning path," citing the handling of the Iranian ship incident. However, critics argue this is "strategic ambiguity"—a refusal to make choices that leaves the nation exposed. • Economic & Infrastructure Realities Sri Lanka’s sovereignty is already physically shaped by external investments: Port of Colombo: 70% of transshipment business is linked to India. Hambantota Port & Mattala Airport: Under 99-year Chinese lease/influence. Port City Colombo: A distinct economic zone expanding contiguous territory. Energy & ICT: Heavy Indian investment in infrastructure and digitalization. • Key Risks & Vulnerabilities Capacity Gap: The "Rebuilding Sri Lanka" fund controversy after Cyclone Ditwah highlighted a lack of coordination and planning. Digital Sovereignty: The Digital Roadmap 2025–2035 (National ID, payment platforms) risks external subordination without stronger regulatory frameworks. Human Rights: Rejection of UNHRC resolutions complicates status as a "trusted partner" for high-value Western coalitions. • Proposed Shift: Multi-alignment The analysis advocates for "variable geometry"—building issue-specific coalitions (e.g., maritime security, climate diplomacy, ICT/BPM) rather than maintaining "principled distance." This requires moving from performative sovereignty to active, calibrated engagement.

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US Considers Easing Curbs on Iranian Oil in Transit to Stabilize Prices 📈

The US Treasury is exploring tactical measures to curb surging energy prices driven by Middle East volatility, focusing on immediate supply relief. • Global Energy Impact: Authorities may ease sanctions on approximately 140 million barrels of Iranian oil currently at sea. This volume represents roughly two weeks of global supply. • Strategic Reserves: US Treasury Secretary Scott Bessent indicated that additional releases from the Strategic Petroleum Reserve (SPR) remain an option to stabilize the market. • Policy Scope: Officials clarified that broader long-term sanctions on Iranian oil and gas exports are not under review; the focus is strictly on "in-transit" volumes to lower immediate fuel costs for consumers. • Economic Context: This move aims to prevent energy price spikes from fueling broader inflation, a critical factor for global logistics and manufacturing sectors, including Sri Lanka's energy import costs.

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Sri Lanka Rejects US & Iran Military Requests to Uphold Neutrality 🛡️

President Anura Kumara Dissanayake informed Parliament that the government denied simultaneous requests for military access from both Iran and the United States to safeguard national sovereignty and non-alignment. • The Requests: On February 26, Iran requested port access for 3 naval vessels (March 9-13). On the same day, the US requested permission for 2 naval fighter aircraft from Djibouti to land at Mattala Rajapaksa International Airport (MRIA). • The Decision: Both requests were rejected to avoid being drawn into escalating Middle East tensions or appearing to favor one global power over another. • Strategic Impact: The President emphasized that granting access could have turned the Port of Colombo and MRIA into focal points for foreign military interests, risking the country's "long-standing policy of neutrality." • Economic Context: Protecting the neutrality of key infrastructure like shipping ports and aviation hubs is vital for maintaining international recognition and ensuring the stability of logistics and tourism sectors. The President reiterated that Sri Lanka will not compromise its neutral stance under external pressure to ensure the "dignity of the nation."

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🇮🇱 Heightened Geopolitical Tensions in Middle East Spark Regional Stability Concerns 📈

• Political Developments: Israeli Minister Ze’ev Elkin characterized the ongoing conflict as an "enormous blessing," advocating for the extension and deepening of military damage rather than a focus on cessation. • Military Escalation: Defense Minister Israel Katz confirmed that the military now has direct authorization to target senior Iranian officials, signaling a potential widening of the conflict. • Casualty Toll (Provisional Data): • Iran: 1,444 fatalities. • Lebanon: 968 fatalities. • Israel: 17 fatalities. • Economic Impact: While this report focuses on political rhetoric, such regional volatility typically impacts Sri Lanka through global oil prices, worker remittances from the Middle East, and potential shifts in the tea export market to the Gulf region.

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### Geopolitical Alert: Oman Warns of US Foreign Policy Instability 📉

Oman’s Foreign Minister, Badr Albusaidi, has issued a sharp critique regarding the escalating conflict between the US, Israel, and Iran, noting a significant loss of strategic control in Washington. • Diplomatic Breakdown: Despite being on the verge of a substantive deal twice in nine months, military strikes on February 28th have derailed peace prospects. • Conflict Escalation: Oman characterizes Iran’s recent retaliatory strikes as an "inevitable" result of military actions aimed at the Islamic Republic. • Strategic Miscalculation: The Minister warned that the US has been drawn into an "unwanted entanglement" where neither Israel nor America is likely to achieve their desired outcomes. _Context for Sri Lanka_: While this is a global political development, such instability in the Middle East typically impacts energy prices and remittance inflows from the region, which are critical to the Sri Lankan economy. Based on reports from The Economist (March 2026).

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Germany Refers Middle East Involvement to Post-Conflict Phase 🇩🇪

• Chancellor Friedrich Merz has confirmed that Germany will not intervene in the ongoing Middle East conflict between the US, Israel, and Iran until hostilities officially cease. • Speaking in Brussels, Merz emphasized that German support—specifically in securing and opening sea lanes—is contingent on a "halt in hostilities." • This stance highlights a strategic cautiousness in maritime logistics and international trade security, sectors vital to global supply chains and Sri Lanka's own shipping and transshipment interests. • The delay in European involvement comes amid criticism from the US administration regarding the level of support provided by EU nations during the conflict. • German assistance remains restricted to the post-war recovery and stabilization phase, based on current diplomatic statements.

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Global Powers Intervene to Stabilize Energy Markets Amid Hormuz Tensions 📈

Six major economies—the UK, France, Germany, Italy, Netherlands, and Japan—have issued a joint statement pledging to secure global energy supplies and ensure safe passage through the Strait of Hormuz following recent regional attacks. • Energy Market Stabilization: The coalition confirmed plans to work with oil-producing nations to increase output and welcomed the release of strategic petroleum reserves to curb price volatility. • Security Measures: The nations expressed readiness to join coordinated efforts to protect maritime trade routes in the Strait, a critical chokepoint for global oil and gas shipments. • Economic Impact for Sri Lanka: As a net importer of petroleum and gas, any successful stabilization of global energy prices is vital for Sri Lanka’s domestic inflation control and foreign exchange reserves. Disruptions in this region typically pressure the transport and manufacturing sectors. • Diplomatic Stance: The group officially condemned recent attacks and called for an immediate cessation of hostilities to maintain global supply chain integrity.

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### Update on Chemmani Mass Grave Excavations ⚖️

The Jaffna Magistrate has scheduled the next phase of excavations at the Chemmani mass grave to tentatively resume on April 20, 2026. This follows significant delays caused by monsoonal rains and the Ditwah cyclone. • Current Findings: A total of 239 skeletal remains have been unearthed since discovery in February 2025. A 240th set of remains has been identified but awaits careful recovery. • Forensic Evidence: Key artifacts recovered include children's clothing, toys, and a Bata slipper manufactured between 1983 and 1995. One victim identified a shirt belonging to her son, who disappeared in 1996. • Site Maintenance: Water removal is set for March 27, 2026. The court has ordered bi-weekly cleaning under JMO supervision and the repair of damaged onsite facilities. • Accountability & Justice: The Office on Missing Persons notes this as the 17th officially recorded mass grave in Sri Lanka. Families and human rights groups are calling for international monitoring to ensure a transparent investigation into these disappearances. A site visit and further discussions are scheduled for open court on April 8, 2026.

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Industry & Sector News

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🍞 Bakery Product Prices Increase by Rs. 10 Nationwide

The All Ceylon Bakery Owners Association (ACBOA) has announced an immediate price hike of Rs. 10 for bread and all bakery snacks effective today, March 24, 2026. • Overall Price Adjustment: A flat increase of Rs. 10 across the board for all bakery items. • Bread Prices: The price of a standard 450g loaf rises from Rs. 120 to Rs. 130. • Primary Drivers: The revision is attributed to rising costs in fuel (specifically diesel) and raw materials, including wheat flour and ancillary ingredients. • Sector Impact: Approximately 30% of bakeries nationwide utilize diesel-powered ovens, making the food & beverage production sector highly sensitive to energy price volatility. • Context: ACBOA President N.K. Jayawardena noted the decision was unanimous, citing eroded margins and the inability to absorb further production and transport expenses.

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Public Transport and Three-Wheeler Fares Hiked Following Fuel Price Revision 📈

Sri Lanka’s public transport costs have increased sharply effective today, triggered by a significant jump in diesel prices. • Bus Fare Revision: The National Transport Commission (NTC) has implemented a 12.19% increase across all service categories (Normal, Luxury, and Super-Luxury). • Fare Thresholds: The minimum bus fare rises from Rs. 27 to Rs. 30, while the maximum fare increases to Rs. 2,422 (previously Rs. 2,159). • Fuel Impact: The revision follows a cumulative Rs. 93 increase in Lanka White Diesel, which rose from Rs. 303 to Rs. 382 per litre on 22 March, exceeding the 4% threshold required for interim adjustments. • Three-Wheeler Rates: In the Western Province, the starting fare for the first kilometre has increased from Rs. 100 to Rs. 110, with subsequent kilometres set at Rs. 90. • Regulatory Compliance: The NTC has instructed both SLTB and private operators to adhere strictly to these approved rates. Passengers can report overcharging via the 1955 hotline. This adjustment marks the first significant fare change since July 2025, reflecting the immediate impact of energy costs on the transportation and logistics sector.

