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🎭 Soul Sounds Hosts "The Pop Era" Concert at Lionel Wendt

• Event Overview: Renowned Sri Lankan vocal ensemble Soul Sounds, led by Music Director Soundarie David Rodrigo, staged "The Pop Era" on 12 July at the Lionel Wendt Theatre. • Performance Highlights: The production featured a journey through decades of global pop anthems, including medleys from ABBA, Michael Jackson, Britney Spears, as well as high-octane rock and classic love songs. • Key Contributors: Directed by Soundarie David Rodrigo with 2026 ensemble leaders Anagi Perera and Nadine Ollegasegrem; backed by a live band and stage production team including Kevin Cruze and Kishan Perera (Unique Sounds).

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🎭 Soul Sounds Hosts "The Pop Era" Concert at Lionel Wendt

• Event Overview: Renowned Sri Lankan vocal ensemble Soul Sounds, led by Music Director Soundarie David Rodrigo, staged "The Pop Era" on 12 July at the Lionel Wendt Theatre. • Performance Highlights: The production featured a journey through decades of global pop anthems, including medleys from ABBA, Michael Jackson, Britney Spears, as well as high-octane rock and classic love songs. • Key Contributors: Directed by Soundarie David Rodrigo with 2026 ensemble leaders Anagi Perera and Nadine Ollegasegrem; backed by a live band and stage production team including Kevin Cruze and Kishan Perera (Unique Sounds).

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Aussie Comedian Sashi Perera Shows in Colombo Today and Tomorrow 🎭

• Event Overview: Australian-born Sri Lankan comedian Sashi Perera brings her stand-up show _"Pear Tree"_ to Colombo on 24 and 25 July. The tour marks a homecoming following sold-out international shows across Australia, Europe, the UK, and New Zealand. • Key Highlights: - July 24: Matinee show at 4.00 p.m. and Main show at 7.00 p.m. at Elphinstone Theatre, featuring opening acts by Lushani Wijayasekara and Dylan J. Prins. - July 25: _"Pear Tree Salon"_ at 7.30 p.m. at COCO Bar, an "In Conversation" session featuring signed copies of her memoir Standstill, followed by an after-party at 9.30 p.m. • Profile & Context: Formerly a refugee lawyer, Sashi has gained over 60 million online views and a nomination for Best Newcomer at the 2023 Melbourne International Comedy Festival. Organized by strategic PR consultancy Scarlet Cat, the event reflects growing engagement with diaspora talent in Sri Lanka's entertainment & creative industries.

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📈 Unable to Generate Summary: Article Content Unavailable

• Overview: The attempt to fetch the requested Sri Lankan economic article from Daily FT timed out (`Read timed out`), preventing content extraction. • Status: Summary unavailable due to incomplete or unreachable input data.

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Headline: No Content Provided for Summary

• Overview: The input provided contains only a title ("Cartoon 24.07.2026") and no news content or data to summarize. • Note: Please provide text or data related to Sri Lankan business, market, or economic news to generate a full summary.

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🚨 Violent Incident at Colombo Port City: Chinese National Killed

• Incident Overview: A clash between two groups of Chinese nationals occurred at Colombo Port City during the early hours of July 23. One victim was abducted, assaulted, and later found murdered in Eheliyagoda. • Law Enforcement Action: Sri Lanka Police recovered the victim's body along with a vehicle used in the abduction and an air pistol at the scene. Two suspects were arrested at Bandaranaike International Airport (BIA) while allegedly attempting to flee the country. • Diplomatic Response: The Chinese Embassy in Sri Lanka is closely monitoring the case, urging local authorities to conduct a thorough investigation and safeguard the safety of Chinese citizens in Sri Lanka. • Impact on Port City: The investigation is being handled by Foreshore Police and forensics, marking a notable security incident within the high-profile Colombo Port City Special Economic Zone.

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📈 Data Timeout Alert: Content Extraction Unsuccessful

• Extraction Status: Article retrieval failed due to a server connection timeout (30s) from the source host. • Data Availability: Detailed economic figures, sector updates, and YoY growth metrics are currently unavailable for this specific news item. _Note: Summary generated based on provisional transmission metadata._

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🚨 Former Sri Lankan IGP C.D. Wickramaratne Passes Away After Gunshot Incident

• Incident Details: Former Inspector General of Police (IGP) C.D. Wickramaratne died yesterday after sustaining gunshot injuries at his residence on Parakrama Road, Thalahena, located within the Malabe Police Division. • Official Actions: Following the incident, Wickramaratne was admitted to the Eastern Colombo Teaching Hospital, where he was pronounced dead. The body remains at the hospital pending a post-mortem examination. • Investigation Status: The Malabe Police have commenced official investigations. Further inquiries are being actively conducted by the Western Province South Division Criminal Branch in coordination with the Malabe Police. Two specialized police teams have been deployed to investigate the case. • National Context & Service: Wickramaratne served as Sri Lanka's 35th Inspector General of Police, holding the top post in the nation's law enforcement and internal security apparatus from 27 November 2020 until his retirement on 23 November 2023. He was 63 years old at the time of his passing.

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Warrants Issued for Deputy Minister & NPP MP Over Court No-Show 📈

The Fort Magistrate’s Court has ordered the arrest of Urban Development Deputy Minister Eranga Gunasekara, NPP MP Jagath Manuwarna, and four others after they failed to appear for a scheduled hearing. Key details based on the court proceedings: • Accused Individuals: Warrants were issued by Additional Magistrate Kingsley Hettiarachchi against Deputy Minister Eranga Gunasekara, MP Jagath Manuwarna, Roshan Ali Dhaniz Ali, Amal Salinda (alias "Army Amila"), Udayanga Kumara, and Ven. Koswatte Mahanama Thero. • Legal Charges: The six individuals, who are currently out on bail, face charges related to participating in protests and being members of an unlawful assembly in violation of a court order. • Next Steps: The court has issued formal notices to the sureties who stood bail for the accused. The case has been fixed for its next hearing on 4 December 2026.

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🏛️ Sri Lanka’s Civilisational Heritage Named a Key Strategic Asset

• The Core Asset: A former Sri Lankan Ambassador highlights the nation’s Theravāda Buddhist heritage not merely as a religious legacy, but as a primary strategic asset to strengthen national identity, ethical leadership, and social harmony. • Economic & Diplomatic Value: Confidently positioning Sri Lanka as a global hub for Theravāda scholarship, archaeology, and peace studies can directly boost tourism (specifically cultural tourism), education, and research. It can also elevate the island's international standing and cultural diplomacy. • Governance & Moral Recovery: Economic recovery alone is insufficient for sustainable progress. The article urges modern leaders to seek moral counsel from Buddhist clergy and other religious and civil leaders to restore public trust, integrity, and civic responsibility. • Pluralistic Unity: Prioritizing this heritage does not diminish the contributions of Hindu, Muslim, or Christian communities. True Buddhist values emphasize compassion and justice, which support a diverse, united, and prosperous nation. _Note: Summary based on an editorial by a former Sri Lankan Ambassador._

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🚨 HRCSL Investigates Negombo & Welikada Prison Misconduct

The Human Rights Commission of Sri Lanka (HRCSL) has launched a formal investigation into allegations of torture, ill-treatment, and deaths in custody following recent violence at Negombo Prison, while severely criticizing prison authorities for obstructing statutory oversight. Key Findings & Violations: • Denial of Legal Access: Welikada Prison officials unlawfully denied HRCSL inspectors entry on the night of July 7, violating the HRCSL Act No. 21 of 1996, which guarantees unrestricted, unannounced inspection rights. Prison claims of a "volatile security situation" were rejected by the Commission. • Inmate Abuse & Reprisals: Transferred inmates from Negombo alleged targeted torture and denial of critical medical treatment. Inspectors observed visible, untreated injuries on several prisoners. • Unlawful Detention: The HRCSL discovered that multiple transferred inmates remained in custody despite having already completed their prison sentences. • Risk of Enforced Disappearance: Authorities delayed disclosing the locations of transferred prisoners to their families. The HRCSL warned this prolonged nondisclosure could breach the International Convention for the Protection of All Persons from Enforced Disappearance Act No. 5 of 2018. HRCSL Directives: • Issue an immediate circular reaffirming the Commission’s absolute inspection powers. • Enforce strict orders prohibiting any reprisals or assaults against transferred inmates. • Execute the immediate disclosure of all prisoner locations to next of kin. • Ensure the prompt release of all inmates who have fully served their sentences.

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🚨 Road Drains Driving 70% of Dengue Risk, Study Reveals

A new research study by Priyantha Wickramarathna and Prof. S.P. Samarakoon reveals a major gap in Sri Lanka's dengue prevention, showing that national infrastructure, rather than household negligence, is the primary driver of the current crisis. • The Core Finding: Open and exposed roadside drainage systems account for 70% of the overall dengue transmission risk. In contrast, households, schools, and workplaces account for only about 30%. • The Policy Mismatch: While national authorities heavily focus inspection and enforcement efforts on domestic and institutional environments, the study urges an immediate shift toward maintaining, covering, and managing public roadside drains. • 2026 Outbreak Data: Sri Lanka is facing a severe outbreak with 63,835 reported cases and 42 deaths (provisional data as of early July 2026). This includes a sharp spike of 21,543 cases in June alone. • Regional Epicentre: The Western Province remains the hardest hit, with Colombo (12,968 cases) and Gampaha (12,929 cases) together accounting for over 40% of the national total. • Critical Health Warning: Medical experts highlight that the most dangerous phase of dengue is the "Danger Window" (Days 4–6) when the fever begins to drop. This is when severe complications like bleeding and shock are most likely to occur, requiring vigilant clinical monitoring.

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🇱🇰 PM Dr. Harini Amarasuriya Departs for Qatar Following Death of Former Qatari Leader

Sri Lankan Prime Minister Dr. Harini Amarasuriya has departed for the State of Qatar to attend the funeral ceremony of the country's former leader (Father Amir), Sheikh Hamad bin Khalifa Al Thani, who passed away on July 12, 2026, at the age of 74. Key Objectives of the Visit • Official Condolences: PM Amarasuriya will formally convey the deepest condolences on behalf of the Government and the people of Sri Lanka to the leadership of Qatar. • High-Level Engagements: The Prime Minister will participate in high-level official meetings with Qatari leadership to reaffirm Sri Lanka’s longstanding diplomatic friendship, bilateral cooperation, and mutual ties. National Context • Diplomatic & Economic Ties: High-level diplomatic visits to key Middle Eastern nations like Qatar are critical for bolstering Sri Lanka's foreign relations, securing developmental cooperation, and supporting the interests of the significant Sri Lankan migrant workforce employed in the region.

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Corporate News

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🎤 Alston Koch Calls for Unity at SLID Corporate Director Summit 2026 📈

• Event Highlights: Internationally acclaimed singer Alston Koch performed at the Fireside Chat of the Sri Lanka Corporate Director Summit 2026, organized by the Sri Lanka Institute of Directors (SLID) at the Cinnamon Grand. • Core Message: Addressing corporate leaders, Koch urged Sri Lankans globally and the domestic business fraternity to unite and support the country and government in driving national growth. • Key Participants: The summit featured keynote addresses and discussions from international and local business leaders, including Dr. Binod Chaudhary (Chaudhary Group), Prof. Sir Nishan Canagarajah (University of Leicester), Sharhan Muhseen (Commercial Bank of Ceylon), along with leaders from the Board of Investment (BOI), IFC, Unilever Sri Lanka, and Deloitte South Asia.

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📈 Remembrance: Killi Rajamahendran's Corporate & Media Legacy

• Overview: Five-year tribute to R. Rajamahendran ("Killi Maharaja"), former leader of the Capital Maharaja Group, highlighting his impact on Sri Lanka's corporate culture and media & broadcasting landscape. • Institutional Impact: Emphasizes his legacy in building resilient organizational cultures and talent development rather than just corporate assets, driving high execution standards and global competitiveness for local enterprises. • Core Sectors & Values: Focuses on media & broadcasting and industrial manufacturing (such as S-Lon), anchoring long-term commercial success, editorial credibility, and stakeholder confidence in a foundation of organizational trust. • Corporate Continuity: Notes the transition of stewardship to the next generation, maintaining the group's foundational culture and focus on corporate governance post-2021.

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## Ceylinco Life Rewards Policyholders with All-Expenses-Paid Malaysia Tour 📈

• Campaign Details: Ceylinco Life hosted 10 policyholder families (40 participants total) on an all-expenses-paid tour to Malaysia under the 19th edition of its flagship 'Family Savari' customer engagement promotion. • Itinerary Highlights: The tour covered key attractions in Kuala Lumpur (Petronas Twin Towers, Aquaria KLCC, KLCC Lake Symphony) and Genting Highlands (cable car, Genting SkyWorlds Theme Park). • Brand Engagement: Accompanied by brand ambassadors Roshan, Kushlani, and Minneth Ranawana, all expenses were fully sponsored by Ceylinco Life to reward customer loyalty within Sri Lanka's life insurance sector.

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📈 Hayleys Agriculture Charts Strategic Course for Market Leadership with 'Where Value Blossoms' Campaign

Hayleys Agriculture Holdings Ltd. has launched its new corporate campaign, ‘Where Value Blossoms’, highlighting its 50-year evolution into one of Sri Lanka’s most integrated agribusinesses across value-added food exports, agri-inputs, and agtech. • Sector Footprint & Export Leadership: • HJS Condiments: Dominates nearly 60% of Sri Lanka's processed fruit and vegetable exports. • Quality Seed Co.: Nation's sole exporter of F1 hybrid flower seeds; features Sri Lanka's largest rainwater harvesting facility (7.6M litres capacity, supplying up to 35% of annual demand). • Hayleys Agro Biotech: Market leader in tissue culture plants exports. • CocoLife: Key exporter of coconut kernel-based products. • Regional Reach: Operates overseas via wholly owned subsidiary Haychem Bangladesh. • Tech & Sustainability Focus: • Digital & Precision Ag: Implemented the OMNIX digital platform alongside AI-driven automation, micro-irrigation, and mechanised harvesting. • Green Practices: 27% of total water requirements are currently sourced via sustainable channels (rainwater harvesting and recycling). Holds global certifications including FSSC, BRCGS, HACCP, SMETA SEDEX, and USDA Organic. • Inclusive & Rural Impact: • Supports an outgrower network of 12,500+ farmers (30% women). • Strong female employment: Over 80% workforce representation at Quality Seed Co. and Hayleys Agro Biotech.

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📈 Beruwala Resorts Plans Rs. 398Mn Rights Issue for Refurbishment

Beruwala Resorts PLC has proposed a Rs. 398 million rights issue primarily to fund the overhaul of The Palms Beruwala hotel and support working capital. • Rights Issue Details: • Capital to raise: Rs. 398.04 million • Shares offered: 318,429,225 new ordinary shares • Ratio: 5 new shares for every 11 existing shares held • Issue Price: Rs. 1.25 per share (vs. market close price of Rs. 2.90) • Financial & Capital Structure: • Stated Capital: Rs. 120 million • Public Float: 29.83% • Major Shareholder: Colombo Fort Hotels Ltd holds a 66.25% controlling stake (as of end-March 2026) • Purpose & Next Steps: • Funds will directly revamp hospitality infrastructure at The Palms Beruwala and meet ongoing liquidity needs. • Implementation remains subject to Colombo Stock Exchange (CSE) listing approval and shareholder consent at an upcoming EGM.