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📈 Energy Security: President Urges Peak-Hour Conservation

President Anura Kumara Dissanayake has directed an immediate countrywide push to reduce electricity consumption during peak hours (6 p.m. to 10 p.m.) to mitigate risks from global supply strains linked to the Middle East conflict. • Key Directives: The administration is prioritizing preventive demand-side management over supply restrictions. Officials have been tasked with intensifying public awareness and formulating strict guidelines for Government institutions to curb non-essential usage. • Targeted Reductions: • Public Sector: Mandatory energy management protocols for state and local government bodies. • Commercial/Urban: Proposed restrictions on advertising billboards, decorative lighting, and non-essential street lighting in urban areas. • National Demand: Focus remains on the four-hour peak window where national load is highest. • Economic Context: While authorities state there are no immediate plans for power cuts, the move is a strategic response to global energy market volatility. Managing domestic demand is viewed as essential to safeguarding the energy sector and ensuring uninterrupted supply for the industrial and service sectors without increasing the national fuel import bill. • Collaborative Approach: The strategy involves a multi-ministerial effort including Transport, Highways, and Local Government to implement systematic savings at the municipal level. _Data based on official Presidential Secretariat briefing, March 24, 2026._

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Food Importers Warn of 10-20% Price Hikes Ahead of Festive Season 📈

The Essential Food Commodities Importers and Traders Association (EFCITA) has confirmed that while supplies for the upcoming Sinhala and Tamil New Year remain stable, rising global costs will drive retail prices up by 10-20% in the coming weeks. • Supply Status: No shortages of essential staples are expected. Perishable items like onions, garlic, and potatoes are stocked on two-week cycles, though some lentil shipments from Canada and Australia face slight delays. • Cost Drivers: Price hikes are driven by geopolitical tensions in the Middle East, leading to: Surging freight charges and "war risk" insurance premiums. Higher bunker fuel prices and a weakening rupee. Lengthened transit times as shipping lines alter routes. • Economic Impact: As a net importer of food and fuel, Sri Lanka remains vulnerable to maritime disruptions. Economists warn that higher landed costs will directly impact consumer "New Year shopping baskets," adding to existing cost-of-living pressures. _Note: Based on EFCITA and Ministry of Trade briefings as of March 24, 2026._

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### Energy Security at Risk: Fossil Fuel Dependency and Policy Gaps 📈

Expert analyst Dr. Vidhura Ralapanawe warns that Sri Lanka’s energy sector is at a breaking point due to "fossil fuel obsession" and delayed renewable energy adoption. • Current Crisis Factors Rising global oil prices due to Middle East tensions. Prolonged dry spell increasing reliance on expensive thermal power. Coal supply issues: 13 shipments needed by April 30; emergency coal costs ~40% extra. • Cost and Supply Risks Electricity prices expected to rise as PUCSL factors in current generation costs. Potential power cuts in July/August 2026 if El-Nino conditions reduce hydropower and coal shortages persist. Peak demand has crossed 3 GW for the first time; daytime demand is trailing closely. • Sector Breakdowns & Bottlenecks Solar: Significantly reduces daytime oil needs, but growth is stifled by "hostile" policies and a lack of storage. Battery Storage: Critically undersupplied. Current capacity is zero; 160 MW awarded recently is far below the required 500 MW. Restructuring: CEB unbundled into 4 entities (Generation, Transmission, Distribution, System Operations), but lacks clear contract agreements (PPAs/PSAs) and corporate expertise. • Urgent Recommendations Shift from "diversification" to total independence from imported fossil fuels. Rapidly scale renewable energy (solar, wind, biomass) via viable feed-in tariffs. Implement merit-based recruitment and transparent policy frameworks to attract private capital.

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Fuel Prices Surge Across CPC, Sinopec, and LIOC 📈

Sri Lanka has implemented a significant fuel price revision effective midnight March 21, driven by global supply constraints following the Middle East conflict. • Overall Price Hikes: Prices have increased across all major suppliers, with Super Diesel and Octane 95 petrol seeing the sharpest adjustments. Since the regional conflict began, prices for these categories have climbed by 35% and 33%, respectively. • Ceylon Petroleum Corporation (CPC) & LIOC: Octane 92 Petrol: Up by Rs. 81 to Rs. 398/litre. Octane 95 Petrol: Up by Rs. 90 to Rs. 455/litre. Lanka White Diesel: Up by Rs. 79 to Rs. 382/litre. Super Diesel: Up by Rs. 90 to Rs. 443/litre. Kerosene: Increased by Rs. 60 to Rs. 255/litre (a 40% cumulative rise). • Sinopec Adjustments: While matching CPC on Auto Diesel and Octane 92, Sinopec set higher premiums for top-tier fuels: Octane 95 Petrol: Rs. 487/litre (up Rs. 122). Super Diesel: Rs. 572/litre (up Rs. 219). • Economic Context: Unlike the 2022 crisis characterized by forex shortages, the Ministry of Energy confirms the current spike is purely due to global supply chain disruptions. However, the price levels are now approaching the peak levels seen during the 2022 subsidy removal phase.

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### Container Transport Charges Surge by 20% 📈

The Container Transport Owners’ Association (CTOA) has announced an immediate 20% increase in transport charges, effective from midnight, March 22, 2026. This adjustment directly impacts the logistics backbone of Sri Lanka’s trade sector. • Primary Cause: The hike is a direct response to the recent domestic fuel price increase, which has significantly raised operational costs for hauliers. • Sector Impact: The revision affects the import and export container transport sector, potentially increasing the landed cost of goods and the overheads for apparel, tea, and other key export commodities. • Authorization: The decision was reached collectively by industry associations and ratified by the CTOA Executive Committee. • Implementation: Formal notifications are currently being issued to importers, exporters, and clearing institutions to integrate the revised rates into their supply chain costs. _Note: This adjustment reflects immediate operational cost shifts in the national logistics network._

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SL Establishes First Fire Safety Engineering Centre at USJ 🏗️

The University of Sri Jayewardenepura (USJ) has launched the Centre for Fire Safety Engineering (CFSE), marking Sri Lanka’s first dedicated facility for structural fire research and testing. • Investment & Funding: The project saw a total investment of approximately Rs. 269.98 million. This includes a Rs. 169.98 million competitive research grant (supported by the Asian Development Bank) for advanced equipment and Rs. 100 million for laboratory construction. • Core Capabilities: The centre facilitates full-scale structural fire testing, material performance evaluation, and simulation-based analysis. It aims to modernize building design and enhance the resilience of infrastructure and construction materials. • Strategic Impact: • Professional Development: Supports undergraduate/postgraduate education and industry training. • Regulatory Support: Assists in developing national guidelines and fire safety frameworks. • Innovation: Focuses on performance-based engineering and sustainable development through research on materials like lightweight concrete panels. • National Context: As Sri Lanka undergoes rapid urbanization, the CFSE addresses a critical gap in the engineering and construction sectors, providing science-driven solutions to safeguard lives and property. Based on official project milestones.

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Indian Airline Group Warns of Route Cuts Amid Fuel Price Shock 📈

The Federation of Indian Airlines (representing IndiGo, Air India, and SpiceJet) has issued an urgent warning to the Indian government regarding rising operational costs and potential service disruptions. • Financial Impact: Airlines are incurring "huge" revenue losses due to surging fuel prices. Analysts estimate that every $1 per barrel increase in oil adds approximately INR 3 billion (US$ 32 million) to IndiGo’s annual fuel bill. • Key Demands: The Federation is lobbying the administration to remove fare caps imposed in December to help offset the spike in operational expenses. • Operational Risks: Without policy intervention, the group warns of imminent route withdrawals and fleet delays. The situation is described as a threat to the long-term "continued viability" of several operators. • Regional Context: As a primary aviation hub for South Asia, disruptions in Indian carrier operations often impact regional connectivity and logistics networks, potentially affecting transit and tourism links with Sri Lanka.

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New Anthoney’s Farms Showcases Antibiotic-Free Poultry at Healthy Living Expo 2026 📈

• Event & Milestone: New Anthoney’s Farms marked its third consecutive year at the Healthy Living Expo (March 6-8, 2026) at BMICH, coinciding with the company’s 40th anniversary in the poultry sector. • Core Product Value: The producer emphasized its commitment to antibiotic-free and no-added-hormone chicken, focusing on reducing antimicrobial resistance (AMR) and improving national food safety. • Strategic Partnerships: • Media: Currently serves as the Official Poultry Partner for MasterChef Sri Lanka, highlighting the shift toward clean-label ingredients in local food culture. • Academia: Recently signed an MoU with the University of Peradeniya to conduct research on sustainable poultry science and evidence-based farming methods. • Economic Context: As a major player in the livestock & agribusiness segment, the farm’s shift toward high-standard, science-backed production supports long-term public health and sustainability in Sri Lanka’s food supply chain.

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Tesla Eyes US$ 2.9 Bn Chinese Solar Deal to Fuel Energy Push 📈

• Overview: Tesla is in advanced talks with Chinese suppliers to procure equipment worth approximately US$ 2.9 Bn (20 Bn Yuan) to boost solar manufacturing on American soil. • Strategic Goal: CEO Elon Musk aims to deploy 100 GW of solar capacity in the U.S. by 2028. This move targets the rising electricity demand from AI data centres and manufacturing sectors, bypassing domestic power shortages. • Key Suppliers: • Suzhou Maxwell Technologies: World’s largest screen-printing equipment producer. • Shenzhen S.C New Energy and Laplace Renewable Energy. • Shares in these firms rose over 7% following the news. • Trade & Logistics: • Equipment is expected to be shipped to Texas by Autumn 2026. • The deal relies on Chinese export approvals and specific U.S. tariff exemptions for solar machinery, highlighting continued reliance on Chinese supply chains despite efforts to decouple. • Context: While Tesla seeks cost efficiencies through its 400 China-based suppliers, the project faces a challenging U.S. policy landscape where federal subsidies for renewables have recently been reduced in favor of fossil fuels.

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Govt. and Industry Move to Develop High-Value Berry Sector 📈

• Economic Potential: High-value berry crops (strawberries, blueberries, and raspberries) are projected to generate up to 10 times higher earnings than conventional upcountry crops. Local strawberries currently retail at over US$ 18 per kg, signaling strong demand amid limited supply. • Strategic Initiatives: • The Department of Agriculture announced upcoming funding and grant programs specifically for the sector. • A revised plant protection framework is expected within six months to strengthen intellectual property for plant varieties, encouraging international suppliers to introduce advanced cultivars. • An Expert Working Group will be formed, involving the NPQS, FRDI, and private stakeholders to guide strategic growth. • Market Opportunities: Sri Lanka’s highland climate offers a competitive advantage to target the Indian off-season market (April to September). • Sector Focus: The initiative aims to diversify the agriculture sector and boost rural employment in highland regions by adopting modern cultivation practices and improved varieties. Note: Based on official statements from the 2026 Berry Industry Development Forum.

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Appointments & Executive Moves

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📈 LAUGFS Gas PLC Announces Key Board Appointments

LAUGFS Gas PLC has officially appointed three new Non-Independent Directors to its Board, signaling a strategic focus on leadership transformation and operational growth within Sri Lanka’s energy sector. • New Board Appointees: Dhanusha Muthukumarana (also appointed to LAUGFS Power PLC) Dr. Niroshan J. Pieries Eng. Nalinda Kurukulasooriya • Strategic Expertise: The new directors bring over 20-25 years of experience each across critical sectors including banking & finance, ICT/BPM, logistics, and manufacturing. This diversification of expertise is aimed at driving innovation-led growth and performance optimization for the Group. • Key Highlights: Technology & Innovation: Dhanusha Muthukumarana, a member of the Forbes Technology Council, brings global experience in intelligent automation and digital transformation, essential for modernizing utility operations. Regional Expansion: Dr. Pieries previously led the expansion of LAUGFS Lubricants into Bangladesh and the Maldives, highlighting the Group’s focus on international market presence. Crisis Management: Eng. Kurukulasooriya is credited with stabilizing LPG operations during Sri Lanka’s recent economic crisis, ensuring supply continuity and improved financial performance. • Economic Context: These appointments come as LAUGFS Gas seeks to strengthen its market position and enhance stakeholder value amidst a recovering economy, leveraging high-level expertise in engineering and strategic management.

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Prof. Dewasiri Jayantha Appointed to PMF Finance Board 📈

PMF Finance PLC has officially appointed its CEO, Prof. Dewasiri Jayantha, to the Board as an Executive Director, effective March 2026. This move integrates high-level academic expertise with corporate governance within the finance sector. • Key Appointment Details Prof. Jayantha was appointed CEO on 3 March 2026. His elevation to the Board marks a strategic blend of his 17 years of senior industry experience and scholarly leadership. • Professional Profile • Academic Standing: Full Professor of Finance (on merit) at Sabaragamuwa University and PhD holder from the University of Colombo. • Industry Leadership: Honorary President of the Sri Lanka Institute of Marketing (SLIM) and the first South Asian Brand Ambassador for Emerald Publishing, UK. • Certifications: Accredited Fellow Chartered Manager (FCMI CMgr) and Fellow Member of the Chartered Institute of Marketing (UK). • Economic Impact The appointment underscores a trend of increasing "practitioner-academic" roles in Sri Lanka’s banking and financial services industry, potentially strengthening methodological rigor and research-driven growth within the firm. _Source: PMF Finance Corporate Announcement (Provisional)_

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📈 Standard Chartered Sri Lanka Appoints Vindya Hettige as Head of Legal

Standard Chartered has announced the appointment of Vindya Hettige as Head of Legal and Head of Legal Client Coverage, effective 20 March 2026. • Role & Governance: Hettige joins the Country Management Team to provide strategic legal advice, manage legal risk, and ensure compliance with regulatory and ethical standards across the bank's banking & finance operations in Sri Lanka. • Professional Background: An Attorney-at-Law with over 18 years of experience, she joined Standard Chartered in 2014. Her career includes a significant tenure in the banking & finance team at Nithya Partners. • Academic Credentials: She holds a Master of Laws (LLM) in Banking and Finance from the University of London and a Bachelor of Laws (LLB) from the University of Colombo. • Strategic Impact: CEO Bingumal Thewarathanthri noted the appointment reflects the bank’s commitment to internal talent development and building a robust leadership pipeline within the financial services sector to drive sustainable growth.

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### Legacy Profile: Anthony A. Page and the Evolution of CT Holdings 📈

A tribute to the late Anthony A. Page (affectionately known as "Baba") highlights his foundational role in shaping some of Sri Lanka’s most prominent listed entities. • Corporate Leadership: Page was a visionary architect behind the modern structures of CT Holdings, Cargills (Ceylon) PLC, and CT Land. He served as the Chairman of CT Holdings and held key directorships within the Lanka Ceramics Group. • Industry Impact: • Cinema & Media: Joined Ceylon Theatres in 1971, becoming a "fierce advocate" for the liberalization of the Sri Lankan film industry. • Financial Services: Acted as the primary guide and architect in the formation of CT Smith in 1992, significantly influencing the local capital markets. • Operational Excellence: Credited with transforming traditional management into professionalized systems and structures that remain the "backbone" of the CT Holdings Group today. • Mentorship & Diversification: Beyond corporate strategy, his legacy is noted for mentoring future business leaders and maintaining a commitment to the "greater good" of the community through diverse business interests spanning retail, real estate, and manufacturing. _Note: Summary based on commemorative data published March 2026._ ---

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Rohana Bandara Weerakoon Assumes Duties as Acting GM/CEO of NSB 📈

The National Savings Bank (NSB) has officially appointed veteran banker Rohana Bandara Weerakoon as its Acting General Manager and Chief Executive Officer. • Executive Profile: Weerakoon brings over 28 years of experience in the Banking and Financial Sector. He previously served as the Deputy General Manager (HRD) and has been with NSB since 1998. • Expertise & Background: His extensive career spans treasury operations, primary dealer functions, branch operations, and human resource development. He holds a B.Com from the University of Kelaniya and an MBA from PIM (University of Sri Jayewardenepura). • Strategic Context: Chairman Dr. Harsha Cabral highlighted the appointment as critical for navigating the bank through current "troubled waters" and global economic challenges. The transition aims to ensure the long-term growth and stability of the state-owned savings giant. • Institutional Leadership: Weerakoon is a Fellow Member of the Association of Professional Bankers (APB) and previously served as President of the Executive Officers’ Association, indicating strong internal support during this leadership transition.

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### Atarah Capital Appoints Former CBSL Deputy Governor to Board 📈

Atarah Capital, a licensed corporate finance advisory firm, has appointed retired Central Bank of Sri Lanka (CBSL) Deputy Governor Janaka Karunaratne as a Non-Executive Independent Director. This marks his first private sector role following a 34-year career at the CBSL. • Key Profile Highlights: Karunaratne previously oversaw the Financial System Stability cluster at the CBSL. His expertise spans the regulation of banking and non-bank financial institutions, public debt, and currency management. He has also served as Chairman of the Credit Information Bureau of Sri Lanka (CRIB) and the Institute of Bankers. • Strategic Impact: His appointment is expected to bolster Atarah’s strategic planning and operational performance. The firm is a key player in the capital markets, having listed six companies on the Colombo Stock Exchange (CSE) since 2021, including the first women-owned enterprise from the Northern Province (Maharaja Foods PLC). • Service Portfolio: Atarah Capital specializes in IPOs, mergers & acquisitions (M&A), private equity structuring, and business valuations. The firm has recently managed three listed company takeovers and multiple private placements.

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## SLFFA Announces New Leadership Transition to Drive Logistics Growth 🚢

The Sri Lanka Logistics and Freight Forwarders Association (SLFFA) has announced a strategic leadership transition effective March 6, 2026, to navigate evolving global supply chains and bolster Sri Lanka’s position as a regional hub. • New Appointments: Chairman: Andre Fernando (formerly Vice Chairman), bringing over 30 years of industry experience. Vice Chairman: Shavindra Dias (formerly Treasurer). Treasurer: Priyan Seilman (formerly Executive Committee Member). • Strategic Context: The transition follows the departure of Channa Gunawardena, credited with reinforcing the association's role in the trade and logistics ecosystem. The new team takes office as the sector faces rapid digitalization and geopolitical shifts. • Key Industry Priorities: Modernization: Focus on digital transformation of logistics processes and trade facilitation. Competitiveness: Enhancing Colombo’s status as a logistics hub along the East-West maritime route. Collaboration: Strengthening policy engagement between the private sector and government stakeholders to support exporters and importers. The move signals a commitment to institutional continuity and professional representation for the freight forwarding and supply chain community. _Source: SLFFA Official Announcement (March 16, 2026)_

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UTASL Appoints New Board Amid Significant Sector Growth 📈

The Unit Trust Association of Sri Lanka (UTASL) has announced its new Board of Directors for 2026–2027, with Jeevan Sukumaran (SENFIN Asset Management) appointed as President. The leadership transition occurs during a period of robust expansion for the Unit Trust industry. • Key Performance Indicators: Investor base has more than doubled over the last five years. Assets Under Management (AUM) have seen substantial growth, reflecting a shift from traditional savings to investment-aware behavior. • New Leadership Team: President: Jeevan Sukumaran (SENFIN Asset Management) Vice President: Kavin Karunamoorthy (First Capital Wealth Management) Secretary: Asanka Herath (Lynear Wealth Management) Treasurer: Wishan Perera (Softlogic Invest) • Strategic Priorities: Retail Participation: Focus on broadening the investor base beyond urban centers through financial literacy and education. Product Innovation: Plans to introduce Index funds, Exchange-traded funds (ETFs), and Shariah-compliant funds to diversify the market. Digital Transformation: Enhancing digital platforms to improve accessibility and transparency for capital market participants. Taxation & Regulation: Prioritizing clarity on tax treatment for unit holders and maintaining high governance standards under SEC oversight. The board aims to transition Sri Lanka toward an investment-aware society, ensuring growth is inclusive and aligned with national financial development objectives. Based on UTASL announcement dated March 13, 2026.

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Agility Innovation Names Vasabha Bulathsinhala as Group CEO 📈

Agility Innovation Group has announced the appointment of Vasabha Bulathsinhala as its new Group Chief Executive Officer, completing a planned leadership transition to drive the conglomerate's next growth phase. • Leadership Transition: Bulathsinhala, who joined as COO in January 2025 after two decades with a global Fortune 500 telco, succeeds the previous leadership under Group Chairman Ajit Gunewardene. • Sector Impact: The Group is a major player in Sri Lanka’s ICT/BPM and digitisation landscape, boasting a 30-year legacy and a workforce of over 600 professionals. • Strategic Portfolio: The move strengthens the Group's focus on high-growth areas including: Cybersecurity & Cloud: Led by pioneers KBSL and N-able. Software & Blockchain: Driven by Just In Time (JIT) and Coding Legends. Telecom & Connectivity: Managed via Lankacom, the first private operator in the country. AI & Analytics: Integrated across EBI and GIS Solutions. • Economic Context: The transition aligns with the national "Digital Sri Lanka" initiative, positioning the Group to lead in digital transformation, financial inclusion, and tech-driven economic reforms. • Operational Focus: Under the "One Agility" concept, the new CEO aims to unify diverse capabilities in data analytics and software development to provide end-to-end solutions for both local and global markets.