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📈 Ceylon Investment Proposes Rs. 366 Mn Share Buyback

• Total Buyback Value: Up to Rs. 365.99 Mn to repurchase a maximum of 1,800,014 ordinary shares. • Offer Price: Rs. 203.33 per share (stock closed at Rs. 99.70 yesterday). • Entitlement Ratio: 1 ordinary share for every 54 ordinary shares held. • Timeline: Proposed offer period from 2 September to 23 September (subject to regulatory concurrence). • Regulatory & Governance: Board approved the buyback per Articles of Association and signed a Certificate of Solvency. Draft offer document submitted to CSE for approval. • Key Shareholding: Ceylon Guardian Investment Trust holds the top stake (66.58%); public float stands at 33.42% (as of end-March 2026).

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📈 Overseas Realty Records Rs. 4.77 Bn PBT in 1H 2026

• Financial Performance: Overseas Realty (Ceylon) PLC reported Group Revenue of Rs. 6.78 Bn and a Group PBT of Rs. 4.77 Bn for the 6 months ending 30 June 2026. EPS stood at Rs. 3.60 and Net Asset Value per share reached Rs. 54.67. Fair Value Gain on Investment Properties was Rs. 1.09 Bn (compared to Rs. 2.33 Bn in 1H 2025). • Commercial & Retail Performance: Higher occupancy and rental rates boosted revenue across commercial real estate and retail assets: - Mireka Tower: Rs. 2.16 Bn (+95% YoY) - World Trade Center, Colombo: Rs. 921 Mn (+32% YoY) - Havelock City Mall: Rs. 1.20 Bn (+22% YoY) • Residential Property & New Projects: - Havelock City Apartments: Revenue fell to Rs. 771 Mn due to limited remaining inventory available for sale. - Mireka Seascape: Piling work commenced in Q2 2026 for the 168-unit luxury coastal development on Sri Lanka's southern coast.

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Binod Chaudhary Calls on Sri Lankan Boards to Pair Governance with Global Ambition 📈

Speaking at the Sri Lanka Corporate Director Summit 2026, Nepalese billionaire Dr. Binod Chaudhary urged corporate boards in emerging markets to move beyond mere compliance and adopt an ambitious global mindset. • Strategic Insights & Key Takeaways: • Boards must balance sound governance and risk discipline with entrepreneurial drive rather than restricting growth. • Highlighted his initial hospitality investment in Sri Lanka (Hotel Samudra / Taj Group) during the 2000 civil conflict as an example of seeing opportunity in high-risk environments. • Shared the global journey of the Wai Wai brand from Nepal to 100+ countries (~3% global instant noodle market share) as proof that small domestic markets should not limit corporate vision. • Expanding Sri Lankan Alliances: • Credited the joint venture with John Keells in distributing BYD electric vehicles (EVs) in Sri Lanka as a springboard for global scale. • Initial local success led BYD to grant CG Group representation across 25 international markets within one year, including the UK, Balkans, and Scandinavia. • 5 Pillars for Future-Ready Directors: • Maintain a global mindset, leverage AI and innovation, take calculated risks, focus on brand creation, and stay anchored in national identity. • Commended Sri Lanka's strategic location, education system, and institutional strength relative to other regional economies. _(Based on summit keynote address)_

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📈 Future-Ready Boards Must Be Agile and Globally Focused: Prof. Canagarajah

Key insights from the Sri Lanka Corporate Director Summit 2026, organized by the Sri Lanka Institute of Directors (SLID): • Strategic Evolution: Boards across sectors like manufacturing, services, and education can no longer rely on slow decision-making and must adopt agility, a global outlook, and calculated risk-taking to stay competitive. • Global Positioning & Talent: Sri Lanka must strategically align within evolving Asian regional ecosystems while creating organizational environments that attract and retain skilled talent. • Balanced Governance: Excessive risk aversion hinders innovation. Regulators and boards must strike a balance between traditional compliance and entrepreneurial risk-taking through multi-scenario strategic planning. • Culture & Investor Confidence: Quality leadership and corporate governance drive investment decisions. Organizations need diverse thinking and open cultures that welcome constructive challenge to navigate unforeseen disruptions.

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📈 LOLC Finance Announces Rs. 16.1 Bn Share Buyback

• Transaction Overview: LOLC Finance PLC plans to repurchase up to 2.3 billion ordinary voting shares (specifically 2,299,122,556 shares) for a total consideration of up to Rs. 16.09 billion. • Pricing & Ratio: Offer price is set at Rs. 7.00 per share, reflecting a premium over its last traded price of Rs. 4.90. The buyback ratio is 7 shares for every 90 shares held. • Capital Structure: Based on a total of 29.56 billion issued ordinary voting shares. The offer price was deemed fair value by company auditors. • Shareholding Profile: As of end-March 2026, LOLC Ceylon Holdings holds 96.29%, followed by Phantom Investments Ltd. with 0.37%. Public float stands at 3.69% held across 18,475 shareholders. • Regulatory & Next Steps: Conducted under Section 64 of the Companies Act and CSE Listing Rules. CBSL approval is not required; record, opening, and closing dates will be announced in due course.

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📈 EPF Exits Canwill Holdings, Recovers Rs. 5 Bn Capital

The Employees’ Provident Fund (EPF) has fully exited its unlisted equity stake in Canwill Holdings Ltd., recovering its original Rs. 5 Bn capital following a restructuring arrangement with the Government of Sri Lanka. • Key Transaction Details: • Capital Recovery: EPF recovered its full Rs. 5 Bn initial investment by transferring its shareholding to the Government by late 2025. • Portfolio Realignment: The asset has been removed from EPF’s portfolio, with recovered funds redeployed into active, income-generating investments. • Upside Retained: Under the transfer agreement, EPF retains a legal claim to receive any additional proceeds if the Government sells the asset at a higher future valuation. • Asset Valuation & Background: • Performance: The investment previously yielded zero returns for the country's largest retirement fund, prompting the exit strategy. • IFRS Compliance: CBSL Governor Dr. Nandalal Weerasinghe noted that unlisted equity valuations fluctuate yearly based on International Financial Reporting Standards (IFRS) mark-to-market assessments. This exit allows Sri Lanka’s primary pension fund to optimize liquidity and focus capital on yield-generating instruments to protect member returns.

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📈 Good Corporate Governance Drives Long-Term Investor Confidence & Capital Allocation

• Key Market Impact: Strong corporate governance removes hidden risks, reducing the cost of capital and enabling firms with independent boards and honest disclosures to command a "governance premium" over lower-rated peers. • Core Drivers: - Trust & Valuation: Record profits require credibility; firms with weak oversight face a "governance discount" due to investor fears of insider control or altered figures. - Board Independence: Appointing truly independent directors and maintaining transparent executive remuneration signals reliability and protects minority shareholder interests. - Behavioral Discipline: Rigorous quarterly audits and public disclosure rules enforce long-term strategic decision-making and speed up trust recovery during economic downturns. • Investment & National Context: Institutional investors, sovereign wealth funds, and credit rating agencies directly integrate governance scores into risk pricing, making board transparency vital for attracting patient, long-term capital to Sri Lanka's private sector and listed equities.

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Industry & Sector News

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📖 Sri Lanka Showcases Literature & Promotes Creative Economy at Moscow Publishing Week

• Event Overview: Represented by Neptune Publications, Sri Lanka participated in the Moscow International Publishing Week (14–19 July 2026), joining ~60 global publishing houses across 14+ participating nations. • Business Outcomes: - Sri Lanka completed 26 B2B meetings to market local fiction and non-fiction works while securing trade interest. - The broader event facilitated 260+ business meetings covering licensing, copyright law, and rights exchanges. - Initiatives are underway to acquire global rights and expand cross-translations into Sinhala, Tamil, and English. • Sector Impact & Expansion: - Highlighted publishing and the creative economy as critical drivers for education, tourism, entrepreneurship, and cultural diplomacy. - Further international exposure for Sri Lankan literature is targeted at upcoming industry events in Germany and Sweden.

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Indian Tourists Power July Recovery as Tourist Arrivals Top 1.28m YTD 📈

Sri Lanka's tourism sector saw a strong rebound in July, driven by robust demand from India and narrowing the year-on-year (YoY) decline despite Middle Eastern aviation route disruptions. • Key Figures & Recovery • July Performance: 138,730 arrivals in the first 22 days of July, narrowing the YoY decline to just 0.4%. • Sequential Rebound: Daily average rose to 6,306 visitors, up significantly from June's 124,551 total arrivals. • YTD Total: Over 1.28 million tourists welcomed in 2026 so far. • Top Source Markets (July 1-22) • India: 31,734 visitors (23% share) • UK: 14,959 visitors (11% share) • China: 8,484 visitors (6% share) • Netherlands: 8,415 visitors (6% share) • Australia: 7,419 visitors (5% share) • YTD Market Share & High-Value Trends • India Lead: 325,417 arrivals YTD (25% total share), followed by the UK (123,526) and China (72,816). • Higher Daily Spend: Indian visitors average ~$154/day, outpacing the national average ($148/day) due to growing demand for niche wildlife & marine tourism ($160–$170/day). • Sector Outlook & Challenges • Strong direct flight expansion by SriLankan Airlines and IndiGo continues to bolster Indian arrivals. • Geopolitical tensions and airspace closures in the Middle East continue to constrain high-spending long-haul European transit traffic.

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📈 Sri Lanka's ICT/BPM Sector Faces AI-Driven Shift

• Sector Overview: Sri Lanka’s ICT/BPM industry recorded an official export revenue of US$ 1.65 Bn in 2025, employing over 100,000 professionals and proving resilient through national crises. • Market Transformation: Traditional headcount-based, siloed delivery models (selling engineering hours) are being compressed by AI agents, shifting the global baseline toward outcome-based and omni-stack engineering. • National Opportunity: Rising AI integration enables local engineers in Colombo to transition from single-slice specialists to judgment-led owners, positioning the country to deliver high-value global software solutions efficiently.

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☕ CTTA’s 132nd AGM Outlines New Growth Strategy for Ceylon Tea

The Colombo Tea Traders’ Association (CTTA) held its 132nd AGM, reaffirming its commitment to boosting global competitiveness and sustainable growth for Sri Lanka’s tea industry. • Strategic Focus & Value Addition: - Primary focus set on expanding value-added exports, premium branding, and product diversification to maximize returns per kilogram. - CTTA emphasized driving higher export earnings to support livelihoods for producers and tea smallholders. • Macroeconomic & Sector Context: - IMF Resident Representative Dr. Martha Tesfaye Woldemichael noted the tea sector's vital role in national economic recovery following the 2022 crisis. - Highlighted national economic gains: reduced inflation, doubled tax revenues, strengthened foreign reserves, and lower public debt. - Key external risks identified include geopolitical tensions in the Middle East and global shipping route disruptions. • Leadership & Governance (2026/27): - Lushantha de Silva unanimously re-elected as CTTA Chairman for a second term. - Mansoor Akbarally appointed Vice Chairman (Buyers) and Senaka Alawattegama appointed Vice Chairman (Sellers). - Honorary memberships conferred on Paani Dias, Lalith Obeyesekere, and Sanjaya Herath for outstanding service.

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📈 IRCSL Launches National Insurance Awareness Campaign in Kurunegala & Kuliyapitiya

The Insurance Regulatory Commission of Sri Lanka (IRCSL), alongside the Insurance Association of Sri Lanka (IASL), is conducting public awareness programs on July 23–24, 2026, under the theme _"Insurance for All: For a Secure Future"_. • Key Objectives: Boost public financial literacy, drive national insurance penetration, and promote long-term financial resilience across regional communities. • Event Schedule & Venues: • Kurunegala (July 23): Provincial Council Auditorium (2 sessions: 9:30 AM–12:30 PM & 1:30 PM–4:30 PM). • Kuliyapitiya (July 24): Wayamba University of Sri Lanka (9:30 AM–12:30 PM). • Industry Participation: All 29 licensed life and general insurance companies in Sri Lanka will participate alongside key regulatory and professional bodies (financial services). • Program Highlights: • Industry Roadshow: Direct public access to insurance advisors for product guidance and policyholder rights education. • Career & Employment: Dedicated Career Guidance Desk for university students, graduates, and job seekers to submit CVs and explore career paths within the insurance sector. • SME & Public Focus: Tailored educational sessions for public sector officials, bankers, and Small and Medium Enterprises (SMEs) to mitigate business financial risks.

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📱 The True Cost of Digital Banking: Efficiency vs. Customer Expense

• Overview: While digital transformation in payments and remittances offers speed and convenience, it presents a critical paradox—reducing internal operating expenses for financial institutions while transferring infrastructure and transaction costs to end users. • Shift in Cost Structures: • Banks: Reduce physical branch expenses, paper documentation, and manual back-office tasks, but face rising costs in software licensing, cybersecurity, system upgrades, and ongoing technology investments. • Customers: Absorbing the "convenience premium" via payment gateway fees, transaction charges, platform fees, alongside self-provided infrastructure (smartphones, data, and self-service labor). • Impact on Financial Inclusion: • The shift towards digital commercialization risks "Digital Financial Stratification," where lower-income users pay proportionally higher fees for basic financial services, conflicting with national goals for inclusive economic growth and accessibility.

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📈 AI Reshapes Sri Lanka’s Hospitality and Tourism Future

Industry experts at the 'EME Level Up: AI Hospitality Connect Sri Lanka 2026' conference revealed how artificial intelligence is redefining brand discovery, guest experiences, and marketing for Sri Lanka’s hospitality and tourism sectors. • AI Adoption & Traveler Trends • 84% of AI-using travelers report an enhanced experience, saving 1–3 hours per trip. • Nearly 50% of travelers use Generative AI for trip planning, with queries averaging 3x longer than traditional searches. • 70% of surveyed travelers are willing to manage travel within an AI-Agentic ecosystem. • AI Brand Visibility & Search Shift • 1,207 Sri Lankan hotel brands were discovered across 32 segments (e.g., beach, luxury, wellness) on ChatGPT, Gemini, Perplexity, and Claude. • Hotels are shifting from traditional SEO to Generative Engine Optimization (GEO) to secure direct recommendations in AI-driven search results. • Colombo Sentiment & Score-to-Revenue Benchmarking • Based on 2.4+ Mn reviews across 394 properties, Colombo achieved a Reputation Performance Score (RPS) of 87.45%. • Strong positive sentiment: location, beach, service, pool facilities, and food. • Highest negative sentiment: cleanliness, amenities, room comfort, and Wi-Fi connectivity. • Value of 1 RPS Point: Colombo generates US$ 222,000 in revenue, trailing Bangkok (US$ 283,000) and Singapore (US$ 641,000). • National Context & Strategic Focus • Industry leaders emphasized creating reliable, structured digital content to market undiscovered Sri Lankan destinations and reduce commission leakage to Online Travel Agencies (OTAs).

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📈 Sri Lanka Marketing Shift: Prioritizing Experiences Over Logos

• Strategic Market Shift: Sri Lankan brands face a vision gap rather than a creative shortage, frequently prioritizing stage logos and visibility over immersive experiences in marketing and events. Modern consumer trends demand active participation and memorable engagement over traditional advertising. • Key Event Metrics: • 97% of event professionals deem in-person experiences critical to marketing strategy, and 95% view experiential design as essential. • 70% of event planners face flat YoY budgets, with 61% identifying budget limits as their main constraint. • 82% of organizers prioritize qualitative attendee feedback alongside attendance numbers (83%). • Sector Highlights: • Interactive activations—such as integrating Ceylon tea into live culinary showcases—highlight the power of experiential engagement over basic exposure. • Early collaboration across marketing, set design, and creative industries turns sponsorship from a commercial expense into long-term brand equity.