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New Leadership for COYLE: Suren Chandraratna Appointed Chairman 📈

The Chamber of Lankan Entrepreneurs (COYLE) held its high-profile Annual General Meeting on March 10, 2026, attended by President Anura Kumara Dissanayake and key diplomatic and private sector figures. • New Leadership Team: Suren Chandraratna – Chairman (Founder of Sirocco) Dan de Silva – Senior Vice Chairman Mihiru Perera – Vice Chairman • Key Highlights & Vision: Theme: ‘Bridging Generations, Building Futures,’ focusing on mentoring the next generation of Sri Lankan entrepreneurs. Sector Focus: Chandraratna brings expertise from advanced air management, logistical infrastructure, and international spice trading. National Impact: The chamber aims to support national economic recovery, government initiatives in trade, and global investment. • Strategic Goals: Strengthening international ties with global trade bodies and diplomatic missions. Fostering a globally competitive ecosystem for home-grown SMEs and large enterprises. Leveraging COYLE’s network to advocate for policies that enable innovation and sustainable business growth.

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### 👔 Teejay Lanka Appoints Teruo Funahashi as Non-Executive Director

Teejay Lanka PLC has officially appointed Teruo Funahashi to its Board as a Non-Executive Director, effective March 2026. Funahashi brings over 40 years of global expertise in the textile and synthetic fiber industries. • Professional Background: A graduate of Seijo University, Funahashi has held extensive leadership roles within Toray Industries, Inc. (Japan), a major stakeholder in the global apparel & textiles supply chain. • Key Experience: Global Operations: Served in senior management roles across Japan, Indonesia, China, and Hong Kong, specializing in industrial materials and fiber divisions. Current Leadership: Recently served as Managing Director of Toray Industries (H.K.) Ltd. and Deputy Managing Director of Toray Industries (China) Co., Ltd. • Future Role: Effective 1 April 2026, Funahashi will transition to Pacific Textiles as Executive Director, Chairman of the Board, and CEO. • Strategic Impact: His appointment strengthens Teejay Lanka’s board with deep technical knowledge of synthetic fibers and regional market dynamics, critical for the company's continued growth in the apparel export sector. 📈

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### Ruwan Rajapakse Appointed as MD/Executive Director of Hayleys Fibre 📈

Hayleys Fibre PLC has officially announced the appointment of Ruwan Rajapakse as its new Managing Director and Executive Director, effective from 1 April 2026. • Professional Profile: Rajapakse brings over 30 years of professional experience, including more than 20 years of international exposure in global manufacturing, agriculture, and international trade. • Key Leadership Experience: • Previously served as Global Chief Production Officer for the Jiffy Group (Netherlands), overseeing operations across Europe, North America, and Asia. • Former Director/CEO of Hayleys Agri Horticulture Sector. • Held senior leadership roles at Hayleys Advantis and Maersk Line, specializing in logistics and global trade strategy. • Academic & Technical Background: • Holds an MBA (University of Colombo) and a BSc (University of Kelaniya). • Certified Management Accountant (CMA – Australia) and Lean Six Sigma Black Belt qualified. This strategic leadership transition leverages Rajapakse’s extensive expertise in supply chain management and export-related organizations to drive the company’s global market development.

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Financial & Investment News

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Janashakthi Ltd. to Raise Rs. 5 Bn via CSE IPO 📈

The Colombo Stock Exchange (CSE) has granted in-principle approval for Janashakthi Ltd. (JXG) to proceed with an Initial Public Offering (IPO), marking a significant move for the diversified holding company. • IPO Structure: Offering of 500 million ordinary voting shares via an Offer for Subscription. • Pricing & Valuation: Shares priced at Rs. 10 each, aiming to raise a total of Rs. 5 billion. • Key Dates: Subscription list is scheduled to open on 9 April 2026. • Group Portfolio: Janashakthi Ltd. serves as the holding entity for prominent subsidiaries including Janashakthi Insurance PLC, First Capital Holdings PLC, and Janashakthi Finance PLC. • Listing Details: The company intends to list on either the Main Board or the Diri Savi Board, pending final compliance with listing requirements. • Advisors: First Capital Advisory Services Ltd. is the Manager and Financial Adviser, with SSP Corporate Services Ltd. as Registrar. The move strengthens the capital base of a key player in Sri Lanka’s insurance, finance, and investment banking sectors, providing investors further exposure to the country's recovering financial services landscape. _Note: Based on provisional CSE approval data._

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Wiyawasayakaya Business Summit Draws 250+ Participants in Galle 📈

The 7th edition of the flagship ‘Wiyawasayakaya’ Business and Investment Summit, organized by Lanka Business TV and DailyFT/Lankadeepa FT, concluded successfully at Radisson Blu, Galle. • Participation & Outreach: Over 250 entrepreneurs, investors, and aspiring business owners attended, marking a strong national appetite for economic literacy and business education. • Strategic Focus: The summit focused on empowering the local SME sector and "everyday Sri Lankans" with practical knowledge to navigate current macroeconomic trends. • Key Sessions & Expert Insights: • Entrepreneurship: Led by Dr. Ranil Sugathadasa and Araliya Group Chairman Dudley Sirisena on strategic growth. • Wealth Management: Specialized sessions by NDB Wealth Management CEO Ruwan Perera. • Financial Regulation: Insights on the national economy provided by the Central Bank of Sri Lanka (CBSL). • Future Outlook: Following the success in Galle, organizers confirmed a nationwide series of summits throughout 2026 to foster financial inclusion and employment across various districts.

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Alliance Finance lists Rs. 2 Bn Social Bonds on India’s NSE IX 📈

• Overall Figures: Alliance Finance Company PLC has obtained a secondary listing for its Rs. 2 Billion Social Bond issue on the National Stock Exchange International Exchange (NSE IX) at GIFT City, India, effective 12 March 2026. • Bond Structure: The issue consists of two tranches: Tranche 1: Rs. 1,273.49 Mn (11.15% interest, maturing Aug 2029) Tranche 2: Rs. 726.51 Mn (11.40% interest, maturing Aug 2030) • Listing Details: The bonds remain denominated in Sri Lankan Rupees. While listed on the NSE IX, they are admitted "without admission to trading," meaning all trading and settlement will continue via the Colombo Stock Exchange (CSE). • Strategic Context: This move marks a significant cross-border listing for a Sri Lankan non-bank financial institution (NBFI), utilizing India's international finance hub to profile its social-impact-focused debt. The bonds are unsecured, senior, and redeemable. • Sector Impact: Strengthens the visibility of Sri Lanka's sustainable finance and capital markets on an international stage, specifically within the banking and finance sector.

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📈 Siyapatha Finance to Raise Rs. 3.75 Bn via Debenture Issue

The Colombo Stock Exchange (CSE) has granted in-principle approval to Siyapatha Finance PLC for the listing of its rated, subordinated, unsecured, and redeemable debentures. This move reflects ongoing activity in the financial services sector to strengthen capital bases. • Issue Details: An initial offering of 20 million five-year debentures, with options to issue an additional 17.5 million units in two tranches if oversubscribed. • Total Value: The total issue size could reach Rs. 3.75 Bn if all tranches are fully exercised. • Interest Rate: Fixed at 11.50% per annum, with an Annual Effective Rate (AER) of 11.50%. • Timeline: The subscription list is scheduled to open on 20 March 2026. • Management: People’s Bank Investment Banking Unit is the designated manager to the issue. This capital raising effort supports the banking and finance industry's role in providing credit to the broader economy.

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### NDB Raises Rs. 16 Bn via Oversubscribed GSS+ Bond Issue 📈

National Development Bank PLC (NDB) has successfully closed its Basel III compliant Green, Social, and Sustainability (GSS+) Bond issue after receiving applications exceeding the total offered volume. • Total Capital Raised: The issue was oversubscribed, surpassing the initial Rs. 12 Bn offering and the additional Rs. 4 Bn greenshoe option, totaling Rs. 16 Bn. • Subscription Details: Applications exceeded 160 million bonds at a par value of Rs. 100 each. • Bond Profile: These are Tier 2, listed, rated, unsecured, and subordinated redeemable bonds designed to strengthen the bank's capital base under Basel III requirements. • Impact: The successful capital raise highlights strong investor confidence in banking & financial services and supports the expansion of sustainable financing in the Sri Lankan market. • Next Steps: Based on provisional data, the final basis of allotment will be notified to the Colombo Stock Exchange (CSE) shortly.

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### Expert Panel: Why Sri Lanka Struggles to Attract FDI 📈

A high-level symposium featuring experts from the US, China, and India has diagnosed key structural and corporate failures hindering Sri Lanka’s foreign direct investment (FDI) inflows. Key Figures & Performance • Annual FDI Inflow: Currently ~US$ 1 Bn, representing only 1% of GDP, significantly trailing the 3–4% seen in competing emerging markets. • Corporate Returns: Analysis of the top 25 listed firms shows only 5 consistently generate returns above the cost of capital. • China's Outbound Investment: Reached US$ 174 Bn in 2025, presenting a massive untapped opportunity for local partnerships. Critical Bottlenecks • Private Sector Accountability: Experts noted that tax incentives are no longer a differentiator; investors prioritize "responsibility, discipline, and performance." • Ecosystem Gaps: Beyond tax breaks, the country lacks a cohesive ecosystem involving skilled labor, industrial land, and streamlined logistics. • Institutional Weakness: A significant lack of professional and technical capacity to negotiate and manage Free Trade Agreements (FTAs) compared to regional peers like Vietnam. High-Potential Sectors • Tourism: Strategic focus needed on India’s 1.4 billion population, specifically major urban hubs. • Manufacturing & ICT/BPM: Opportunities to integrate into regional supply chains (e.g., Chennai industrial clusters) and leverage the skilled technology services workforce. • Logistics: Leveraging the strategic maritime location, provided there is better regional connectivity and a healthy national airline. Strategic Outlook To transition into an intermediate production hub, Sri Lanka must shift from serving a small domestic market to an export-oriented model backed by a stable legal system and consistent policy. _(Based on provisional 2025/26 data)_.

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Launch of $ 100 Mn Sri Lanka Opportunity Fund for Global Investors 📈

ACP Asset Management has launched the Sri Lanka Opportunity Fund, the first-ever European-regulated (UCITS) fund dedicated exclusively to Sri Lankan assets. Regulated by the FMA of Liechtenstein, the fund offers international investors a liquid, high-governance entry point into the country’s economic recovery. • Fund Status & Targets: - Already seeded with US$ 10 Mn. - Expected inflow of US$ 25 Mn within the next 30 days. - Target Assets Under Management (AUM): US$ 100 Mn within 6–12 months. • Performance Track Record: - Building on a prior strategy that delivered USD returns of 25.60% (2025), 48.55% (2024), and 38.50% (2023). - Cumulative returns of 77.55% since December 2021, significantly outperforming the MSCI Frontier Markets Index. • Investment Strategy: - Focuses on listed equities and fixed income (Sovereign and Corporate bonds in USD/LKR). - Targets high-growth sectors: Banking, Consumer, and Export-oriented industries. - Leverages attractive equity valuations currently at ~11x price-to-earnings. • Market Outlook: - Capitalizes on Sri Lanka's economic restructuring, stable debt profile, and rebounds in Tourism and Manufacturing. - The UCITS structure provides a 30% liquidity buffer, signaling Sri Lanka's readiness to operate within international regulatory frameworks.

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Sri Lanka to Host Landmark Global Investment Forum on June 10 📈

• Event Overview: The Sri Lanka Export Development Board (EDB) has announced plans for what is expected to be the largest and most extensive investment forum in the country’s history, scheduled for June 10, 2026. • Strategic Objective: The forum aims to bring top-tier global investors to Sri Lanka to facilitate direct, face-to-face engagement with local exporters, focusing on expanding international market linkages. • Sector Impact: The initiative targets growth across key national sectors, including export manufacturing, apparel & textiles, and agricultural exports, by providing a platform for discussions on expanding export opportunities. • Key Highlights: • Expected to be the most "extensive and attractive" gathering of its kind in Sri Lanka. • Focus on strengthening global buyer-investor relationships. • Led by EDB Chairman Mangala Wijesinghe to drive long-term export sector growth. _Note: Summary based on provisional EDB announcements as of February 25, 2026._

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## Capital Alliance Lists Third Closed-End Fund on CSE 📈

Capital Alliance Investments Ltd (CALI) officially listed the units of its CAL Three Year Closed End Fund on the Colombo Stock Exchange (CSE), marking another milestone in the growth of structured investment vehicles in Sri Lanka. • Listing Details: A total of 841,263,375 units were listed following a ceremonial bell-ringing at the CSE. This follows CALI’s previous launches of the Five Year Closed End Fund (2025) and the Five Year Optimum Fund (2024). • Fund Strategy: The fund is a closed-end fixed income unit trust with a three-year tenure. It focuses on capital preservation and growth through a diversified portfolio of fixed income instruments, governed by strict internal credit filters and liquidity monitoring. • Market Context: The listing reflects rising domestic interest in unit trusts as a professional entry point for retail investors. In a stabilizing yield environment, these funds aim to provide predictable cash flow and channel national savings into productive economic activity. • Sector Impact: This development strengthens the financial services sector by expanding the range of professionally managed investment products available, supporting broader capital market development during the country’s economic recovery.

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Understanding Fixed Income: Bonds & the Sri Lankan Market 📈

A collaborative insight by CFA Society Sri Lanka, SEC, and CSE highlights the role of bonds in building resilient portfolios through stable income and risk mitigation. • Core Mechanics • Bonds act as loans to the Government or corporates in exchange for regular "coupon" (interest) payments. • Maturity periods: Short-term (<3 yrs), Medium-term (3–10 yrs), and Long-term (>10 yrs). • Secondary Market Inverse: Bond prices and interest rates move in opposite directions; falling rates boost existing bond values. • Market Instruments in Sri Lanka • Government Securities: Treasury Bills (discounted short-term) and Treasury Bonds (fixed-term) issued via CBSL. • Corporate Debentures: Companies issue debt for expansion, typically with ~5-year maturities, often listed on the CSE. • Sustainable Finance: Emerging Green, Blue, and Social Bonds (GSS+) targeting ESG-focused projects. • Yields & Risk Comparison • Historical returns (1994–2024): T-Bills averaged 11.34% with no principal loss, vs. ASPI (shares) at 14.57% with high 37.10% volatility. • Key risks: Interest rate risk, inflation risk, credit (default) risk, and liquidity risk. • Credit ratings (e.g., Fitch, Moody’s) help assess an issuer's likelihood of debt repayment. • Investment Strategy • Bonds offer predictable income and priority in liquidation over shareholders. • Recommended for diversification to offset stock market volatility, especially for conservative investors and retirees.

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Startups & Entrepreneurship

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The Power of Personal Branding in Modern Entrepreneurship 📈

In an increasingly competitive market, personal branding has emerged as a critical differentiator for entrepreneurs, particularly within the Sri Lankan startup and SME sectors. • The Trust Factor: Modern consumers are increasingly skeptical of traditional marketing. Data suggests that customers "buy" the person behind the product first. Authentic personal branding builds the trust and emotional connection necessary to drive purchasing decisions. • Strategic Differentiation: While products and features can be easily replicated, a personal brand—comprising an entrepreneur's unique values, story, and communication style—is unique. This provides a low-cost, high-impact alternative to expensive advertising, benefiting young business owners with limited funding. • Long-term Resilience: A strong personal brand ensures success beyond a single venture. Loyal audiences often follow an entrepreneur into new business cycles, providing a safety net even if a specific business fails. • Digital Growth: Social media platforms like Instagram and TikTok have become primary drivers for small businesses. Transparency in the "making-of" process and direct engagement foster high levels of customer loyalty. • Sri Lankan Context: With rising technology access, there is significant potential for Sri Lankan youth to leverage personal branding to scale creativity and ICT-related services toward regional and international markets. _Key Drivers:_ Authenticity and consistency are identified as the two pillars of a sustainable personal brand.

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GoviLab AgriTech Accelerator Concludes Second Cohort 📈

The GoviLab AgriTech Accelerator has successfully completed its second cohort, marking a significant milestone in Sri Lanka’s Inclusive Digital Agriculture Transformation (IDAT) strategy. The program, partnered by Hatch, Sarvodaya, and the Gates Foundation, aims to modernize a sector that employs 30% of the population but contributes less than 8% to GDP. • Program Impact & Scale Supported 20 agri-tech startups across two cohorts (2024–2026). Cohort 2 featured 10 startups, including 4 female-led ventures. Focuses on smallholder farmers to improve productivity, sustainability, and digital adoption. • Strategic Economic Goals Supports the national target to grow the digital economy from US$ 3.5 Bn to US$ 15 Bn by 2030. Aims to expand the technology industry to US$ 5 Bn within the same period. Leverages CROPIX, a national digital platform launched in early 2026, featuring 150+ APIs for agricultural intelligence. • Sectoral Innovations Solutions include drone technology for paddy and coconut cultivation, precision agriculture for greenhouses, and locally manufactured machinery. Addressed critical issues like human-wildlife conflict and post-harvest wastage to ensure national food security. • Key Partnerships Funded by the Gates Foundation with technical steering from ICTA and the Ministry of Agriculture. Sarvodaya provides "last-mile" connectivity to grassroots farmer bases, while Hatch serves as the primary accelerator provider.

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Colombo Hosts 2026 Entrepreneurs’ Organisation (EO) Regional Presidents’ Meeting 📈

The Entrepreneurs’ Organisation (EO) concluded its four-day regional leadership gathering at Cinnamon Life, Colombo, positioning Sri Lanka as a premier hub for high-value business tourism. • Event Scale & Scope The summit brought together over 300 delegates, including Chapter Presidents and Managers from 79 chapters. Participants represented 34 countries across Europe, South Asia, the Middle East, and Africa. • Economic Impact The meeting provided a direct boost to Colombo’s visitor economy. High-spending delegates and spouses extended stays, leading to full bookings for local hotels, restaurants, and transport providers. • Strategic Significance • MICE Tourism: The event showcased Colombo’s capacity to host large-scale international conferences, critical for service sector growth. • Networking: Focused on the theme "Trust. Grow. Together.", the meeting facilitated cross-border collaboration among founders from a global network of 20,000+ entrepreneurs. • Local Leadership: Hosted by EO Sri Lanka, led by Tarindra Kaluperuma, emphasizing the role of local entrepreneurship in driving regional market alignment.

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SL Launches 'Hyacinthesis' Accelerator to Turn Invasive Water Hyacinth into Export Assets 🌿

The Foundation For A Good Life (TFGL) and Good Life X (GLX) have launched an eight-month market-driven program to transform the invasive water hyacinth into sustainable raw materials for circular innovation and livelihood support. • Economic Potential: The initiative targets the global sustainable homeware and natural fibre market, which is projected to exceed US$ 60 Bn by 2030. Premium retail prices for water hyacinth products currently range from US$ 20 to US$ 80 per unit. • Strategic Impact: By repositioning the plant as a regenerative material, the project mitigates its damage to agriculture, fisheries, and irrigation systems while creating high-value employment in rural artisan communities. • Program Details: Supported by the Lanka Environment Fund, Scott Dunn, and Conservation Collective. Will scale six enterprises in its first cohort, focusing on craft and homeware. Future phases plan to diversify into paper, packaging, fertiliser, and biochar. • Market Access: Participants receive seed financing, technical mentorship, and direct links to retail partners to ensure products meet global demand standards. Based on official launch data for the 2026 program cycle.

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Navigating the Work-Life Balance for Sri Lankan Women Entrepreneurs 📈

The challenge of balancing professional growth with traditional domestic duties remains a significant barrier for women in Sri Lanka's economy. While women comprise over 50% of the population, their labour force participation stands at only 30%–34%. • Economic Impact SMEs contribute over 50% of Sri Lanka's GDP and 45% of total employment. Only approximately 25% of these businesses are female-led, with many operating within the informal sector. Structural hurdles include limited access to credit, long working hours, and high financial risks. • Key Challenges Unequal domestic workloads and cultural pressure to prioritize family over business. Lack of affordable childcare and eldercare services. Emotional exhaustion and "guilt" stemming from dual responsibilities, leading to reduced productivity. • Market & Policy Solutions Market-based innovations: Growth in ready-to-cook meals and home delivery services is actively reducing domestic chore time. Strategic shifts: Increasing use of flexible business models and task delegation. Policy needs: Calls for gender-sensitive financing, entrepreneurship training, and state-supported childcare to bridge the gender gap. Supporting women to balance these roles is a national economic priority to ensure a more inclusive and sustainable ICT/BPM and SME ecosystem.