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📈 CIPM Sri Lanka Marks 10th International Research Symposium Milestone

The Chartered Institute of Personnel Management (CIPM) Sri Lanka held its 10th International Research Symposium 2026 under the theme _“Elevating the Human Capital Equation: HRM in the Age of Transformation.”_ The event highlighted the institution's role in advancing research-driven insights and evidence-based decision-making for Sri Lanka's human resource management sector. • Research Growth & International Scope: • Total Submissions: 160 research papers (up from 35 papers at its 2015 inception). • Accepted Papers: 138 peer-reviewed papers accepted for presentation. • Global Participation: Included 27 international research papers, signaling expanding global recognition. • Key Industry & Sector Focus: • Emphasized strategic HR leadership, digital transformation, ethical AI integration, and sustainable workforce practices to support national organizational resilience. • Bridged academia and industry to drive innovation and value creation across enterprise operations. • Unveiled major HR knowledge publications, including a corporate HR case study publication and a special edition of the _Journal of Human Resource Management Perspectives_. • Sponsorships & Strategic Partners: • Supported by telecommunications leader Sri Lanka Telecom (Main Sponsor), apparel & textiles giant Omega Line Group (Gold Sponsor), and Varun Beverages Lanka Ltd. (Beverage Partner).

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📈 Sri Lanka Financial Sector Growth via Digital Transformation

• Strategic Ambitions: Aligns with the National Digital Economy Strategy 2030, targeting a US$ 15 Bn digital economy and 95% digital literacy by 2030 (currently at 65%). • Role of Banking: Digital transformation is highlighted as a core economic agenda to rebuild trust, reduce operational costs, and boost resilience across banking & financial services. • AI & Data Intelligence: Modern financial services must shift beyond simple process digitisation toward trusted AI, connected data, and customer-centric intelligence. • Ecosystem Lessons from India: Adopting a unified Digital Public Infrastructure model—similar to India's UPI processing over 18 Bn monthly transactions—can drive scale and inclusion across FinTech and rural communities. • Future Priorities: Transition banks into engines of national growth by combining governance, digital literacy, and data intelligence to convert economic resilience into competitiveness.

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📈 Port City Colombo Drives Sri Lanka’s ICT Growth Chapter

• National Export Shift ICT/BPM export earnings reached US$ 1.64 Bn in 2025, overtaking tea as Sri Lanka's second-largest export earner. The industry spans over 500 companies and employs approximately 146,000 professionals. • Port City Colombo Impact By providing a designated foreign currency environment, Port City Colombo helps reduce friction in international invoicing, procurement, and payroll. The special economic zone also serves as a strategic mechanism to retain and attract top talent locally. • Firm Growth Case Study Early entrant IGT I (Outsourcing Lanka) has expanded to over 500 employees since entering the zone in March 2024, servicing international clients across the Americas, Europe, and the Middle East. • Key Policy & Regulatory Developments • Strategic Status: Cabinet granted approval to 77 Businesses of Strategic Importance (BSIs) in April 2026. • Tax Revisions: The 2026 amendment to the Colombo Port City Economic Commission Act transitioned employee tax treatment from open-ended exemptions to a transitional model for existing entities and standard rates for new entrants. • Operational Needs: Industry leaders emphasize the importance of policy predictability and transitioning from manual processes to fully digital workflows (e.g., digital signatures).

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🚨 Organised Cash Crop Theft Threatens Plantation Sector

• Overview: The Planters’ Association of Ceylon (PA) has urged the Govt to address systematic crop theft, warning it severely erodes export competitiveness, deters investment, and threatens farmer livelihoods across Sri Lanka’s plantation districts. • Financial & Sector Impact: - Heavy losses reported in high-value non-traditional crops including pepper, cardamom, cinnamon, ginger, vanilla, and avocado. - Security expenditures are crippling profitability; one RPC spends ~Rs. 20 million over 3 months to protect a single crop. - Growers are pulling back from expansion; a planned 18-hectare cardamom project was suspended due to unsustainable security costs. - Undermining national export diversification goals and competing against lower-cost regional producers in Vietnam, India, and Kenya. • Key Operational Issues: - Organized groups target fields during full-moon nights; crops quickly enter untraceable informal supply chains. - High-tech solutions (CCTV, drones) remain ineffective due to power cuts, terrain, and equipment theft. - Current legal penalties are inadequate and fail to serve as a financial deterrent. • Industry Demands: The PA calls for strict legal penalty revisions reflecting actual crop value, a traceability framework for informal supply chains, and formal recognition of crop theft in national agricultural policy. Based on ongoing data collection by PA.

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Appointments & Executive Moves

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⚖️ Prof. G. L. Peiris to Form Trust Fund for Legal Research at UoC and Sri Lanka Law College

Initiative: Prof. G. L. Peiris has announced plans to establish a Trust Fund using royalties from his legal publications (>10 books on Sri Lanka’s legal systems) to finance research and academic initiatives. Beneficiaries: The Faculty of Law at the University of Colombo (UoC) and the Sri Lanka Law College. Governance: The proposed trustees will be the Vice-Chancellor of UoC, the Principal of Sri Lanka Law College, and the Dean of UoC's Faculty of Law. Journal Revival: The announcement was made at the launch of the revived Sinhala-language journal, ‘Nitiya’ (originally published in 1958, revived in 2024), which aims to foster analytical legal writing, including emerging areas like artificial intelligence (AI), judicial critique, and legislative contributions.

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📈 Shemara Wikramanayake to Retire as Macquarie CEO with $ 860M+ in Shares

Sri Lankan-origin Shemara Wikramanayake, 64, has announced her retirement as CEO of Macquarie Group after eight years at the helm and nearly four decades with the firm. She will officially step down in November 2026 and be succeeded by Greg Ward, Head of Banking and Financial Services. • Executive Compensation & Holdings: Wikramanayake departs with over $ 860 million (A$ 1.3+ Bn) in total equity, including 1.47M direct shares valued at $ 375M+, alongside restricted and performance share units. Her total remuneration last year was nearly $ 30 million, making her Australia’s fifth highest-paid CEO. • Corporate Governance: At a tense Annual General Meeting (AGM), Macquarie avoided a "second strike" board spill despite pushback on executive pay packets from groups like the Australian Shareholders' Association. • Fossil Fuel & Climate Backlash: Leadership faced intense grilling from shareholder collectives over funding massive fossil fuel expansions, such as the Beetaloo Basin gas fracking project, which investors argued directly contradicts the Paris Agreement. • Financial Performance: Wikramanayake leaves the financial services titan in a strong position, having recently reported a 30% increase in full-year net profit to $ 4.85 billion.

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New Secretary Appointed for Transport, Highways & Urban Development 📑

• Key Leadership Appointment: President Anura Kumara Dissanayake has appointed Eng. Dr. Asiri Karunawardena as the Secretary to the Ministry of Transport, Highways, and Urban Development. • Official Handover: The official letter of appointment was presented by Dr. Nandika Sanath Kumanayake, Secretary to the President, at the Presidential Secretariat. • Background: Prior to assuming this top administrative role overseeing national infrastructure & urban development, Dr. Karunawardena served as the Director General of the National Building Research Organisation (NBRO).

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🤝 JICA & EDB Reinforce Partnership to Boost Sri Lankan Exports

A delegation from the Japan International Cooperation Agency (JICA) paid an official courtesy call on the Sri Lanka Export Development Board (EDB) to review ongoing technical cooperation and discuss future strategies for strengthening export development. • Leadership Transition: • Welcomed newly appointed JICA Chief Representative, Mr. Shigeo Honzu. • Acknowledged outgoing Chief Representative, Mr. Kenji Kuronuma, for his contribution to bilateral economic cooperation. • Key Areas of Engagement: • Reviewed past joint programs focused on technical cooperation, capacity building, and enhancing export competitiveness. • EDB leadership (Chairman/CEO Mr. Mangala Wijesinghe & Acting DG Mr. Erandika Dissanayake) acknowledged JICA's ongoing support in empowering the local trade and investment ecosystem. • Future Focus & Strategic Goals: • Explored new initiatives aimed at expanding market access for local business ventures. • Emphasized institutional capability building, sustainable growth, and driving long-term economic progress for Sri Lankan exporters.

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📈 Sri Lanka Emerges as a Global Hub for Leadership and Digital Innovation

• Landmark Event: EY Global Delivery Services (EY GDS) hosted its largest-ever event in Colombo at Cinnamon Life, bringing together nearly 3,500 global professionals and senior leadership. • Economic Vision: Prime Minister Dr. Harini Amarasuriya emphasized the National Digital Economy Strategy, aiming to embed AI-first operations, expand ICT/BPM exports, and establish Sri Lanka as a regional innovation hub. • Talent & Growth: The milestone celebration honoured internal promotions and highlighted Sri Lanka's rapidly growing potential as a premier destination for talent development, digital technology, and high-value global services.

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👔 Sanath Manatunge Appointed Chairman of Employers’ Federation of Ceylon (EFC)

Mr. Sanath Manatunge, Managing Director/CEO of the Commercial Bank of Ceylon, has been appointed as the Chairman of the EFC for the 2026/27 financial year. The appointment took place at the federation's 97th Annual General Meeting. • Leadership & Transition: Mr. Manatunge succeeds Mr. Dinesh Weerakkody. He will serve alongside Vice Chairman Mr. Dinal Peiris (Chairman/MD of Lanka Aluminium Industries PLC Group). • Strategic Focus: In his inaugural address, Mr. Manatunge emphasized the EFC’s commitment to driving labour law reforms to support future-ready businesses, promoting responsible business practices, and engaging constructively with tripartite stakeholders to strengthen Sri Lanka's employment landscape. • Industry Expertise: Bringing over 36 years of experience in the banking and finance sector, Mr. Manatunge has led Commercial Bank as MD/CEO since May 2022. He previously managed major expansions in the bank's corporate loan book, trade finance, personal banking, and digital banking infrastructure. • National Roles: He concurrently holds prominent leadership positions across the economy, serving as Chairperson of the Sri Lanka Banks’ Association (SLBA), and as a member of the UNICEF Business Council, the Ceylon Chamber of Commerce, and the Central Bank of Sri Lanka’s Stakeholder Engagement Committee.

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👔 HNB General Insurance Strengthens Board with Elite Leadership Appointments

HNB General Insurance Ltd. (HNBGI) has appointed Lakshman Silva as Non-Executive/Nominee Director and Sandra De Zoysa as Independent/Non-Executive Director to its Board. The strategic additions aim to accelerate digital scaling and transform customer service architecture. • The Strategic Objectives: The appointments are positioned to elevate financial strategy, regulatory frameworks, and drive future-ready disruption across service channels, pushing HNBGI toward its goal of becoming Sri Lanka's most customer-centric general insurer. • Lakshman Silva (Financial Governance): Brings over 30 years of banking acumen. He is the former CEO of DFCC Bank PLC (2017–2021) and former Chairman of the Sri Lanka Banks' Association. He currently chairs LankaPay and Panasian Power PLC, and serves on multiple boards, including Seylan Bank and HNB Life PLC, alongside the Central Bank's Stakeholder Engagement Committee. • Sandra De Zoysa (Digital & CX): A globally recognized leader with over three decades in the ICT/BPM industry. She spent 28 years at Dialog Axiata PLC, serving as Group Chief Customer Officer and Managing Director of Dialog Business Services. She is a founding member and first Chairperson of SLASSCOM, and currently heads CEx Consulting and the Sri Lanka Institute of Directors' Women Directors Forum.

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Sri Lankan Leader Vera Wickramasinghe Elected President of Global Logistics Network FFN 📈

• Historic Milestone: Vera Wickramasinghe, Managing Director of Worldlink Shipping Colombo, has been elected President of the Freight Forwarder Network (FFN) – Netherlands. She is the first female President and the first from outside Europe and the US in the network's history. • Global Leadership: The election took place at the FFN AGM in Barcelona, Spain. Wickramasinghe, founder of Worldlink Shipping and winner of the WCIC Prathibhabhisheka Women Entrepreneur Award 2025, will lead strategic expansion and collaboration across the network's 48 member countries. • Sri Lanka's Logistics Footprint: This high-profile appointment underscores the rising international recognition of Sri Lankan professionals in the global logistics & freight forwarding sector. It builds on the momentum of Colombo successfully hosting the FFN’s 15th AGM at ITC Ratnadipa, cementing the country’s profile as an emerging regional logistics hub.

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📈 New Leadership at SLASSCOM to Drive US$ 5 Bn Export Target

The Sri Lanka Association for Software Services Companies (SLASSCOM) has appointed Sampath Jayasundara (CEO of hSenid Business Solutions) as Chairman for the 2026/27 term, steering the ICT/BPM sector towards its US$ 5.00 Bn export goal. • Key Leadership & Board: Jayasundara succeeds with a new board including Vice Chairs Haridhu Abeygoonaratne (SimCentric) and Sanjini Munaweera (ADA), alongside Shanaka Fernando (WNS) as Director Operations and Bimal Gunapala (Global Frontiers) as Director Finance. • Strategic Focus Areas: Shift from cost-competition to a high-value, product-led digital economy. Developing an AI-ready workforce via the SLASSCOM Academy and university curriculum reforms. Launching a flagship Entrepreneurship Development Program to scale local startups globally. Strengthening academia-industry collaboration through structured internship programs in AI, cybersecurity, and data analytics.

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📈 Sanasa General Insurance Appoints Lahiru Jayasinghe as Chairman

• Leadership Transition: J. A. Lahiru S. Jayasinghe has been appointed as Chairman of Sanasa General Insurance Company PLC, effective July 15, 2026. He has served on the company's Board as a Non-Executive Director since May 2019. • Corporate Background: Jayasinghe brings over 16 years of professional experience across manufacturing, agriculture, trading, services, and the apparel sector. He currently serves as the CEO of St. Anthony’s Industries Group and Executive Director of St. Anthony’s Interior Solutions Ltd. • Qualifications & Expertise: A graduate of the University of Sri Jayewardenepura and holder of a PIM MBA, Jayasinghe is an Associate Member of CA Sri Lanka, CIM-UK, and CMA Sri Lanka. He is also a Certified Lean Six Sigma Black Belt with expertise in finance, operational excellence, and digital transformation. • Strategic Outlook: The company expects Jayasinghe's leadership to strengthen its strategic direction, governance framework, and focus on innovation and sustainable growth in Sri Lanka's general insurance market.

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📈 Executive Transition: Asoka Piyadigama Appointed to C.W. Mackie Board

• Executive Appointment: C.W. Mackie PLC has appointed distinguished finance and business leader Asoka Piyadigama as an Executive Director, effective 1 August 2026. • Deep Expertise: Piyadigama brings over 20 years of executive experience across Sri Lanka and Australia, specializing in corporate finance, financial strategy, treasury, and business transformation. • Proven Leadership: He has previously served as the CEO of the Institute of Chartered Accountants of Sri Lanka and as CFO for prominent listed conglomerates, overseeing strategic planning, mergers and acquisitions, and capital allocation. • Other Roles: He currently holds Independent Non-Executive Director positions at York Arcade Holdings PLC, C.M. Holdings PLC, and ACME Printing and Packaging PLC. Additionally, he provides strategic finance advisory services to international operations in the ICT/BPM (BPO) sector. • Professional Credentials: He is a Fellow Member of the Institute of Chartered Accountants of Sri Lanka (FCA (SL)) and a Member of CPA Australia.

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✨ Historic Leadership Milestone: Yashoravi Bakmiwewa Appointed as Director General of EFC

The Employers’ Federation of Ceylon (EFC) has appointed Yashoravi Bakmiwewa as its 14th Director General, marking a historic shift in the organization’s 97-year history. • The Milestone: Bakmiwewa is the first female Director General in EFC history and the first woman to head an Employers’ Business Member Organisation (EBMO) in South Asia. She succeeds Vajira Ellepola. • Professional Background: An Attorney-at-Law admitted to the Supreme Court in 2007, she holds an LL.B. from the University of Colombo and a Master’s in Labour Relations and Human Resources Management. She joined the EFC in 2010 after starting her career at the Attorney General’s Department. • Key Contributions: Over her 16-year tenure, she managed strategic legal advisory and industrial relations, headed the EFC training division since 2019 to improve workplace compliance, and represented employer interests at national tripartite forums and Wages Boards. • Future Vision: Her leadership will focus on helping private sector businesses navigate sustainability challenges and technological transformation in an AI-driven environment.

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Sustainability, ESG & Corporate Responsibility

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Citi Sri Lanka Transforms Mawela Kanishta Vidyalaya in Wadduwa 📈

• Initiative Overview: Citi Sri Lanka partnered with ChildFund Sri Lanka for its flagship annual volunteer program, Citi Global Community Day 2026, targeting infrastructure and environment upgrades at Mawela Kanishta Vidyalaya in Wadduwa. • Key Upgrades & Impact: • Donated a clean water system for students. • Restored classrooms with fresh paint and wall murals. • Repaired sanitary facilities and executed greening initiatives. • Organized a friendly cricket match between volunteers and students to foster community connections. • Corporate Social Responsibility: The initiative supports human capital development by building safe learning environments, aligning with long-term banking & financial services sector CSR commitments to strengthen local communities.

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🌸 Siddhalepa Rebuilds Kirivehera Flower Stall Complex in Kataragama

• Project Overview: Siddhalepa Group reconstructed and handed over the flower stall complex along the historic access road to Kataragama Kirivehera Rajamaha Viharaya. • Heritage & Vision: The initiative honors the legacy of late Founder Dr. Victor Hettigoda, who established the original complex in the 1980s. • Socio-Economic Impact: The project supports women's economic empowerment and self-employment, providing stable incomes for local families in the ayurveda & wellness and local retail ecosystem. • Collaborators: Built with assistance from the Sri Lanka Navy and planned alongside the National Physical Planning Department.

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Super El Niño 2026-2027: Sri Lanka Faces Dual Threat of Drought & Flash Floods 📉

• Climate Indicators & Status: Pacific sea surface temperatures reached +1.7°C in mid-June 2026, confirming a strong El Niño. The CPC indicates a 97% probability of it persisting into early 2027. Current warming is stronger than early phases of the 1997 and 2015 events. • Indian Ocean Counter-Drivers: • Indian Ocean Dipole (IOD): ~60% probability of a positive IOD developing by late 2026, which may offset El Niño drying by boosting Second Inter-Monsoon (Oct–Nov) rainfall. • Madden-Julian Oscillation (MJO): Currently weak and unlikely to impact weather in the coming months. • Agricultural & Hydropower Risks: • Drier conditions threaten the Northeast Monsoon (Dec–Feb), a critical water source for paddy cultivation and reservoir levels in the Dry Zone. • Positive IOD could cause intense downpours with longer dry spells, risking flash floods/landslides without filling water capacity evenly. • Late IOD onset increases exposure to severe dry spells, impacting tea, paddy/rice cultivation, irrigation, and hydropower generation. • Outlook: Key developments from August–September 2026 will determine whether Sri Lanka faces severe dry spells or localized floods. Stakeholders are advised to prepare for both scenarios.

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Rotary International Vice President Visits Sri Lanka for Landmark South Asian Summit 📈

• Event Highlight: Rotary International VP Muruganandam M. (“MMM”) visited Sri Lanka to discuss hosting the upcoming Rotary Institute, returning to the island after a 21-year gap. • Economic & Tourism Impact: The event is expected to host over 1,000 regional delegates across South Asia (Zones 4, 5, 6, and 7: India, Nepal, Bhutan, Maldives, and Sri Lanka), providing a boost to local hospitality & MICE tourism. • Key Leadership: Chaired by Gowri Rajan, Sri Lanka's first female Rotary Governor, the forum will serve as a hub for strategic planning, leadership, and regional humanitarian projects.

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📸 Dilmah Conservation Hosts 2nd 'One Earth' Photography Exhibition in Colombo

• Event Overview: Dilmah Conservation will host the public exhibition of its 2nd Annual One Earth Photography Competition tomorrow (25 July) from 9:00 a.m. to 6:00 p.m. at Genesis: Dilmah Centre for a Sustainable Future, Colombo 10. • Exhibition Scope: Displays 60 expert-selected works chosen from entries focused on urban biodiversity, domestic landscapes, and human-nature interaction. • Core Themes: Features shortlisted submissions under three key categories: 'Life in a Changing World,' 'Biodiversity in Your Backyard,' and 'Conservation in Action.' • Corporate Sustainability Context: Highlights ongoing sustainability initiatives by Dilmah to promote environmental awareness, urban biodiversity conservation, and public reflection on practical co-existence with nature.

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🌍 Climate Justice Starts with Gender Justice: Lessons from Sri Lanka & Eswatini

A joint initiative by Commonwealth Climate Finance Advisers highlights the necessity of integrating gender-responsive strategies into national climate policies to drive measurable impact. • Sri Lanka Focus: - Integrating gender equality & social inclusion into national climate planning at national and sub-national levels. - key policy drivers include Nationally Determined Contributions (NDC 3.0), the reviewed National Adaptation Plan, and the National Policy on Gender Equality & Women’s Empowerment (2023). - Addresses specific coastal vulnerabilities through targeted social action plans. • Eswatini Focus: - Embedding gender-responsive budgeting directly into NDC 3.0 commitments. - Enhancing climate finance access for women farmers and entrepreneurs via the Gender Inclusive Finance Roadmap. - Focuses on decision-making representation, agriculture, and water-related challenges. • Commonwealth Support Mechanisms: - Supported by the Commonwealth Climate Finance Access Hub (CCFAH) and the Collaborative Network on Gender-Responsive Climate Action. - Aims to build institutional capacity, help vulnerable nations access international climate finance, and ensure climate action remains inclusive by design.

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📈 HNB Urges Sustainable Banking Core Strategy to Build Climate Resilience

• Climate Risk & Economic Impact: Sri Lanka produces <0.1% of global GHG emissions but faces severe climate shocks. Cyclone Ditwah affected >2.1M people with US$ 4.1 Bn in estimated damages, with a Super El Niño forecasted to further impact livelihoods. • Strategic Shift in Banking: Sustainability is transitioning from a peripheral exercise to a core strategic mandate in banking. Sector efforts are guided by CBSL’s Sustainable Finance Roadmap 2.0, Green Finance Taxonomy, and the SLSBI. • HNB Financial Initiatives: - Issued a Rs. 10 Bn Sustainability Bond targeting green and social priorities. - Implemented a complete exclusion policy on coal financing. - Expanded green lending aligned with national regulatory taxonomies. • Key Sector Impact: - MSMEs: Driving financial inclusion and capacity building, particularly for women-led enterprises to scale into sustainable supply chains. - Agriculture: Supporting climate-resilient farming techniques through dedicated initiatives like the Saru Sara program. • Key Priorities: Needs center on improving decision-useful climate data, financing low-carbon industry transitions, and assisting local exporters to meet rising global compliance standards.

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🌱 Global Shift Toward Sustainable Economies Driven by Capital and Regulation

Despite recent political backlash, a fundamental global transition toward clean energy, digital traceability, and carbon accounting is accelerating—shaping future international trade and industrial competitiveness. • Global Market Dynamics: • Net-zero capital pools, pension funds, and development-finance institutions are systematically repricing assets, favoring companies with credible carbon-reduction strategies with lower borrowing costs. • China currently leads clean tech production, manufacturing ~80% of global solar panels alongside dominating battery, green hydrogen, and EV supply chains. • Regulatory Standards & Supply Chains: • Western and Asian economies are adopting standardized frameworks like the International Sustainability Standards Board (ISSB) disclosures and Digital Product Passports. • Energy security and supply chain resilience (shorter supply chains, circular materials) are now key drivers for national security and economic sovereignty. • Strategic Context for Export Markets: • Strict European standards (CSRD, Green Deal) act as standard-setters. Emerging export-driven economies must build digital carbon accounting capabilities to remain compliant and secure institutional capital. • Interoperable global trade frameworks will reward businesses integrating sustainability into core commercial strategy over mere regulatory compliance.

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📈 CA Sri Lanka Drives ESG & Sustainability Reporting for National Resilience

• Core Leadership & Purpose: CA Sri Lanka President Mr. Tishan Subasinghe highlighted that sustainability reporting (ESG and SLFRS S1 & S2) goes beyond "going green"—it directly aligns financial health with long-term business resilience, risk management, and value creation. • Role of the Accountancy Profession: The accountancy profession plays a vital role in measuring and providing reliable, credible sustainability data to bridge the gap between financial performance, climate risks, and long-term economic strategy. • Capacity Building & Qualifications: CA Sri Lanka introduced the Certified Sustainability Reporting & Strategy Advisor (CSRSA) qualification, alongside the Preparers’ Guide to SLFRS S1 & S2, to equip local professionals with global expertise and maintain Sri Lanka's competitiveness in international markets. • Impact on Business & Supply Chains: • SMEs: Encouraged to start with resource and energy efficiency to cut costs, build resilience, and remain competitive as global supply chain partners. • Corporate Sector: Measuring emissions and resource efficiency enhances operational transparency, attracts investment, and mitigates climate-related risks.

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📈 First Capital Sets Global Benchmark for Sustainable Finance in Sri Lanka

First Capital Holdings PLC, a subsidiary of JXG (Janashakthi Group), is leading ESG integration and governance across Sri Lanka's capital markets ecosystem following landmark achievements in FY2025/26. • Global Affiliations & Firsts: • First investment institution globally to receive the Sustainability Standards & Certification Initiative (SSCI) Certificate of Acceptance. • First Sri Lankan investment firm to join the United Nations Global Compact (UNGC), UN Women’s Empowerment Principles (WEP), and Partnership for Carbon Accounting Financials (PCAF). • First local corporate entity to join the UN Principles for Responsible Investment (PRI) via First Capital Asset Management. • Governance & Climate Strategy: • Prepared Board and management for compliance with upcoming SLFRS S1 and SLFRS S2 financial disclosures. • Embedded sustainability-related KPIs directly into employee performance and remuneration. • Verified carbon footprint and operationalized PCAF frameworks to measure financed emissions across portfolios. • Social Impact & Financial Inclusion: • Reached 1,000+ university students via the investED financial literacy outreach. • Promoted gender inclusion and financial independence through the FinPowerHer initiative (awarded for "Higher Representation of Women on the Board"). • Committed Rs. 15 million to the Rebuild Sri Lanka Fund alongside SME/startup advisory via First Capital Startup Nation. • Achieved a 90% employee satisfaction rating on the Great Place to Work® Trust Index.

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📈 Ceylinco Life Embeds ESG Philosophy at Core of Growth Strategy

Sri Lanka's life insurance market leader, Ceylinco Life, has shifted from compliance-driven ESG to embedding sustainability into its corporate strategy, balancing financial performance with green energy and community inclusion. • Green Infrastructure: • Operated 32 green branch buildings on company-owned land at end-2025. • Generated ~1.12 GWh of solar energy, feeding surplus power to the national grid. • Harvested 3.08Mn liters of rainwater and recycled 1.386Mn liters of water. • Social & Community Impact: • Built and donated classrooms to 89 schools to date. • Over 150,000 people treated via free 'Waidya Hamuwa' medical camps to date (2,000+ benefited annually; over 50% women). • Governance & Investment: • Advancing digital transformation to reduce paper reliance and operational waste. • Directing capital toward green financing, including renewable energy projects, to support a low-carbon economy.

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📈 CICT Champions ESG Driven Transformation at Port of Colombo

• Strategic Focus: Colombo International Container Terminals (CICT) is shifting port performance metrics beyond cargo throughput to embed sustainability directly into daily operations, reinforcing efficiency alongside environmental responsibility. • Green Fleet & Electrification: - Fully electrified its Rubber-Tyred Gantry (RTG) crane fleet, transitioning from diesel to electric power. - Converting diesel Inter Terminal Vehicles (ITVs) to electric models, supported by dedicated charging stations to lower fuel consumption and emissions. • Resource Management: - Implemented rainwater harvesting, condensate water reuse, digital documentation, and smart energy management to eliminate resource waste (fuel, water, paper, time). • Community & Conservation: - Principal sponsor for a 3-year sea turtle conservation initiative in Colombo with the Wildlife and Nature Protection Society. - Long-standing support for Sri Lanka’s Wheelchair Tennis programme and inter-university sports partnerships (Ambassador Cup). • Governance & Compliance: - Operates under certified management systems including ISO 14001 (Environmental) and ISO 45001 (Health & Safety). - Aligns with China Merchants Port network's ESG framework to elevate Sri Lanka's supply chain competitiveness in global trade.

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Regulatory & Policy News

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🚨 Rising Fatalities Highlight Fire Safety Compliance Gaps in Sri Lankan Workplaces

• Recent Incidents & Fatalities: - Helmet Manufacturing Factory (Homagama): 5 deaths among 80+ employees on duty; suspected electrical short circuit. - Elders' Home (Anguruwatota, June): 12 deaths and 6 severe injuries among 71 residents; suspected faulty wiring. - Restaurant (Thalawathugoda, June): 3 deaths due to a suspected gas leak and lack of emergency escape routes. • Government Investigation & Key Hazards: - Labour Ministry ordered a comprehensive report on the Homagama incident to inspect compliance with workplace safety standards and employee protection laws. - Primary causes identified across recent fires: faulty electrical wiring, gas leaks, and non-existent fire escapes. • Regulatory Framework & Safety Standards: - National safety regulations are anchored in the Construction Industry Development Authority (CIDA) Act No. 33 of 2014 and the Factories Ordinance, enforced by municipal fire services. - Authorities highlight urgent enforcement gaps across industrial zones and commercial establishments, urging strict legal compliance to prevent further loss of life.

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🏛️ 17 Pasikudah Hotels Accused of Evasion on Local Taxes

ITAK MP Shanakiyan Rasamanickam has called on the Auditor General, Tourism Ministry, and SLTDA to investigate 17 hotels in the Pasikudah tourism zone for allegedly failing to pay a mandatory 1% local authority levy under the Pradeshiya Sabha Act for several years. • Non-Payment Impact: The alleged non-compliance has deprived the local council of vital funds intended for regional infrastructure, public sanitation, and community services. • Sector Accountabilty: While tourism properties in Pasikudah were leased to major investors under post-war development programs, the MP stressed that no investor should be exempt from statutory local tax obligations, despite fulfilling SLTDA payments. • Regional Disparity: The MP highlighted that tourism development in the Northern and Eastern Provinces has suffered from inadequate budget allocations since 2018, despite high growth potential. • Governance Concerns: Issues were raised over a lack of transparency, unfulfilled information requests, and alleged non-cooperation by a local SLTDA official. Rasamanickam urged state authorities to recover all unpaid dues and pursue legal action against non-compliant parties.

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📰 Media Bodies Reject Proposed CIMP Bill, Demand Withdrawal

The Sri Lanka Press Institute (SLPI) and leading media coalitions have formally requested the Government to withdraw the proposed Chartered Institute of Media Professionals (CIMP) Bill, advocating instead for industry-led consultation and self-regulation. • Key Concerns: Government-Led Structure: Unlike established bodies like the Institute of Engineers or Sri Lanka Institute of Architects—which were created by professionals before parliamentary incorporation—the CIMP is a State-initiated framework. Threat to Independence: Media organisations view the proposed statutory body under ministerial oversight as a State-managed regulatory mechanism that undermines press freedom and autonomy. • Proposed Alternatives: Self-Regulation: Reaffirmed that professional media standards must remain independent of State control through self-regulatory or co-regulatory mechanisms. Sri Lanka Media Commission (SLMC): Highlighted as a viable co-regulatory framework to promote professional standards. Leveraging Existing Institutions: Urged support for the Sri Lanka College of Journalism—which has trained journalists for over two decades—to enhance professional capacity rather than establishing a new statutory body.