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## Fintech Literacy: The Missing Link for Sri Lanka’s Young Entrepreneurs 📈

A significant skill gap in Financial Technology is hindering the scalability of youth-led startups in Sri Lanka, despite their mastery of social media marketing. • The "Digital Native" Paradox Many young founders rely on manual bank transfers and "screenshot verification," creating operational bottlenecks. This "manual model" limits sales volume and lacks the professional invoicing expected by premium customers. • Underutilized Infrastructure • LankaQR: A low-cost, zero-hardware solution by the Central Bank that remains underused due to awareness gaps regarding its interoperability with apps like Q+, SOLO, and Frimi. • Internet Payment Gateways (IPG): Essential for the ICT/BPM and digital retail sectors to reduce "cart abandonment" caused by high-friction manual payment steps. • Economic Impact & Growth Adopting seamless digital payments is viewed as a "silent killer" of growth if ignored. Transitioning to integrated gateways allows startups to capture impulse buys and signals business legitimacy in a market increasingly wary of scams. • Strategic Recommendation There is an urgent call to integrate Fintech literacy—including Merchant Discount Rates (MDR) and digital onboarding—into national entrepreneurship curricula to move beyond a "cash-on-delivery" economy.

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COYLE Concludes Year of Growth with Focus on Global Expansion and Innovation 📈

The Chamber of Lankan Entrepreneurs (COYLE) has marked a year of operationalizing its "Vision to Reality" theme, focusing on internal capacity building and international integration for the entrepreneurial sector. • Strategic Focus & Skills Development Prioritized digital transformation, Artificial Intelligence, and cybersecurity to equip leaders for modern risks. Partnered with Harvard Business School for global strategic frameworks. Launched the COYLE World Mastercard with Sampath Bank to enhance financial tools for members. • International & Diplomatic Engagement Strengthened ties with 8+ diplomatic missions (including India, Singapore, and New Zealand) to explore trade and investment. Signed MoUs with JETRO (Japan), AHK Sri Lanka (Germany), and the Sri Lanka–New Zealand Business Chamber to facilitate market access. Hosted inbound business delegations from Switzerland, Taiwan, and Nepal. • National Policy & Productivity Submitted comprehensive budget proposals to the Presidential Secretariat to improve the "ease of doing business" in Sri Lanka. Inaugurated the Sri Lanka Corporate Health and Productivity Awards (SLCHPA) to link employee wellbeing with economic output. Collaborated with the Alliance of Lankan Entrepreneurial Chambers (ALEC) to unify national advocacy efforts. • Youth & Future Growth Conducted "Back-to-School" initiatives at major colleges to mentor the next generation of SME and corporate leaders, fostering long-term economic resilience.

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📈 SLCSMI Launches National SME Support Forum to Address Economic Challenges

The Sri Lanka Chamber of Small and Medium Industries (SLCSMI) has announced a strategic initiative to support the SME sector, currently navigating a high-pressure recovery phase following successive national and global shocks. • Sector Significance: The SME sector remains the backbone of the economy, contributing approximately 52% to Sri Lanka’s GDP and providing employment for over 45% of the national workforce. • Economic Impact: Businesses have faced a series of disruptions since 2019, including the Easter attacks, COVID-19, the 2022 economic crisis, and recent natural disasters like Cyclone Ditwah. Ongoing Middle East tensions further impact trade and remittances. • Strategic Response: A special SME Forum is scheduled for late March 2026. This platform aims to bridge the gap between entrepreneurs and policymakers to resolve issues in: Finance and liquidity access Regulatory hurdles Market access and operational stability • Call to Action: Entrepreneurs in sectors such as manufacturing, trade, and services are urged to register by 20 March 2026. Registration: [email protected] or WhatsApp 0774586940. The initiative underscores that reviving Small and Medium Enterprises is essential for sustainable national economic recovery and rebuilding industrial resilience.

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New 'Harvest Centre' Tech Incubator Opens at Ruhuna University 📈

The Ministry of Science and Technology has launched its second technology incubation centre, the Harvest Centre, located at the Faculty of Agriculture, University of Ruhuna. This initiative aims to bridge the gap between academic research and commercial entrepreneurship in the Southern Province. • Strategic Focus: Dedicated to revitalising the agribusiness and food technology sectors within the Matara, Galle, and Hambantota districts. • Core Objectives: • Facilitate research commercialisation and support for start-ups. • Provide scientific reports on food quality, standards, and modern packaging to meet international benchmarks. • Offer technical and management guidance from university lecturers to help SMEs scale operations. • National Context: The centre operates under the Vidatha program, a national framework designed to transfer high-tech knowledge to rural areas. By converting natural resources into value-added products, the project aims to strengthen local industries and expand their reach into foreign markets. • Collaboration: A joint effort between the Ministry of Science and Technology and the University of Ruhuna, supported by the Ministry of Industry and Entrepreneurship Development. • Status: Based on official launch reports; part of a broader plan to establish technology incubators across state universities to boost the MSME sector.

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### Strategies for Resilient Entrepreneurship in Post-Crisis Sri Lanka 📈

A high-level roundtable convened by Dilmah Genesis and the LSE South Asia Centre in Colombo has outlined a shift from basic economic stability to long-term growth through institutional alignment and specialized support. • The Advisory Gap Research indicates that while financial aid (debt moratoria/concessional loans) is common, it is often "fragile" without relational support. Entrepreneurs rely heavily on informal networks; effective policy must integrate coaching, mentorship, and trust-based guidance rather than just technical instruction. • Sectoral Insights & Value Chains Tea & Agriculture: Experts highlighted that competition for supply can drive quality upgrading and better farmer pricing, drawing parallels from international models. SMEs: Small and medium enterprises remain central to growth but suffer from fragmented policy and under-prioritized fiscal strategies. Innovation: Global value is now defined by sustainability, provenance, and ethics—areas where Sri Lanka holds a natural competitive advantage. • Key Recommendations Digital Infrastructure: Adoption of digitally enabled public systems to restore entrepreneurial confidence. Beyond Capital: Shifting focus from purely financial instruments to human-centered support structures. Policy Alignment: Moving from "survival-driven" micro-enterprises to value-driven export strategies through ICT/BPM integration and climate-resilient innovation. _Note: Findings are based on discussions from the Dilmah-LSE workshop; a formal White Paper with policy suggestions is pending._ ---

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Bridging the Gap: Addressing the 52% Female Underrepresentation in Sri Lankan Business 📈

A recent analysis highlights a significant gender disparity in Sri Lanka’s entrepreneurial landscape, particularly visible in commercial hubs like Pettah. Despite women constituting 52% of the total population, their active economic participation as business owners remains disproportionately low. • Current Entrepreneurship Trends: Based on the Global Entrepreneurship Monitor 2023, the Total Early Stage Entrepreneurial Activity (TEA) rate for women in Sri Lanka is just 8.2%, compared to 14.7% for men. • Economic Barriers & Social Constraints: The study identifies deep-seated social and cultural barriers that prioritize homemaking over financial independence. These factors, combined with a lack of early-stage encouragement in family and educational settings, have led to "imposter syndrome" and a persistent fear of failure among potential female leaders. • Impact on National Growth: The underutilization of the female demographic represents a significant "untapped resource" for the national economy. Moving beyond small, informal ventures is critical for sustainable development. • Recommended Strategies: To build an inclusive ecosystem, the analysis calls for: Focused confidence-building programs. Enhanced access to finance and credit facilities for women. A long-term societal mindset shift to promote ownership and leadership.

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## Bluechip Technologies Asia Joins SolarX APAC Program 📈

Sri Lankan-based Bluechip Technologies Asia participated in the SolarX Startup Challenge APAC Acceleration Program in Singapore (Feb 4–6), focusing on scaling clean-energy innovations across the region. • Program Overview: Hosted by the International Solar Alliance (ISA), the event brought together 14 winning startups to pitch solar-based solutions to global investors and innovation leaders. • Sector Focus: The company explored AI-driven technology collaborations, specifically targeting: Smart Analytics: Enhancing renewable energy efficiency. Forecasting: Improving power grid predictability. Decision-Support: Optimizing clean-energy resource management. • Economic Impact: This engagement highlights the growing role of the Sri Lankan ICT/BPM sector in the global renewable energy transition through cross-border collaboration and advanced AI applications. • Strategic Outcome: The program emphasized investment readiness and business scalability, positioning clean-tech as a vital vertical for digital export growth.

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Real Estate

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Court Halts Defamatory Content Against Rs. 110 Bn "Pentara" Project ⚖️

The Colombo District Court issued an enjoining order on March 16, 2026, against specific websites and social media channels regarding alleged false statements targeting the real estate and construction sector. • Legal Action: Home Lands Property Investments Ltd. secured the order (Case No. DMR 279/26) to restrain the dissemination of defamatory content concerning its "Pentara" project in Thummulla. • Project Valuation: The "Pentara" development is valued at over Rs. 110 Billion, representing a significant investment in the national economy. • Compliance Status: The court was informed that all necessary legal approvals and certifications have been duly obtained for the project. • Economic Impact: The plaintiff argued that coordinated defamatory campaigns could discourage investors and prospective purchasers, potentially causing substantial financial losses to the construction sector and the broader national economy. • Legal Representation: A legal team led by President’s Counsel M.U.M. Ali Sabry appeared for the developers, noting that the publications were malicious in nature.

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### Home Lands Group Hits Milestone: 3,500 Residential Units Delivered 📈

The real estate and construction market leader, Home Lands Group, has officially handed over its 3,500th unit, reinforcing its position in Sri Lanka’s luxury and themed residential sector. • Key Delivery Stats: The Group has successfully delivered 3,500 resort apartments and villas to date. It currently manages a portfolio of over 6,000 units, with 2,500+ units presently under construction. • Future Pipeline: Based on provisional project timelines, the remaining 2,500 units are scheduled for completion and delivery across 2026, 2027, and 2028 (within the next 30 months). • Sector Impact: The milestone was marked at the Greendale Retirement Resort, the country's first international-standard retirement village. The Group’s integrated model, including its CIDA CS2-graded construction arm, provides high contractor assurance within the infrastructure and housing sectors. • Market Standing: Home Lands was recently named "Best Developer – Sri Lanka" for three consecutive years (2021, 2024, 2025) and remains the only real estate Superbrand in the country, highlighting strong consumer trust and sector stability.

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Lanka Property Show 2026: Driving Sri Lanka’s Real Estate Growth 📈

The 10th edition of Sri Lanka’s flagship real estate exhibition, hosted by LankaPropertyWeb, is scheduled for March 21-22, 2026, at the Cinnamon Grand Colombo. The event highlights the recovery and expansion of the housing and construction sectors. • Market Offerings: Over 30 apartment and housing projects across Colombo and its suburbs will be showcased. Entry-level pricing for featured projects starts at LKR 28.3 million. • Key Participants: Major developers include John Keells Properties, Fairway Properties, Marina Square, and Global Housing. Financial integration is a core focus, with Commercial Bank (Official Banking Partner), DFCC, Seylan, and Sampath Bank providing home financing solutions. • Sector Insights: Expert panels will address global real estate positioning, demographic shifts, and domestic migration. Discussions led by the Advocata Institute and University of Sri Jayewardenepura aim to align urban development with evolving lifestyle demands. • Technological Integration: A hybrid format features a physical showcase alongside a virtual edition offering 3D virtual tours and real-time engagement, catering to both local and overseas investors. The event serves as a critical barometer for foreign direct investment (FDI) in property and the domestic banking and finance sector's appetite for mortgage growth.