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Ceylon Chamber Welcomes Reduction in US Labour-Related Tariff 📈

• Key Duty Adjustment: The US labor-related export tariff on Sri Lankan goods has been reduced from 12.5% to 10%. • Driver & Engagement: The reduction follows sustained engagement, evidence-based advocacy, and constructive dialogue between Sri Lankan authorities, US counterparts, and the local private sector. • Impact on Trade: Provides immediate relief to local exporters navigating global market uncertainties and helps maintain national market access and competitiveness. • Long-Term Vision: The Chamber urges continued engagement with US officials to establish a stable, long-term trade framework to minimize exporter uncertainty.

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📈 Sri Lanka Secures 10% US Tariff Rate, Leveling Field with Competitors

The Joint Apparel Association Forum (JAAF) commended President Anura Kumara Dissanayake and government officials for successfully securing a lower 10% tariff rate under the United States Trade Representative (USTR) Section 301 forced labor review. • Key Decision & Parity • Sri Lanka was assigned to the 10% tariff tier among 18 countries, successfully avoiding a higher 12.5% rate imposed on 42 other nations. • Achieves tariff parity with key rival sourcing destinations, including Bangladesh, Pakistan, India, and Cambodia. • Prevents a 2.5 percentage point duty disadvantage that threatened to shift international trade orders to competitor nations. • Industry & National Significance • Safeguards the global market competitiveness of Sri Lanka's apparel & textiles sector. • Protects the nation's primary export earning industry and a vital source of domestic employment, particularly for women. • Demonstrates the strategic value of coordinated public-private diplomacy involving JAAF, the Department of Commerce, and Sri Lanka's Washington Embassy.

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📈 SEC, CSE, and CA Sri Lanka Partner to Launch XBRL Digital Reporting

• Capital Market Modernisation: The SEC, CSE, and CA Sri Lanka signed an MoU to implement eXtensible Business Reporting Language (XBRL) for listed companies, upgrading Sri Lanka’s corporate reporting infrastructure. • Key Benefits: The standardized, machine-readable format will streamline financial and non-financial disclosures, improve data accuracy, reduce manual processing costs, and enable faster comparative analysis for investors and regulators. • Global Alignment & Investment: Moving to internationally recognized XBRL standards will boost transparency, strengthen market integrity, and make local listed firms more attractive to international investors. • Implementation Timeline: CSE has procured and customized the XBRL platform, with User Acceptance Testing (UAT) near completion. Full rollout to all CSE-listed entities is expected during the latter part of 2026.

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⚖️ Japan’s NGK Wins Brand Protection Action in Sri Lanka

• Legal Action & Raid: Japanese automotive giant Niterra Co. Ltd. (owner of the NGK brand) pursued criminal action against sellers of counterfeit spark plugs in Horana. Following complaints filed through legal reps Sudath Perera Associates alongside sole agent Douglas and Sons Ltd, the Colombo Crime Division (CCD) raided wholesale entities including Sajana Motors and seized a large volume of fake products. • Court Ruling & Penalty: The suspect pleaded guilty to criminal violations under the Intellectual Property Act No. 36 of 2006. The Horana Magistrate imposed a fine of Rs. 250,000 and ordered the immediate destruction of all confiscated counterfeit items. • Impact on Automotive Sector: Authorities highlighted that counterfeit engine parts pose severe road safety risks to drivers while causing substantial economic loss, tax revenue leakage for the government, and diminished investor confidence in brand rights protection.

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📈 Harsha Warns New Regulations Burden Legitimate Businesses Amid $ 715 Mn Remittance Fraud

Opposition MP Dr. Harsha de Silva cautioned that new import control regulations impose heavy compliance costs on legitimate trade & commerce entities without resolving core enforcement failures that allowed $ 715 Mn to leave Sri Lanka via fraudulent advance import payments. • Key Issues & Enforcement Gaps: • System Incompatibility: The ASYCUDA system at Sri Lanka Customs cannot automatically reconcile Customs declarations with bank transfer documents. • Inter-Agency Failures: Financial Intelligence Unit (FIU) alerts on trade-based money laundering were not acted upon due to poor coordination between the Central Bank, Customs, and commercial banks. • Compliance Weaknesses: Commercial banks processed advance remittances without recording mandatory Tax Identification Numbers (TIN), while shell companies operated without basic verification. • Impact on Businesses: • Requiring importers to undergo multiple registrations adds unnecessary administrative delays and costs for compliant import-export businesses. • CID investigations confirmed ~$ 715 Mn was fraudulently remitted overseas between 2023 and 2026 for phantom imports that never entered the country. • New Regulatory Measures: • Importers making advance payments must register with Customs before bank processing. • Banks must verify beneficiary details, a Unique Identification Number (UIN), and importer TIN prior to remitting funds.

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🔒 Data Protection Tone Must Be Set from Top Management 📈

• Overview: Digital Economy Deputy Minister Eng. Eranga Weeraratne emphasized that data privacy and protection are strategic priorities that must be led by enterprise leadership rather than treated merely as an IT function. • Key Directives for Enterprise Leaders: • Chairpersons, CEOs, and Boards must embed data privacy into systems from the outset to sustain public trust during Sri Lanka's digital transformation. • Risk scope has expanded across healthcare, financial services, and online behavioral data in both public and private sectors. • Legislation alone is insufficient; institutions must invest in skilled talent, stronger digital literacy, and a robust culture of privacy. • National Context & Security: • Government is expanding digital public services, including sensitive biometric data systems, requiring strict safeguards to protect against misuse and misinformation. • A secure digital infrastructure and trusted ecosystem are vital to long-term national growth in ICT/BPM and the broader digital economy.

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📈 Govt to Restore Criminal Sanctions for Foreign Exchange Fraud

• Legal Reform: The Government is preparing a Cabinet paper to amend the Foreign Exchange Act, No. 12 of 2017, reclassifying serious FX violations from civil breaches back to criminal offences. • Investigation Scale: The Criminal Investigation Department (CID) uncovered approximately US$ 715 Mn remitted overseas (Jan 2023–Mar 2026) through 105 shell companies using fake import documentation. • Network Scope: Investigations identified 55 individuals, 227 bank accounts, and around 24,300 telegraphic transfers across 13 state and private banks, revealing alleged links to international money laundering and drug trafficking networks. • Key Legal Gap: Decriminalisation in 2017 removed police jurisdiction to prosecute FX violations directly, forcing law enforcement to prove separate predicate crimes like narcotics trafficking to initiate proceedings. • Policy Scope: Criminal liability will focus solely on serious fraud, false documentation, and fraudulent advance payments, while procedural non-compliance will continue to carry civil penalties to safeguard legitimate trade and cross-border transactions.

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📈 Kandy Esala Perahera to Gain Intellectual Property Safeguards under WIPO Project

• Cabinet Approval: The Cabinet of Ministers approved an initiative to safeguard the historical, cultural, and traditional intellectual property of the Kandy Esala Perahera under the World Intellectual Property Organisation’s (WIPO) project, “Promoting Festival Tourism Development through Intellectual Property”. • Strategic Focus: Special emphasis will be given to copyright protection, trademarks, and brand names to preserve the festival's unique identity, centuries-old art forms, and traditional knowledge. • Implementation Committee: A multi-stakeholder committee co-chaired by the Minister of Trade, Commerce, Food Security, and Cooperative Development and the Minister of Buddhism, Religious Affairs, and Cultural Affairs will prepare and submit the official project proposal. • Economic & Tourism Objective: The initiative aims to enhance the capacity of cultural festival organisers to utilize intellectual property rights to boost festival tourism while safeguarding Sri Lanka's cultural heritage on the global stage.

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⚖️ AG Opposes Request to Halt Yoshitha Rajapaksa’s Money Laundering Case

• Legal Objection Raised: The Attorney General’s Department has formally opposed a motion submitted by lawyers for Yoshitha Rajapaksa—son of former President Mahinda Rajapaksa—seeking to halt proceedings in his High Court money laundering case. • Supreme Court Hearing: The objection was presented before the Supreme Court during the consideration of Rajapaksa’s appeal. • State Position: Deputy Solicitor General Janaka Bandara, representing the Attorney General, strongly argued against staying the case under the Prevention of Money Laundering Act.

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Global & International Business

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📈 Forum Focus: Reconnecting Sri Lanka to Global Markets

• National Strategy: Industry leaders and experts at the "Taking Sri Lanka to the World" forum highlighted that Sri Lanka's economic transformation depends on strong institutions, policy consistency, and a unified foreign policy rather than relying solely on its geographic location. • Foreign Policy & Trade: Prof. Patrick Mendis proposed the "Mahaweli Doctrine" to link foreign policy with commerce, agriculture, ICT/BPM, and tourism, advocating for a "multi-alignment" strategy with major powers including the US, China, India, and ASEAN. • Investment & FDI: Panelists emphasized creating an authentic national brand to attract foreign direct investment. Focus must shift from tax incentives to improving execution, logistics, labor reforms, and celebrating reinvestment from existing global investors. • Key Services Sector: Port City Economic Commission Chairman Harsha Amarasekera positioned Colombo Port City as a special economic zone designed to integrate Sri Lanka into global services, finance, and knowledge-intensive industries via a multi-currency framework. • Strategic Communications: PRASL President Nimal Gunawardena noted that strategic public relations must align public understanding with major national initiatives like digital transformation and energy transitions.

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India’s Assistance to Sri Lanka Exceeds US$ 7.5 Bn 📈

• Overall Assistance: Total aid from India has crossed US$ 7.5 Bn, which includes over US$ 850 Mn provided as grant assistance. New Delhi remains Sri Lanka’s largest partner in trade, investment, and development. • Sectors Covered: Funding spans all 25 districts, supporting crucial development in infrastructure, housing, health, education, agriculture, renewable energy, railways, and industrial development. • Crisis Relief & Support: Highlighted under India's "Neighbourhood First" policy, assistance includes recent relief during Cyclone Ditwah, the economic crisis, and the COVID-19 pandemic.

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Ceylon Chamber to Host B2B Session with Indian Chamber Delegation 📈

• Event Details: The Ceylon Chamber of Commerce, in partnership with the Indo Lanka Chamber of Commerce and Industry (ILCCI), will host an exclusive Business Networking Session on Tuesday, 28 July 2026 (10:00 AM – 11:30 AM) at Hilton Colombo Residences. • Delegation Profile: Features a 30-member delegation from the Indian Chamber of Commerce (ICC) representing diverse industries to foster direct bilateral commercial ties, trade, and investment partnerships. • Key Sectors Represented: Includes IT & digital services, healthcare & pharmaceuticals, agriculture, food processing, manufacturing, construction & infrastructure, renewable energy, travel & tourism, water treatment, consultancy, industrial minerals, beverages, fine arts, and sports products. • Strategic Focus: Aims to create direct B2B opportunities for Sri Lankan firms to connect with Indian counterpart companies across fast-growing regional value chains. Registration is open via the Ceylon Chamber platform.

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📈 Sri Lanka & India Target Industrial & Trade Cooperation Following High-Level Visit

Sri Lanka’s Minister of Industry and Entrepreneurship Development, Sunil Handunneththi, concluded an official visit to India (July 14–18, 2026) to strengthen bilateral cooperation in investment, technology, and manufacturing. • Apparel & Textiles: Met India’s Union Minister of Textiles at Bharat Tex 2026 to enhance investment, trade, and value chain integration in the apparel & textiles sector. • Industrial Infrastructure: Visited the RIICO Neemrana Japanese Zone in Rajasthan and engaged FICCI business leaders to study models for dedicated industrial parks and attracting FDI into global value chains. • Agribusiness & Food Processing: Inspected protected cultivation and cold chain infrastructure at Haryana’s Indo-Israel Centre of Excellence and HSIIDC Mega Food Park to support agribusiness modernization and value addition. • Regional Ties & Tourism: Met the Chief Minister of Madhya Pradesh to discuss direct Colombo–Bhopal air links for tourism and trade, alongside an invitation to the Global Investors Summit 2027 in Bhopal.

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🏆 Unlocking Commonwealth’s US$ Trade Potential Beyond the Games

• Overview: As the Commonwealth Games begin in Glasgow, attention turns to the untapped economic network spanning 56 nations and 2.7 billion people—over 60% of whom are under the age of 30. • The Commonwealth Advantage: Shared language, legal systems, and diaspora networks make intra-Commonwealth trade 21% cheaper and 20% higher compared to non-member country pairs. • Key Focus Areas: At the upcoming Heads of Government Meeting (CHOGM 2026) in Antigua and Barbuda, leaders aim to prioritize trade and investment to lower frictions. • Strategic Imperatives for Growth: • Reducing tariffs, streamlining customs, and aligning technical/regulatory standards. • Facilitating cross-border mobility for entrepreneurs, investors, and professionals. • Building resilient supply chains in future industries and adopting common digital trade standards. • Diversifying beyond traditional regional blocs to leverage high-trust international trade networks.

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📈 Sri Lanka Expo 2027 Promoted in Kenya's Renewable Energy Sector

Sri Lanka's High Commission in Nairobi has actively promoted Sri Lanka Expo 2027 to the Kenya Renewable Energy Association (KEREA) to boost bilateral trade and green energy partnerships. • Key Event Details Event: Sri Lanka Expo 2027 (Flagship International Trade Exhibition) Dates: 14–17 January 2027 in Colombo Scope: Showcasing national export capabilities, facilitating B2B partnerships, and driving foreign investment. • Kenyan Promotional Roadshows Business briefing sessions hosted by Sri Lanka's High Commission: - Nairobi: 25 September - Mombasa: 2 October Aimed at linking Kenyan clean-tech companies with Sri Lankan exporters and investors. • Strategic Focus Areas Renewable energy & construction sector expansion. Cross-border private sector collaboration, knowledge sharing, and trade linkage growth between Sri Lanka and Kenya.

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📈 Sri Lanka Must Rebuild Resilience as Strategic Advantage: Brandix MD

• Regional Competition & Strategic Shift Sri Lanka has lost its historic edge in supply chain resilience to regional manufacturing rivals like Bangladesh, Vietnam, and Indonesia. Brandix Lanka Group MD Hasitha Premaratne urges leaders to embed resilience, governance, and trust as core strategic assets to attract global buyers in a volatile market. • Navigating Supply Chain & Cost Pressures Geopolitical volatility (conflicts, shipping delays, tariffs) is now a continuous cost driver requiring a shift from "just-in-time" to "just-in-case" strategies. Highlighting risks in the apparel & textiles sector, Brandix increased inventory lead times from 30 to 40 days during Middle East shipping disruptions to prevent costly idle production lines. • Growth Drivers & Market Expansion Sri Lanka must leverage its geographic position to become a high-value hub for logistics & export, competing on innovation and service rather than low-cost volume. Finance leaders are advised to strengthen balance sheets, adopt AI for productivity, and diversify export markets into regions like India and Africa.

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🤝 Port City Colombo Courts Omani Investors in Muscat

• Key Engagements: A delegation led by Colombo Port City Economic Commission Chairman Harsha Amarasekera PC held strategic talks in Muscat with OPAZ Chairman H.E. Qais bin Mohammed Al Yousef and Invest Oman CEO Nasser Al Kindi. • Strategic Synergies: Focused on aligning Special Economic Zones (SEZs) across Sri Lanka and Oman to facilitate cross-border foreign direct investment, business coordination, and regional expansion. • Investor Forum: Concluded with an investor forum at Sheraton Oman Hotel, bringing together Omani corporates, family offices, and financial institutions to showcase opportunities in Port City Colombo. • National Impact: Supports Sri Lanka's economic transformation agenda by positioning Port City Colombo as South Asia's premier gateway for international business and deepening Gulf trade corridors.

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🇸🇪 Sweden to Bring Trade Delegation to Sri Lanka Expo 2027

The Sri Lanka Export Development Board (EDB) hosted Swedish Ambassador Jan Thesleff to discuss expanding bilateral trade and investment relations with Sweden and the wider Nordic region. Key Highlights: • Sri Lanka Expo 2027: The ambassador reaffirmed Sweden's commitment to bringing a trade delegation of buyers and investors to the premier exhibition, scheduled for 14–17 January 2027 in Colombo. • Targeted Growth Sectors: Discussions focused on the strong export potential and high-quality standards of Ceylon Cinnamon, coconut & coconut-based products, gems & jewellery, apparel, and ICT (Information and Communication Technology). • Market Alignment: Swedish officials noted that Sri Lanka’s focus on sustainable, high-quality products positions it exceptionally well to meet stringent European and Nordic market demands.

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📈 LIBA to Launch 'India Calling' Forum to Boost Sri Lanka-India Trade and Investment Barriers

The Lanka India Business Association (LIBA) has announced a major full-day corporate forum, ‘India Calling’, aimed at accelerating private sector integration, addressing regulatory friction, and driving bilateral trade and investment corridors between Sri Lanka and India. • Event Details: Scheduled for August 6th, 2026, from 9:00 AM to 6:00 PM at the Taj Samudra, Colombo. • Strategic Intent: The forum comes at a critical time as Sri Lanka recalibrates its macroeconomic framework, aiming to transition bilateral policy theory into actionable cross-border investment corridors and deeper integration with the Indian market. • Key Indian Speakers & Themes: • Montek Singh Ahluwalia (Architect of India's 1991 reforms): Will share structural lessons from India's economic transformation to aid Sri Lanka's recovery. • Prof. C. Raja Mohan (Foreign policy strategist): Will focus on "shared prosperity" as a anchor for regional stability. • Devdutt Pattanaik (Corporate consultant/author): Will dissect how cultural narratives shape South Asian consumer behavior. • Forum Agenda: Panels will feature corporate lawyers, former ambassadors, political leaders, and media figures (including ANI's Smita Prakash and WION's Sidhant Sibal). Focus areas include reducing bureaucratic trade barriers, analyzing the investment landscape, and engaging youth in regional integration. _Note: Seats are limited with registration open via the official booking platform._

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🎨 Historic 19th-Century Ceylon Art Exhibition Announced

The George Keyt Foundation has partnered with the British High Commission to present "19th Century Views of Ceylon," a landmark exhibition hosted at Westminster House from July 30 to August 1, 2026. This marks the first time the British High Commissioner's residence will open for a public art exhibition. • Cultural and Historical Value: The exhibition features rare, historic artworks sourced from private collections, many never before seen by the public. It provides visual insights into 19th-century Ceylon's landscapes and architecture as captured by prominent British artists. • Featured Artists: Key collections include watercolours and illustrations by Edward Lear, Andrew Nicholl, and Constance Gordon Cummings. • Economic and Tourism Synergy: British Airways has signed on as the primary corporate partner. This collaboration aligns with the airline's upcoming resumption of direct flights to Colombo in October 2026, which is expected to boost bilateral tourism and air connectivity between Sri Lanka and the United Kingdom. • Corporate Backing: Additional financial and logistical support is provided by prominent corporate entities including Lynear Wealth, the Juniper Group, and Nations Trust Bank, with News1st acting as the electronic media partner. • Attendance Info: Admission is free, but limited capacity requires mandatory online pre-booking via the official registration portal.

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📈 Global Market Insights: The Unprecedented Economic and Military Supremacy of the US

Based on an analysis of historical and economic statecraft up to July 2026, the United States continues to maintain an unrivaled position as the dominant powerhouse in global commerce, finance, and military strength. • Overall Economic Figures The US economy stands at approximately US$ 32 Bn (accounting for roughly 25% of the US$ 126 Trillion global GDP), despite holding only 4.2% of the world's population. In comparison, China commands 15% of global GDP (with 17% of the population), Germany holds 4.2%, and India stands at 3.3%. The US equity market represents over 60% of the global market capitalization, valued at around US$ 78 Bn (225% of its GDP). • Corporate and Currency Dominance The US Dollar remains the premier Global Reserve Currency, maintaining a 58% share of all official reserves, far ahead of the Euro at 20%. The premier "Magnificent-7" technology corporates hold a combined market cap of US$ 23 Bn—exceeding the entire GDP of China. Notably, NVIDIA reached a historic US$ 5 Bn market cap in June 2026. The US financial system remains the global benchmark; leadership changes at the Federal Reserve directly dictate international monetary sentiment far more than counterparts in China or India. • Trade, Energy, and Defense The US is the world's largest importer (13% of global trade) and the second-largest exporter (10%). In energy, the US is the top global crude oil producer, yielding over 13 million barrels per day (15% of global output). Defense spending has surpassed US$ 1 Bn (more than one-third of the US$ 2.9 Trillion global total), supported by 750 to 800 overseas bases across 75 nations.

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Politics & Government Impact

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📈 President Directs State Land Allocation for Returning Migrant Workers & Reviews Plantation Progress

• Policy & Land Reforms: President Anura Kumara Dissanayake instructed officials to formulate a program allocating underutilised State land and support services to returning Sri Lankan migrant workers for rural economic development. He also ordered a Finance Ministry review of past State land agreements and urged better execution of foreign-grant projects. • Financial Performance: The plantation sector recorded stronger YoY growth and improved profitability, with six State-owned plantation entities (including Elkaduwa, Kurunegala, and Chilaw Plantations) making significant financial gains. • Key Sector Highlights: • Tea: Rs. 155.07 Mn utilised out of Rs. 450.06 Mn allocated in the 2026 Budget for smallholder tea replanting (~60,000 ha). Directives issued to accelerate the 500 Tea Villages Program. • Cashew: Expected production of 18,000 tons this year against an annual requirement of 25,000 tons, with expansion targeted across ~15,000 hectares in Northern and Eastern Provinces. • Coconut, Rubber & Palmyrah: Progress noted across the Northern Coconut Triangle, Kapruka Fund, and Rs. 137 Mn Rubber Research Institute allocation, along with replanting relief following Cyclone Ditwah. • Community & Infrastructure: Ordered the timely completion of 10,000 houses allocated for the Malayagam community.

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🤝 India–Sri Lanka Regional & Literary Bilateral Engagement

• Diplomatic Exchange: Indian MP and author Dr. Shashi Tharoor met former President Ranil Wickremesinghe to discuss India–Sri Lanka bilateral ties and regional cooperation. • Cultural Impact: Dr. Tharoor visited Colombo as the Chief Guest for the Colombo Literary Festival, highlighting cross-border literary exchange and cultural tourism ties.

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🗳️ Parliament Defeats No-Confidence Motion Against Justice Minister

• Governance & Legal: Parliament has defeated the no-confidence motion against Justice and National Integration Minister Harshana Nanayakkara by a majority of 116 votes. • Voting Breakdown: • Votes against motion: 152 • Votes in favor: 36 • Abstentions: 0 • Context: The Opposition had brought the motion following the civil unrest at Negombo Prison on July 5–6, which resulted in fatal clashes and serious injuries among both prison officers and inmates.

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⚖️ Former State Minister Pillayan Further Remanded Until August 4

• Legal Developments: Batticaloa Magistrate’s Court has extended the remand of former State Minister Sivanesathurai Chandrakanthan (Pillayan) until August 4, 2026. He appeared in court via video conference. • CID Investigations: Proceedings named Chandrakanthan as the third accused under the Prevention of Terrorism Act (PTA) regarding five homicides committed across the Batticaloa District in 2008. • Key Allegations: The cases involve T-56 shooting incidents, including the deaths of two individuals (including a former police officer) near Kallady Murugan Temple, two killings in Kattankudy (May 2008), and one in Vavunathivu (August 2008). • Other Court Orders: A separate Kallady land dispute case was postponed to October 29. An arrest warrant remains active for the first accused, who is currently abroad. _Note: Summarized based on reported CID filings and court proceedings._

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🏛️ Opposition Unites Against Govt. Proposal on Judicial Retirement Age

• Political Developments: Main opposition leaders, led by Sajith Premadasa, have formed a united front to oppose the Government’s proposal to extend the retirement age of judges, citing potential risks to judicial independence and democratic governance. • Judicial & Administrative Concerns: Former President Ranil Wickremesinghe highlighted Sri Lanka's backlog of roughly 1.1 million pending court cases, arguing that extending judge tenures will not solve systemic delays. He called for a special parliamentary select committee to drive structural legal reforms. • Campaign & Mobilization: The joint opposition has conducted 5 public rallies (Kosgama, Ja-Ela, Kandy, Matara, Kurunegala) and engaged diplomats, the UN, and religious leaders. Upcoming actions include a Buddhist clergy conference, legal fraternity meetings, and grassroots expansion targeting trade unions, youth, and women. • Key Stakeholders Involved: The coalition brings together major political factions, including SJB, SLPP, SLFP, SLMC, CWC, TNPF, and Sarvajana Balaya, signaling broad political alignment on governance and rule-of-law issues.

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Tragic Incident Inside Negombo Prison: CID Submits Medical & Investigation Progress Reports 🏛️

Key Findings: • Judicial Medical Officer reports confirm 17 of 28 deaths inside Negombo Prison were caused by gunshot injuries, while 11 resulted from blunt weapon assaults. • Negombo Chief Magistrate Shilani Perera stated justice will be administered equally without differentiating between prison officers and inmates. Investigation Progress: • Case involves deaths of 10 Rapid Strike Force personnel and 21 inmates. • CID's Commercial Crimes Division recorded statements from 969 individuals: 563 inmates, 200 prison officers, 130 Police Special Task Force personnel, 65 civilians, and 11 police officers. • Aliases used by 40 suspects have been identified so far. • CID directed to conduct a comprehensive investigation into potential criminal offences.

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Sri Lanka Political Focus: Minority Caucus, PC Elections & Constitutional Debate 📈

• Approval Ratings & Electoral Performance: CPA survey shows 75.5% satisfaction with President AKD vs 29.4% for Opposition Leader Sajith Premadasa. Opposition led by SJB continues winning local cooperative society elections (e.g. Naula, Karuwalagaswewa) over ruling JVP-NPP. • New Minority Caucus Formed: 6 parliamentary parties representing Tamil-speaking peoples formed a joint political platform: ITAK, SLMC, TPA, ACMC, DTNA, and CWC. Focuses on 3 immediate priorities: constitutional reform with meaningful power-sharing, urgent Provincial Council (PC) elections, and land rights resolutions. • Key Issues & Constitutional Debate: Prolonged delay of PC elections leaves a provincial political vacuum. Debate centers on whether a new Constitution or unfreezing the existing 13th Amendment provides the best path for devolution without risking national integrity.

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📈 Sri Lanka’s 43-Year Post-Black July Transitional Justice Progress

• Historical Context & Mandates: 43 years since 'Black July' (1983) and 17 years post-war (2009), core transitional justice elements—truth, accountability, reparations, and non-recurrence guarantees—remain partially unfulfilled. Key past initiatives include the 13th Amendment (13A), Lessons Learnt and Reconciliation Commission (LLRC, 2010), and UN Resolution 30/1 (2015). • Institutional Framework: Prior governments established key reconciliation architecture, including the Office for National Unity and Reconciliation (ONUR, 2015), Office on Missing Persons (OMP, 2016), and Office for Reparations (2018) to process claims and reparations for affected families. • Key Challenges & Gaps: Lack of a judicial mechanism for wartime accountability, unresolved land disputes, incomplete devolution under 13A, military footprint in the North/East, and security law reliance (_PTA_) remain contentious. Infrastructure focus has not fully addressed underlying political autonomy and truth-seeking demands across Tamil, Sinhala, and Muslim communities. • NPP Government Policy Progress: Two years into its second term, the National People's Power (NPP) government has focused on economic stabilization, maintaining OMP/reparations engagement, partial land releases, and reduced triumphalist rhetoric. However, structural constitutional power-sharing and comprehensive truth-seeking mechanisms remain unaddressed. • Strategic Recommendations: Priorities for long-term stability include an independent national truth commission, time-bound disclosure on disappearances, full language parity in public administration, school curriculum reform, and renewed dialogue on local power-sharing.

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✈️ Rising Foreign Travel Costs for Sri Lankan Law Enforcement Investigations

• Key Overseas Investigations: • Civil Aviation: Officials from CIABOC and the CID traveled to Australia to investigate an alleged US$ 2 Mn bribe involving SriLankan Airlines' 2013 fleet acquisition. • Governance & Accountability: CID team visited the UK to verify the official status of former President Ranil Wickremesinghe’s 2023 visit. • National Security: CID officers traveled to France to record a statement from Asad Maulana concerning the Easter Sunday attack investigations. • Public Finance & Expenditure Impact: • State Expenditure: Foreign travel and lodging expenses are borne by state funds, but total costs remain undisclosed. A Right to Information (RTI) request regarding UK travel expenses was ignored by the Police Department. • Unresolved Cyber Theft: Critical cases remain pending locally, including the cyber-diversion of US$ 2.5 Mn (~Rs. 800 Mn) in Treasury foreign bilateral debt repayments to US shell accounts. • Efficiency & Procedural Alternatives: • Alternative Channels: Experts highlight that state-funded trips could be replaced by leveraging Interpol, foreign agency partnerships, or virtual video links. • Legal Risks: Questions exist over whether statements gathered abroad will be legally admissible in court during trial.

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⚖️ Parliament to Debate No-Confidence Motion Against Justice Minister Tomorrow

• Key Parliamentary Motion: The Parliamentary Business Committee has scheduled a debate for tomorrow (24) on the no-confidence motion against Justice and National Integration Minister Harshana Nanayakkara. • Opposition Action: The motion was officially submitted to Speaker Dr. Jagath Wickramaratne on Tuesday (21) with signatures from multiple Opposition MPs. • Core Allegations: The challenge stems from the July 5-6 unrest at Negombo Prison, which resulted in 10 deaths (prison officers and inmates) and multiple injuries. The Opposition cites a failure in duty regarding custody safety and accountability.

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📊 PM Emphasizes Efficient Public Sector and Accounting Standards for Sustainable Growth

At the CMA Sri Lanka National Management Accounting Conference 2026, Prime Minister Dr. Harini Amarasuriya stressed that an efficient public sector paired with an accountable management accounting system is vital for Sri Lanka's post-crisis economic consolidation. Key highlights from the address: • Economic Recovery: Sri Lanka is steadily emerging from its financial crisis, showing active progress across the manufacturing, tourism, and financial services sectors. The current goal is to build long-term competitiveness and resilience. • Public Sector Accountability: Addressing past lapses where government entities failed to submit annual financial reports, the PM warned that legal action will now be enforced against institutions and officials violating reporting standards or deadlines. • Data-Driven Governance: Public administration decisions must rely on scientific analysis and evidence rather than personal agendas. Accounting frameworks must also adapt to account for environmental degradation and social costs. • Education & Professional Development: Upcoming A/L curriculum reforms will integrate vocational training and a one-year internship. professional bodies like CMA Sri Lanka are called to support these initiatives. • Institutional Support: CMA Sri Lanka awarded 100 full scholarships for public sector officers to pursue the CMA Management Accounting Programme to upskill civil service capacity.