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JKP Unveils Vauxhall DSTRCT: 100+ Units Sold at Launch 📈

John Keells Properties (JKP) has officially launched its latest residential project, Vauxhall DSTRCT, a 60-storey tower in Colombo 02. The development reported immediate market cooling, with over 100 apartments sold by the opening day. • Project Scope: A high-rise development featuring 1, 2, 3, and 4-bedroom residences located on Vauxhall Street, overlooking Beira Lake. • Real Estate Sector: The launch signals sustained demand for urban housing and middle-to-upper-income residential units in the capital's central corridor. • Tech Integration: Following the TRI-ZEN model, the project focuses on smart technology-enabled apartments, a growing niche in Sri Lanka’s ICT/BPM and modern lifestyle sectors. • Investment Outlook: Based on JKP data, the project targets capital appreciation and rental yield, citing the evolution of city-centre living and professional migration to urban hubs. • Strategic Impact: The project contributes to construction sector activity and reinforces the role of large-scale developers in shaping Colombo’s skyline through integrated lifestyle hubs.

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### Tourism Land Leasing Model Risks Repeating Kalpitiya Failures 📈

A new policy brief by the Centre for a Smart Future warns that the government’s plan to lease 3,000 acres of coastal land for tourism development faces significant structural risks, mirroring the stalled Kalpitiya Integrated Tourism Resort Program (KITRP). • The Kalpitiya Precedent: Launched in 2010 to create 4,000 rooms and up to 18,000 jobs, the project remains largely unbuilt after 15 years. Multiple island leases signed in 2010 have seen no construction due to regulatory hurdles and community disputes. • Infrastructure & Resource Gaps: Water: Only 54% of daily demand is met, leaving a shortfall of 3.5 million litres. Waste: The region generates 132 metric tons of waste daily, but facilities handle only 5 tons. Health: The local 40-bed hospital lacks specialist doctors, undermining high-end hospitality standards. • Environmental & Governance Concerns: 79% of EIAs failed to explain the effectiveness of mitigation measures. Environmental clearances currently take 6–9 months, leading to capital being tied up in idle land. Fragile ecosystems, including low-lying islands and poor mangrove survival rates (18-22%), threaten long-term viability. • Market Mismatch: While the state promotes high-end luxury models, current visitors to areas like Kalpitiya are primarily sports-oriented (kite surfers) and budget eco-tourists, leading to weak demand for luxury overwater bungalows. • Recommendations: Experts urge a "pre-leasing diagnostic framework" to assess infrastructure readiness and community acceptance before further land is allocated to the travel & leisure sector. _Note: Summary based on a policy brief by researchers Ashanee Kottage and Tehani Chandrasena Perera._

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📈 IESL Calls for Urgent Reform in Building Fire Safety

The Institution of Engineers Sri Lanka (IESL) has warned of "serious systemic weaknesses" in the nation’s fire safety framework amidst a rapid rise in high-rise condominiums and commercial towers. A high-level workshop involving the UDA, CIDA, and the Fire Service Department highlighted critical gaps in enforcement and accountability. • Institutional Gaps: There is currently no single authority responsible for fire safety throughout a building’s lifecycle. The UDA lacks independent technical capacity, relying heavily on the Colombo Fire Department for design reviews. • Regulatory Failures: While approvals exist at the planning stage, there is a lack of mandatory post-construction inspections and periodic safety certifications (e.g., annual fire audits) common in developed markets. • Risk to Investments: Experts noted that fire engineering is often ignored during initial design, making later rectifications in real estate and hospitality sectors complex and expensive. • Proposed Actions: • Establish a dedicated Central Fire Safety Authority. • Mandate regular inspections linked to occupancy permits and insurance. • Improve coordination between construction regulators and local authorities. • Integrate fire safety into school and university curricula. _Note: Summary based on IESL national dialogue report dated March 10, 2026._

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National Program Launches to Grant "Himikam" Freehold Title Deeds 📈

President Anura Kumara Dissanayake has officially inaugurated the national "Himikam" program to transition state-held land permits into absolute freehold ownership, aiming to modernize Sri Lanka’s land administration and economic productivity. • Strategic Shift: The initiative replaces restrictive permits under the 1935 Ordinance with freehold deeds under the State Lands Ordinance No. 8 of 1947. This allows citizens to utilize land as flexible economic units without previous legal constraints. • Implementation: • The program began in the Anuradhapura District with the initial distribution of 500 title deeds. • It will be implemented island-wide for permits voluntarily surrendered to the State. • Focus remains on balancing land release with national food security and agriculture requirements. • Economic Vision: The government aims to move away from "outdated inherited economies" by providing land access for industries built on modern technology and scientific advancement. • Key Objectives: • Remove political motives from land distribution. • Empower the farming community and general public with collateralizable assets. • Systematic allocation of land to attract contemporary global economic strategies.

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📈 Home Lands Unveils Landmark US$ 300 Mn Luxury Project at Port City Colombo

Sri Lanka’s real estate leader, Home Lands Group, has announced a strategic entry into Port City Colombo with a massive independent investment, reinforcing local developer confidence in the Special Economic Zone (SEZ). • Key Financials: The group secured a 3-acre mixed-use land parcel for US$ 40.1 Mn (approx. LKR 12.5 Bn). This marks one of the largest single-developer investments by a Sri Lankan firm in the project without foreign partners. • Project Highlights: Planned US$ 300 Mn mixed-use development featuring twin 40-storey towers. The "vertical sanctuary" will offer over 600 ultra-luxury units inspired by a forest resort concept. • Strategic Location: Situated in the Central Park District, the development commands 40 acres of parkland, seamless waterway connectivity, and direct oceanfront access with beach entry. • Economic Impact: As the first Sri Lankan-led independent project of this scale in the SEZ, it signals a major boost for the construction and urban development sectors, enhancing the scope for high-value service exports and foreign investment. • National Context: Chairman Nalin Herath emphasized that the move reflects the financial strength of homegrown real estate players to deliver global-scale projects, positioning Colombo as a competitive regional lifestyle hub. 🏙️ Based on project announcement data (February 2026).

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Colombo Land Values Surge 10.6% in H2 2025 📈

The Central Bank of Sri Lanka (CBSL) reports that the Land Valuation Indicator (LVI) for the Colombo District reached 261.9 in the second half of 2025, maintaining a steady upward trajectory since 2023. • Overall Growth: The LVI increased by 10.6% YoY and 2.1% on a semi-annual basis compared to H1 2025. • Sector Breakdowns: • Residential: Recorded the highest growth, up 12.4% YoY (Index: 273.1). • Commercial: Increased by 11.3% YoY (Index: 260.6). • Industrial: Showed a more moderate rise of 8.0% YoY (Index: 251.9). • Context: The valuation, based on 2017 prices (H1 2017 = 100), covers all 13 Divisional Secretariat divisions in Colombo. The broad-based gains across real estate and infrastructure sectors reflect continued demand in the capital's land market. _Source: CBSL Statistics Department (Provisional Data)_

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Prime Lands Secures Historic Colombo 7 Property for ‘The Elizabeth’ Tower 📈

Prime Lands Residencies PLC has finalized an agreement with the Urban Development Authority (UDA) to acquire the historic Otters Club car park property. This marks a major expansion in the real estate & construction sector, targeting high-end residential demand in Colombo 7. • Strategic Acquisition: The development is set on a rare ~1-acre land parcel in a premium residential enclave. • Project Scale: Features a 23-storey residential tower titled ‘The Elizabeth’, designed as a “private residential estate in the sky.” • Unique Integration: The historic Otters Club will be integrated within the 4th and 5th floors, remaining fully independent and operational. • Luxury Amenities: Includes a grand concierge lobby, business lounge, rooftop infinity pool, sky garden, and a fitness pavilion. This project follows the success of The Grand - Ward Place, reinforcing Prime’s footprint in the luxury housing market. Early reservations are now officially open to investors and homeowners.

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Uncategorized

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Navy Seizes Major Narcotics Haul off Beruwala Coast ⚓

Based on provisional reports, the Sri Lanka Navy has intercepted a significant shipment of illegal substances during targeted operations: • Seizure Details: Over 250 kilograms of cocaine were recovered from a multi-day fishing trawler. • Operational Location: The vessel was intercepted off the coast of Beruwala and subsequently escorted to Dikkowita Harbour on the evening of March 16th. • Economic Context: Large-scale maritime security operations are critical for maintaining Sri Lanka's status as a secure regional logistics and shipping hub, mitigating the risks of the "shadow economy" impacting legitimate maritime trade.

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### Ranil Wickremesinghe Undergoes Successful Surgery in Singapore 🩺

Former President Ranil Wickremesinghe has successfully undergone a surgical procedure in Singapore, according to a statement made in Parliament yesterday. • Current Status: Opposition MP Ravi Karunanayake confirmed the surgery was completed successfully and extended wishes for a speedy recovery. • Context: The announcement was made during a parliamentary debate regarding regulations under the Colombo Port City Commission Act. • Location: The procedure was conducted in Singapore; however, specific details regarding the nature of the surgery remain undisclosed based on provisional reports.

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🚨 CID Reopens Probe into Makandure Madush Custodial Killing

The Criminal Investigation Department (CID) has officially commenced a fresh inquiry into the 2020 shooting death of notorious underworld figure Samarasinghe Arachchige Madush Lakshman, alias Makandure Madush, while in police custody. • Investigation Scope: The CID will record statements from Colombo Crime Division (CCD) officers who escorted Madush to Maligawatta on October 20, 2020, where he was killed by unidentified gunmen during a reported narcotics recovery operation. • Legal Directives: Following a request from the victim's brother to the Public Security Ministry, the Colombo Magistrate’s Court has ordered the collection of: Statements from the relevant medical officers. Video footage of the incident from media organizations. • Context: The probe seeks to clarify the circumstances of the shooting, which occurred while Madush was under high-security escort, raising long-standing questions regarding custodial safety and law enforcement protocols.