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📈 Cabinet Approves Transfer of 60 Provincial Roads to RDA for Urgent Rehabilitation

• Decision Overview: The Cabinet of Ministers has approved appointing an official committee to recommend transferring the rehabilitation of around 60 urgent provincial and local government roads to the Road Development Authority (RDA). • Background: The move addresses widespread public and official requests at District Coordination Committees for RDA intervention on deteriorated roads currently outside its jurisdiction and beyond local authority capacity. • Committee Scope: Representatives from key ministries, the Finance Commission, provincial authorities, and the RDA will study and submit recommendations covering legal, administrative, and institutional arrangements. • National Context: While the RDA conventionally manages national highways (A and B class roads, expressways, and bridges), this proposed mechanism aims to fast-track critical infrastructure improvements across local road networks.

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Product & Service Launches / Business Expansions

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📈 Abans Environmental Services Partners with Kapruka to Expand Digital Reach

• Strategic Partnership: Abans Environmental Services (AES) signed an agreement with Kapruka Holdings PLC on July 16, 2026, to offer its specialized services on Sri Lanka's largest e-commerce platform. • Services Launched: Customers can now book sofa, carpet, house, apartment cleaning, and pest control services directly online via Kapruka's digital marketplace. • Future Expansion: Floor and glass cleaning services are confirmed for the next phase, alongside ongoing discussions to roll out additional facility management solutions. • Economic Context: The collaboration leverages AES's decades of operational expertise and Kapruka's digital ecosystem, strengthening service-sector diversification and driving growth in Sri Lanka's expanding e-commerce and digital economy.

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📱 Samsung Sri Lanka to Open Pre-Orders for Galaxy Z Fold8 Series

• Market Expansion: Samsung Sri Lanka has announced upcoming islandwide pre-orders for its newest foldable devices, the Galaxy Z Fold8 Ultra and Galaxy Z Fold8, available via authorized Samsung stores and dealers. • Product Capabilities: Both flagship models feature refined designs, tablet-like screens, and next-generation Galaxy AI integrations aimed at enhancing user productivity, multitasking, and creative workflows. • Pre-Order Availability: According to Samsung Sri Lanka & Maldives Managing Director SangHwa Song, full details on pre-order dates, launch benefits, and device availability will be released through official channels shortly.

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🛡️ SLCERT Launches Cyber Threat Lab to Secure Govt Institutions

• Strategic Shift in Defense: The Sri Lanka Computer Emergency Readiness Team (SLCERT) has launched the Malware Analysis & Threat Hunting (MATH) Lab, shifting from reactive incident handling to proactive, intelligence-led threat detection and prevention. • Core Operational Capabilities: - Proactive Threat Hunting: Identifies hidden cyber threats inside existing networks. - External Attack Surface Monitoring (EASM): Detects vulnerabilities and misconfigurations across publicly accessible assets. - Cyber Threat Intelligence (CTI): Gathers and disseminates threat intelligence across agencies for early risk mitigation. • Institutional Coverage: - Supports over 250 Government institutions and critical information infrastructure. - Directly protects essential sectors, including health, education, and energy. • National Context: Complements the National Cyber Security Operations Centre by strengthening domestic capabilities in malware analysis, building resilience, and increasing public trust in national digital infrastructure and services.

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China Unicom & Huawei Launch World’s Largest 5G-A 100 MHz GigaUplink Network 📈

• Key Infrastructure Figures: Deployed over 10,000 base stations across key areas in Beijing, achieving continuous 100 MHz network coverage. Utilized 3.5 GHz + 2.1 GHz coordinated networking (Supplementary Uplink - SUL). • Network Performance & Test Results: Measured across a 34-kilometer live test route with media representatives. 100 MHz uplink effective ratio: 83%. Average uplink rate: 397 Mbps (Peak: 1 Gbps). Ultimate experience (> 300 Mbps): 72% of test route. Cell-edge weak points (< 20 Mbps): Exceedingly low at 0.1%. • Strategic Focus & Applications: Shifts emphasis from traditional download speeds to stable, high-capacity real-time uplink transmission required for the Mobile AI era. Powers real-time cloud data transfer for AI phones, AI glasses, smart robots, industrial vision, and low-altitude applications. Critical infrastructure benchmark for emerging ICT/BPM and digital economy ecosystems relying on real-time AI interaction and cloud processing.

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🚜 HNB Partners with Lanka Commercial Trading to Boost Agricultural Leasing

• Key Initiative: Hatton National Bank (HNB PLC) has partnered with Lanka Commercial Trading Ltd. to offer tailored leasing solutions for advanced agricultural machinery, including Yanmar and Solis tractors as well as Samurai Naca harvesters. • Financial & Banking Perks: • Flexible financing available via HNB’s Govi Saviya scheme tailored for agribusinesses. • Includes an HNB Prestige Prime Credit Card with the first-year annual fee waived. • Special discounts on HNB General Insurance premiums, automotive products, servicing, spare parts, tyres, and batteries. • Equipment & After-Sales Support: • Free RMV registration and first-year insurance coverage for Yanmar and Solis tractors. • Warranties provided up to 2,000 hours / 2 years (Solis), 1,000 hours / 1 year (Yanmar), and 300 hours / 6 months (Samurai Naca harvesters). • Complimentary doorstep service visits, maintenance kits, and spare parts packages. • Economic Context: Supports the modernization and mechanisation of Sri Lanka’s agriculture sector to boost crop productivity, efficiency, and rural livelihoods.

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Pan Asia Bank Partners SLECIC for Migrant Worker Pre-Departure Loans 📈

Pan Asia Bank has entered a strategic partnership with the Sri Lanka Export Credit Insurance Corporation (SLECIC) to enhance its Remit Max Pre-Departure Loan Scheme by integrating the APARA Guarantee Cover. • Strategic Objective: To expand access to formal pre-departure financing for aspiring migrant workers, support safe migration channels, and boost Sri Lanka's foreign exchange remittance inflows. • Key Features: • Provides credit guarantee cover under the SLECIC APARA scheme to share credit risk for prospective workers holding confirmed foreign employment offers. • Eases pre-departure financial burdens by financing initial costs such as airfare, visa fees, medical exams, and registration expenses. • National Impact: Strengthens Sri Lanka's remittance framework, promotes financial inclusion, and supports a key economic driver by aiding individuals seeking overseas employment.

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📈 Union Bank Launches Record Pension Loan & Empowers Retirees

Union Bank hosted Union Bank Pensioners’ Day at its Head Office, introducing dedicated financial, healthcare, and lifestyle support to promote independent retirement under the theme "Make your retirement a strength, not a burden." • Financial Products: Launched Sri Lanka’s most competitive pension loan, offering up to Rs. 8 million at the lowest market interest rates. • Value-Added Benefits: Includes Rs. 30,000 worth of free PickMe rides annually for Government Pensioners. • Healthcare & Partnerships: Partnered with Nawaloka Hospitals, Vision Care, Lifeserv, and BYD JKCC Sri Lanka to deliver health screenings, medical benefits, and lifestyle services. • Regulatory Endorsement: Pensions Department Director General Chaminda Hettiarachchi noted this as the first private bank initiative dedicated to pensioner empowerment, leveraging government flexibility that allows retirees to select their preferred lending institution.

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🚁 South Asia’s First VR Flight Simulator to Benefit Sri Lankan Aviation

• Regional Aviation & Training: Indocopters Private Limited and Loft Dynamics are launching South Asia's first dedicated Airbus H125 virtual reality (VR) full-motion flight simulator at Indocopters' headquarters in Greater Noida, India. • Benefits for Sri Lanka: The advanced facility will support local operators in Sri Lanka and across the region, boosting aviation & pilot training standards for high-risk operations, adverse weather, emergency procedures, and confined-area landings. • Fleet Context: More than 80 Airbus H125 aircraft are currently in service across South Asia (including Sri Lanka, India, Nepal, Bhutan, Bangladesh, and the Maldives). The initiative provides scalable training infrastructure as Airbus Helicopters and Tata Advanced Systems expand regional assembly in Karnataka. • Cutting-Edge Tech: The Loft Dynamics H125 TXi simulator features a 360-degree 3D VR environment, force-feedback controls, and a 6-degree-of-freedom motion platform, allowing pilots to safely rehearse complex scenarios and advance overall aviation MRO and operational readiness.

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🇱🇰 Hayleys Agriculture Launches Sri Lanka's First Frozen Concentrated Coconut Water Facility 📈

• Facility Launch: Hayleys Agriculture Holdings Limited has officially opened Hayleys Nature Nest (Pvt) Ltd, marking the island’s first specialized manufacturing plant for frozen concentrated coconut water. • Sector Impact: Focuses on boosting value-added exports within the agriculture and coconut sectors by converting locally sourced coconut water into premium concentrate for international markets. • Economic & Local Benefits: Aims to increase national export earnings, drive agribusiness innovation, and support local coconut growers and regional farming communities.

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📈 HDFC Bank Expands Beyond Housing Finance Through Strategic Diversification

• Strategic Shift: State-owned, CSE-listed HDFC Bank of Sri Lanka has diversified its traditional housing finance model starting in 2024 to strengthen financial resilience, enhance sustainability, and adapt to evolving customer needs. • Portfolio Expansion & Product Innovations: - Diversified into leasing, gold advances, and personal loans in 2024. - Introduced Super Draft Leasing, a flexible vehicle financing product permitting early settlements or lump-sum payments within 4 to 24 months without penalties. - Launched Gold Purchase Loans, enabling customers to buy gold jewellery at current market prices through 12-month installment plans to hedge against rising gold prices. • Green Financing & Sustainability: - Entered green financing in 2025 in alignment with the Central Bank of Sri Lanka (CBSL) Green Taxonomy. - Introduced Green Personal Loans and Green Leasing options for solar energy systems, electric vehicles (EVs), energy-efficient appliances, and waste recycling. - Rolled out Go Green Savings Accounts and Green Wealth Fixed Deposits to channel customer deposits directly into eco-friendly initiatives. • Leadership & Future Outlook: Under new GM/CEO Hemal C. Lokugeegana, the bank aims to drive long-term, sustainable economic growth across Sri Lanka's banking & finance sector from 2026 onwards.

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🤝 AIA Sri Lanka Partners with SLASSCOM as Exclusive Insurance Partner

AIA Insurance Lanka has signed a Memorandum of Understanding (MoU) with the Sri Lanka Association for Software and Services Companies (SLASSCOM) to become its exclusive Insurance Partner, aiming to enhance corporate wellness and holistic wellbeing within the national ICT/BPM and knowledge technology community. • Key Highlights & MoU Details: - AIA Sri Lanka named exclusive Insurance Partner across SLASSCOM sponsored events. - Focuses on promoting physical, mental, and social wellness alongside employee benefits. - Engages the tech workforce through flagship initiatives including FIT HIT 2026, Megamind Quiz, and Ctrl+Alt+Rock. • Strategic & Economic Impact: - Targets sustainable workforce performance and resilience in Sri Lanka's fast-paced IT/BPM sector. - Deepens AIA’s presence in the national wellness ecosystem beyond traditional insurance products.

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📱 LB Finance Launches Sri Lanka's First In-App Virtual Debit Card via LB CIM

LB Finance PLC has introduced the LB CIM Virtual Debit Card in partnership with UnionPay International, expanding digital payment infrastructure in Sri Lanka. • Key Highlights & Innovations: • First local app to offer Tap to Pay (NFC) directly within the mobile application without third-party wallet routing. • Enables global e-commerce, international merchant payments, and cross-border QR transactions overseas. • Features consumer-presented QR generation for instant merchant scanning. • Platform Growth: • Annual transaction volume surpassed Rs. 300 Bn across over 6 Mn transactions. • Achieved 173% YoY growth in transaction volume and a 55% YoY increase in transaction count. • Platform app downloads have now exceeded 800,000. • National Impact: • Aims to boost financial inclusion and advance Sri Lanka's transition toward a cash-lite digital economy.

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Market News

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CSE Closes Week Down 1.08% Amid Brief Mid-Week Recovery 📉

• Overall Figures: • Benchmark ASPI declined 1.09% (-232.67 pts) weekly to close at 21,172.74. • Active S&P SL20 fell 0.95% (-57.12 pts) over the week to end at 5,942.56. • Market turnover exceeded Rs. 2.45 Bn with over 93.5 Mn shares traded. • Foreign investors remained net buyers with a net inflow of Rs. 1.07 Bn. • Sector Breakdown: • Retailing sector led daily turnover, contributing 42%. • Banking and capital goods sectors collectively accounted for 33% of turnover. • Market Activity: • 139 counters closed in red against 76 in green. • ASPI decline was primarily led by JKH, HNB, CINS, GRAN, and BREW. • Activity was bolstered by high-net-worth investor participation and a large negotiated crossing in United Motors Lanka (UML).

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📈 Global Oil Prices Surge Amid Supply Chokepoints

• Market Figures: Brent futures eased 0.72% to US$ 99.97 a barrel (heading for a 13.5% weekly gain), while West Texas Intermediate dropped 0.76% to US$ 91.49 a barrel (on track for a 10.9% weekly rise). • Supply Disruptions: Red Sea shipping attacks by Houthi forces on oil tankers threaten the closure of the critical Bab el-Mandeb chokepoint, following a declared naval blockade on Saudi Arabia. • Production Impacts: Kazakhstan temporarily scaled back output after suspected Ukrainian drone attacks forced the closure of its main Black Sea export terminal at the Caspian Pipeline Consortium. • Geopolitical Tensions: U.S. President Donald Trump vowed to hold Iran responsible, exacerbating fears of constrained global energy supplies and heightened transport costs.

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📈 Sri Lanka Secondary Bond Market Yields Hold Steady Amid Subdued Trading

• Financial Services & Money Market Overview: Yields in the secondary bond market remained broadly steady, consolidating across the yield curve. Overall activity was subdued, though key block transactions were executed across several maturities: • 15.12.26 maturity: traded at 10.05% • 15.09.27 maturity: traded at 10.36%-10.39% • 01.07.28 & 15.12.28 maturities: traded at 10.70%-10.79% and 10.80% • 15.09.29, 15.10.29 & 15.12.29 maturities: traded between 11.20% and 11.25% • 01.07.30 maturity: traded at 11.53%-11.55% • Liquidity & Central Bank Operations: • Net money market liquidity surplus recorded at Rs. 136.54 Bn. • Rs. 129.04 Bn deposited at CBSL's Standing Deposit Facility Rate (SDFR) of 8.25%. • Central Bank drained Rs. 7.50 Bn via overnight Repo auction at a weighted average rate of 8.74% (against an offered Rs. 60.00 Bn). • Overnight call money and Repo weighted average rates stood at 9.01% and 9.02% respectively. • Foreign Exchange Market: • The USD/LKR spot rate closed slightly higher at Rs. 336.15/336.25, appreciating from the prior close of Rs. 336.25/336.35. • Total USD/LKR traded volume reached $ 104.35 Mn on July 22.