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📈 Online Scams: The Devastating Shift from Financial to Psychological Exploitation

Authorities in Cambodia have uncovered a sophisticated scam hub in O’Smach, highlighting a shift toward deep emotional manipulation rather than simple financial fraud. • Systematic Deception: Operations involved staged international police stations, forged documents, and counterfeit uniforms to create a climate of fear and authority. • Romance Scams: Scammers use "grooming" periods lasting weeks or months to build trust, specifically targeting individuals seeking companionship or emotional connection. • Psychological Impact: Victims suffer from severe mental health issues, including PTSD, chronic anxiety, depression, and a long-term loss of trust in legitimate institutions. • Human Cost: Beyond the victims, trafficked workers are forced into "scripted" deceptions, leading to significant personal trauma and chronic stress. • National Context: For Sri Lanka’s growing ICT/BPM and digital services sector, such regional developments emphasize the urgent need for enhanced digital literacy and mental health support frameworks for cyber-crime survivors.

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UNICEF Reports Staggering Child Casualties in Lebanon 🇱🇧

Recent data from the UN Children’s Fund (UNICEF) highlights a severe humanitarian crisis in Lebanon as conflict intensifies. While this report focuses on the Middle East, such geopolitical instability historically impacts global supply chains and energy prices relevant to the Sri Lankan economy. • Recent Toll: At least 83 children killed and 254 injured since March 2, 2026. • Daily Average: Over 10 children killed and approximately 36 injured every day over the past week. • Cumulative Impact: In the last 28 months, 329 children have been killed and 1,632 injured in Lebanon. • Displacement: Nearly 700,000 people have been forced from their homes, including approximately 200,000 children. • Infrastructure: UNICEF emphasizes the urgent need to protect civilian infrastructure, including schools and shelters, as per international humanitarian law. Based on provisional UNICEF data as of March 11, 2026. ⚠️

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🚨 Sri Lanka Navy Seizes 102kg Heroin Haul in Deep Sea Operation 🚨

• Security & Maritime: The Sri Lanka Navy intercepted a multi-day fishing trawler in international waters south of the island, uncovering a significant haul of narcotics. • Key Figures: Approximately 102kg of Heroin was discovered during the targeted operation. • Impact: Such seizures are critical for maintaining regional maritime security and curbing the illicit drug trade, which can destabilize the local economy and social framework. • Status: Based on provisional data from the Navy; further investigations into the origin and intended destination of the vessel are ongoing. ---

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SLAF Marks 75th Anniversary with Strategic Air Show & Exhibition ✈️

The Sri Lanka Air Force (SLAF) commenced its 75th-anniversary celebrations at the Ratmalana Air Force Base, inaugurated by President Anura Kumara Dissanayake. The event highlights the military's evolution and its supporting role in national security and regional stability. • National Significance: Marks three-quarters of a century of operations; significant for the defense sector and domestic aerospace awareness. • Event Scope: Features a comprehensive exhibition and air display showcasing technical capabilities and equipment. • Strategic Context: Reinforces the state’s commitment to maintaining a modernized air wing, which is vital for maritime surveillance, disaster response, and humanitarian assistance within the Indian Ocean region. _Summary based on official inauguration reports._

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## 🇻🇦 President Formally Invites Pope Leo XIV to Sri Lanka

• Diplomatic Outreach: President Anura Kumara Dissanayake has issued a formal invitation to His Holiness Pope Leo XIV for an official visit to Sri Lanka, aimed at strengthening bilateral ties with the Holy See. • Official Handover: The invitation letter was delivered at the Vatican on March 2, 2026, by Minister Bimal Rathnayake during his official mission to Italy. • High-Level Engagement: The letter was presented to Monsignor Mihaita Blaj, Under-Secretary for Relations with States, marking a significant step in Sri Lanka's international diplomacy and engagement with global religious leadership. • Context: While primarily a diplomatic and state visit, such high-profile engagements often bolster Sri Lanka's international standing and can positively impact the tourism and services sectors through increased global visibility.

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## Thousands Gather for Annual Katchatheevu Feast 2026 ⛪

The annual Katchatheevu Feast concluded on February 28, 2026, marking a significant event for cross-border religious diplomacy and the local maritime economy. • Event Overview: Held on February 27 and 28, the festival saw the participation of thousands of devotees originating from both Sri Lanka and India. • Economic Impact: While primarily religious, the feast supports the informal economy and fisheries sector by fostering bilateral relations between the two nations' coastal communities. • Logistics: Based on provisional reports, the event serves as a critical point for cultural exchange, impacting regional tourism and small-scale trade during the pilgrimage period.

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## ⛈️ Landslide Red Alert Issued for Four Districts Following Heavy Rainfall

The National Building Research Organisation (NBRO) has issued a Level 3 (Red) evacuation notice effective until 8:30 a.m. today (Feb 23), following intense rainfall exceeding 150mm within 24 hours. • High-Risk Zones (Red Alert): Immediate evacuation ordered for specific areas in Kandy (Yatinuwara, Doluwa), Kegalle (Aranayaka, Mawanella, Dehiowita), Matale (Rattota, Laggala), and Ratnapura. • Extended Warnings: Level 2 (Amber) and Level 1 (Yellow) alerts remain active for Badulla, Nuwara Eliya, Galle, Kurunegala, and Monaragala as heavy rains persist. • Economic & Safety Impact: Disruptions to plantation sector logistics and rural infrastructure are likely. Residents are advised to monitor for soil cracks, leaning utility poles, and sudden water flow changes near steep slopes. • Current Status: Based on provisional data from the NBRO; disaster management officials urge strict adherence to evacuation protocols to mitigate risks of slope failures and rock falls. 📈 ---

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Major Arrest in Akuregoda Double Murder Case ⚖️

Police have arrested a 46-year-old former Army soldier in connection with the fatal shooting of a lawyer and his wife in Akuregoda. This marks a significant development in the investigation into the February 13th attack. • Suspect Profile: The individual, a resident of Beruwala, legally discharged from the Army in 2009. He was apprehended in the Ambalangoda area by the Homagama Divisional Crime Investigation Unit. • Evidence Recovered: A mobile phone allegedly used for planning or executing the crime was seized during the arrest. • Case Context: The victims were killed inside their vehicle by two gunmen in a separate car. This arrest follows the previous detention of three other suspects accused of conspiracy and assistance in the Kottawa, Athurugiriya, and Kahathuduwa areas. • Legal Proceedings: The suspect is being interrogated by the Western Province South Crime Division and will be produced before the Kaduwela Magistrate’s Court.

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Energy News (Note: Based on the provided list, this falls under **Industry & Sector News**)

Strategic Partnership, Product & Service Launches / Business Expansions

**Politics & Government Impact**

Diplomatic Tension: France Questions Legitimacy of US-Israeli Strikes on Iran 🌍

• Geopolitical Context: France’s Foreign Minister, Jean-Noel Barrot, has publicly questioned the legitimacy of "unilateral" military actions taken by the US and Israel against Iran. • Diplomatic Stance: The French government asserts that such use of force should have been debated within the United Nations Security Council to acquire necessary international legitimacy. • Safety Update: As per provisional reports from the Ministry in Paris, no French casualties have been recorded at this stage. • Economic Implications: While specific trade data was not provided, such escalations in the Middle East typically impact global energy prices and shipping routes, which are critical to Sri Lanka's import costs and energy security.

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## Former SIS Chief Suresh Sallay Arrested Over Easter Attacks 📈

The Criminal Investigation Department (CID) has arrested former State Intelligence Service (SIS) Chief Major General (Retd.) Suresh Sallay in connection with the 2019 Easter Sunday terror attacks. This marks a high-profile development in the investigation of the bombings that killed 279 people and severely impacted the tourism sector. • Arrest & Detention Details Custody: Arrested in Peliyagoda by the CID under the Prevention of Terrorism Act (PTA). Detention: Authorized for a 72-hour period for interrogation regarding conspiracy and aiding/abetting. Evidence: Authorities cite "adequate evidence" emerging from ongoing probes into the April 21, 2019, coordinated bombings. • Background & Context Career Path: Served as Director of Army Intelligence, then SIS Chief (2019–2024). He most recently served as an adviser at the Sri Lankan High Commission in Malaysia. Allegations: Previously linked to the plot by whistleblowers in international documentaries, though he has consistently denied all involvement. Political Significance: This is the most significant arrest since President Anura Kumara Dissanayake took office, following pledges to expedite justice for victims. • Economic & Social Impact National Security: The move is seen as a major breakthrough in addressing the complexities of the attacks beyond the immediate suicide bombers. Tourism Recovery: Resolving the investigation remains critical for long-term stability in the hospitality and travel industries, which saw a sharp decline following the 2019 events. _Summary based on provisional police reports and current media disclosures._

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**Product & Service Launches / Business Expansions**

United Tractors & Equipment Wins Rs. 1.4 Bn Motor Grader Tender 📈

• Overall Deal: The Cabinet of Ministers has officially approved a contract worth Rs. 1,424.25 million (excluding VAT) for the procurement of 75 motor graders. • Winning Bidder: United Tractors & Equipment (Private) Limited secured the tender following a National Competitive Bidding process, beating out four other submitted bids. • Strategic Context: The machinery is designated for use in government development programmes, signaling a continued focus on infrastructure development and construction sectors. • Procurement Process: The bid was evaluated by the High-Level Standing Procurement Committee and presented by the President in his capacity as the Minister of Finance, Planning, and Economic Development. • Status: Approved (based on cabinet meeting proceedings from October 2025 and finalized February 2026).

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HNB & CARMART Partner to Boost Peugeot and LEAP Vehicle Leasing 📈

• Strategic Alliance: HNB PLC has signed a Memorandum of Understanding (MoU) with CARMART Ltd to provide specialized leasing solutions for globally recognized Peugeot and LEAP vehicle brands. • Digital & Physical Integration: The partnership leverages the Carmart.lk platform, merging digital vehicle discovery with HNB’s financing expertise to streamline the customer journey for Sri Lankan buyers. • Key Offerings: • Tailored leasing packages designed for both individual and family mobility needs. • Focus on financial efficiency and flexibility to enhance vehicle ownership accessibility. • Integration of CARMART's automotive marketplace with HNB's retail banking network. • Economic Impact: The collaboration aims to support economic participation by providing flexible financial solutions for premium mobility, helping customers maintain quality lifestyles while achieving mobility goals. _Note: Summary based on latest partnership announcement._

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