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📈 CSE Extends Recovery as ASPI Gains 0.24%

• Market Indices & Overview: The Colombo Stock Exchange (CSE) extended its rebound amid low investor participation. The All Share Price Index (ASPI) rose 0.24% (+49.81 pts) to close at 21,199.37, while the S&P SL20 gained 0.22% (+13.25 pts) to end at 5,945.87. Market breadth was slightly positive with 102 advancers versus 100 decliners. • Turnover & Foreign Flow: Daily turnover reached nearly Rs. 1.1 Bn across 37.7 Mn shares traded. Foreign investors remained net sellers, recording a net outflow of Rs. 188.6 Mn. • Sector Highlights: - Capital Goods: Led daily turnover (29% contribution), driven by John Keells Holdings (closed flat at Rs. 19.60). Sector index rose 0.42%. - Banking: Second highest turnover contributor. Sector index gained 0.43%, supported by National Development Bank (+Rs. 1.75 to Rs. 109.25) and Sampath Bank (+25 cents to Rs. 137.00). - Food, Beverage & Tobacco: Combined with Banking to contribute 36% of overall turnover. • Key Drivers & Activity: The primary positive ASPI drivers were Hatton National Bank (HNB), Ceylon Tea Services (CARS), Ceylinco Insurance (CINS), NDB, and Tokyo Cement (TKYO). High-net-worth and institutional interest was centered on John Keells Holdings, Digital Mobility Solutions Lanka, and HNB.

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📈 Global Crude Tops $ 100 Amid Middle East Escalation

• Market Impact Brent crude briefly breached US$ 100 per barrel for the first time since May before paring back slightly, remaining at its highest level in nearly two months. • Core Driver The price surge was triggered by recent attacks on two Saudi oil tankers in the Red Sea, escalating concerns over global oil supply stability and maritime safety. • Key Maritime Routes Heightened geopolitical conflict threatens critical trade chokepoints, specifically the Strait of Hormuz and the Bab el-Mandeb Strait, increasing risk for global crude shipments. • National Economic Context Sustained oil price spikes and supply chain bottlenecks present significant risk to fuel-importing nations, placing pressure on national petroleum import costs, freight expenses, and broader energy inflation.

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📈 Oil Prices Reach 6-Week High Amid Middle East Escalation

• Global Market Overview: Brent crude futures surged +2% (up $1.93) to $96/bbl, while U.S. West Texas Intermediate (WTI) rose +1.7% (up $1.44) to $88.27/bbl following heightened geopolitical conflict. • Geopolitical Drivers: The U.S. launched its 12th consecutive night of military strikes on Iran. Escalating tensions near the Strait of Hormuz led to an oil tanker catching fire after an explosion, with Iran’s Revolutionary Guards declaring the key route "completely closed." Yemen's Houthis declared a naval blockade on Saudi Arabia in the Bab el-Mandeb Strait, attacking the Saudi-flagged tanker Encelia in the Red Sea. • Supply Deficit & Stock Updates: U.S. crude inventories unexpectedly rose by 2 Mn barrels last week due to reduced refinery activity and exports, defying analyst forecasts of a 1.1 Mn-barrel draw. • Macro Impact: The global energy supply shock and Red Sea freight disruptions present heightened import bill risks for energy-dependent markets like Sri Lanka's petroleum & energy sector.

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📈 CSE Ends 3-Day Losing Streak as CBSL Holds Policy Rates Steady

• Market Overview: The Colombo Stock Exchange (CSE) bounced back into green territory following the Central Bank of Sri Lanka’s decision to maintain current policy interest rates. • Key Indices: - ASPI: Up by 0.02% (+3.83 points) to close at 21,149.56. - S&P SL20: Down by 0.21% (-12.39 points) to close at 5,932.62. • Trading Activity: Total turnover exceeded Rs. 3.5 Bn with 91.1 Mn shares traded. High participation was noted from both High-Net-Worth (HNW) and retail investors. • Foreign Flow: Foreign investors remained net sellers, recording a net outflow of Rs. 241 Mn. • Sector Breakdowns: - Real Estate Management & Development: Led daily turnover, accounting for 65% of the total, driven by crossings in ONAL. - Banking and Diversified Financials: Collectively contributed 15% to turnover. • Top ASPI Contributors: Positive momentum was driven primarily by SEYB, LION, PKME, CARG, and SEMB.X.

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📉 91-Day T-Bill Yield Drops Below 10% as Money Market Surplus Hits 2-Month High

• Primary Auction Performance: • Yield on 91-day maturity fell by 18 bps to 9.95% (sub-10% for the first time in 7 weeks). • Yield on 182-day maturity dropped by 3 bps to 10.24%; 364-day maturity held unchanged at 10.20%. • Fully raised the offered Rs. 140 Bn during Phase I, with demand reaching 2.63 times the offered amount. • Secondary Bond & Money Markets: • Yield curve steepened as short-term T-Bill yields compressed relative to T-Bond yields; secondary trading remained subdued. • Net money market liquidity surplus surged to a two-month high of Rs. 175.20 Bn. • Central Bank absorbed Rs. 70 Bn via overnight (Rs. 50 Bn) and 6-day term (Rs. 20 Bn) Repo auctions at a 8.75% weighted average rate. • Forex & Currency: • USD/LKR spot rate appreciated slightly to close at LKR 336.25/336.35 (from LKR 336.35/336.50). • Total USD/LKR traded volume stood at US$ 143.95 Mn.

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📈 Global Markets Rebound as Chipmakers Lead Asian Equity Rally

• Market Overview: Asian equities jumped on Wednesday following a U.S. market recovery. MSCI Asia-Pacific (ex-Japan) rose +1.2%, led by South Korea’s Kospi (+6.0%) and Japan’s Nikkei 225 (+1.9%), while S&P 500 futures edged -0.1% lower. S&P 500 previously gained +0.9%, ending a three-day slide. • Sector Performance: - Tech & Semiconductors: Strong rebound across semiconductors and global ICT/BPM technology sentiment after South Korean chip exports nearly tripled in early July and Taiwanese export orders beat estimates. - Pharmaceuticals: U.S. announced generic drug tariffs set at 0% for two years starting August 1, rising to 100% in year three and 200% thereafter. - Energy & Commodities: Brent crude rose +0.6% to $91.55/barrel as Red Sea tanker diversions due to Houthi threats added supply concerns. Gold increased +0.5% to $4,097.67. • Monetary & Currency Trends: - U.S. Dollar: Dollar Index held near a one-week high at 101.20, while easing -0.1% against the Yen to 163.06. - Interest Rates: The U.S. Federal Reserve is expected to keep key interest rates steady for the rest of 2026, with the 10-year U.S. Treasury yield at 4.628%. • Digital Assets: Bitcoin traded up +0.3% at $66,611.73, while Ether gained +0.7% to $1,936.18.

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📈 Global Energy Shock: Oil Prices Rise as US-Iran Conflict Escalates

• Market Prices & Movements: • Brent Crude: Up 0.55% (+US$ 0.50) to US$ 91.51/bbl following a 5-week high. • WTI Crude: Up 0.36% (+US$ 0.30) to US$ 84.64/bbl in low-volume trading. • Supply & Security Drivers: • U.S. strikes on Iranian military targets continued for the 11th consecutive night, while Kuwait intercepted incoming drones. • Threat of shipping disruptions grew as Houthis threatened Saudi oil vessels in the Bab el-Mandeb Strait and declared a naval blockade. • Traffic through the Strait of Hormuz declined sharply, increasing risks for global crude oil and energy import security. • Fiscal & Inventory Data: • U.S. military operations in Iran have cost US$ 37.5 Bn to date (+US$ 8 Bn from previous estimates). • API data showed a rise in U.S. crude and distillate inventories, alongside a drawdown in gasoline stockpiles.

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📈 Secondary Bond Market Yields Rise Ahead of Key Monetary Policy Announcement

• Market Sentiment: Yields in the secondary bond market edged higher amid persistent selling pressure and a wait-and-see, risk-off approach by traders prior to the upcoming Monetary Policy Announcement. Transaction volumes were primarily driven by block trades at elevated yield levels. • Bond Yield Movements: • 01.07.28 maturity traded at 10.70% • 15.09.29 maturity traded at 11.15% • 15.10.30 maturity traded at 11.60%–11.65% • 15.03.31 & 01.12.31 traded up to 12.00% • Long-term 15.06.34 maturity reached 12.25% • Upcoming T-Bill Auction: Government securities auction scheduled today offers Rs. 140 Bn (Rs. 60 Bn for 91-day, Rs. 50 Bn for 182-day, and Rs. 30 Bn for 364-day tenors), falling below the estimated Rs. 153.22 Bn maturing debt. • Money Market & Liquidity: Net liquidity surplus was recorded at Rs. 142.36 Bn. Overnight call money and Repo weighted average rates stood at 8.97% and 9.00%, respectively. • Forex Market: The USD/LKR spot rate closed slightly lower at Rs. 336.35/336.50 compared to the previous close of Rs. 336.25/336.30, with a daily trading volume of US$ 74.25 Mn.

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Mixed Investor Sentiments Hit Colombo Bourse 📈

• Market Overview: The All Share Price Index (ASPI) fell 0.29% (-62.37 pts) to 21,145.73 due to broad-based selling pressure, driven partly by geopolitical uncertainties. Conversely, the blue-chip S&P SL20 index edged up 0.03% (+1.79 pts) to close at 5,945.01. Market breadth was negative, with 133 decliners against 74 gainers. • Turnover & Foreign Inflows: Daily turnover crossed Rs. 3.2 Bn for the first time in a month, with 38.5 Bn shares traded. Net foreign buying continued, generating a positive inflow of Rs. 79.8 Mn. • Sector Breakdown & Key Crossings: • Food & Staples Retailing: Dominated total market turnover with a 71% share, heavily boosted by a massive Rs. 2.3 Bn crossing in Cargills (representing 69.1% of market turnover). The sector index gained 0.15%, with Cargills closing up 25 cents at Rs. 630. • Food, Beverage & Tobacco & Banking: Jointly accounted for 15% of turnover. Melstacorp saw key crossings, ending down Rs. 1 at Rs. 181 despite a 0.43% rise in its sector index. Major banking crossings included Nations Trust Bank, which fell 50 cents to Rs. 305. • Key Contributors & Declines: The main negative drags on the ASPI included Ceylinco Insurance, Commercial Bank, Rich Pieris, Cargo Boat Development, and Harischandra Mills. Notable losses were also recorded in Hatton National Bank (-Rs. 2 to Rs. 384) and Softlogic Life Insurance (-Rs. 2.40 to Rs. 81.10).

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Awards & Recognitions

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📈 MullenLowe Group Sri Lanka Retains Position Among World’s Top 100 Most Effective Agencies

MullenLowe Group Sri Lanka has been recognized as the country’s highest-ranked agency office on the global Effie Index 2025, securing Sri Lanka’s No. 1 spot for the third consecutive year. • Global & Regional Standings: • Retained its ranking among the Top 100 Most Effective Agency Offices worldwide. • Placed within the Top 20 agency offices in the Asia Pacific (APAC) region. • Performance & Points Breakdown: • Accumulated 124 points as an individual agency office across 28 Effie program entries. • Recorded a combined total of 221 points across six vertical categories on the Index. • Industry Context & Growth Impact: • Strengthens its role as a key growth driver for local brand communications, digital, media, and public relations. • Emphasizes talent development and career growth to navigate evolving technology and changing market dynamics.

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📈 Carné Diem Grill by Dharshan Named to 50 Best Discovery 2026

• Global Recognition: Renowned Sri Lankan chef and restaurateur Dharshan Munidasa's Carne Diem Grill has been officially added to the prestigious global 50 Best Discovery 2026 platform. • Culinary Innovation: Located at CROSSROADS Maldives, the avant-garde steakhouse features the custom-built Ignis Maximus oven operating at 750°C, utilizing Japanese charcoal yakitori grilling principles. • Exporting Sri Lankan Talent: The establishment highlights Sri Lankan culinary excellence internationally, serving premium Australian Westholme Wagyu beef and New Zealand Maimoa lamb alongside unique artistic elements crafted by local artisans.

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🏛️ CRIB Hosts Annual CEOs Forum & Awards 2026; Launches MyCRIB App

The Credit Information Bureau of Sri Lanka (CRIB) hosted its Annual CEOs Forum 2026 under the theme "Credit Intelligence for National Progress," bringing together leaders from banking, NBFIs, insurance, telecoms, and utilities. Key Highlights & Initiatives: • MyCRIB Mobile App Launch: CRIB unveiled a consumer mobile app—making it one of the few global credit bureaus to offer real-time access to personal credit profiles, credit scores, dispute resolution, and identity verification to boost financial inclusion. • Shift in Lending Models: Discussions highlighted Sri Lanka’s transition from traditional collateral-based lending to data-driven and AI-backed trust evaluations, aiding MSMEs, young entrepreneurs, and rural communities. • Institutional Rating Awards: Recognized top financial and service institutions for excellence in data accuracy, governance, and compliance. Leader Insights: • CBSL Governor Dr. Nandalal Weerasinghe: Emphasized that digital transformation, AI, and alternative data mitigate credit risk, while calling for strong governance and privacy to ensure financial sector stability. • Dr. Hans Wijayasuriya (Advisor on Digital Economy): Noted that interoperable digital infrastructure transforms "risk" into "trust," enabling micro-SMEs to integrate into Sri Lanka’s broader digital economy.

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Commercial Bank Dominates 2026 ABF Awards in Singapore 📈

• Overall Highlights: Commercial Bank of Ceylon won six awards at the 2026 Asian Banking & Finance (ABF) Awards in Singapore—the highest haul by a Sri Lankan bank across Retail, Wholesale, and Corporate & Investment Banking. • Financial Performance: In 2025, it became the first private bank in Sri Lanka to expand its loan book beyond Rs. 2 Tn (adding Rs. 541 Bn over 12 months) and doubled its annual asset growth YoY. Market capitalization remains over US$ 1 Bn. • Retail & SME Banking: Won Private Bank of the Year and SME Bank of the Year, extending its streak as the largest lender to Sri Lanka's SME sector for five consecutive years. • Wholesale & Sustainable Finance: Received Green Financing Bank of the Year and Domestic AI Initiative of the Year for its pioneering AI-powered SME Credit Underwriting Solution, driving innovation in sustainable finance and fintech. • Corporate & Investment Banking: Secured Corporate Client Initiative of the Year for its TradeLink trade finance platform and Debt Deal of the Year for issuing a landmark Rs. 15 Bn Green Bond in 2025. • National Impact: Reinforces position as Sri Lanka’s largest private lender, holding the highest capital base in the banking sector, and operating as the country’s first 100% carbon-neutral bank.

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Sri Lankan Passport Climbs to 94th Rank in 2026 Henley Index 📈

Sri Lanka’s passport has achieved its highest global ranking in at least five years, moving up to 94th place in the 2026 Henley Passport Index. • Ranking Progression: - 2026: Ranked 94th (highest in 5 years) - 2024 & 2025: Ranked 96th - 2023: Ranked 100th - 2022: Ranked 102nd - 2021: Ranked 107th • Global Context & Scope: - Evaluates 199 passports across 227 travel destinations based on visa-free or visa-on-arrival access. - Singapore retained its position as the world's most powerful passport. - Afghanistan ranked lowest at 104th place.

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Sri Lankan Academic Co-Edits Landmark Scopus Q1 Finance Volume 🎓📈

• Academic Milestone: Emerald Publishing released Review of Finance Literature – Volume 6, co-edited by Prof. Narayanage Jayantha Dewasiri (Sabaragamuwa University of Sri Lanka). This marks the first-ever finance book edited by a Sri Lankan scholar to be indexed in both Scopus (Q1) and SCImago Journal Rank (Q1), achieving a 2025 CiteScore of 8.4. • International Collaboration: Prof. Dewasiri co-edited the 11-chapter volume alongside international scholars Prof. H. Kent Baker (American University, USA), Prof. Jitender Kumar (DCRUST, India), and Dr. Shubham Singhania (FORE School of Management, India). The publication is dedicated to the memory of late finance scholar Prof. H. Kent Baker. • Core Knowledge Areas: The volume synthesizes global banking and finance topics, including non-performing loans (NPLs), microfinance, financial inclusion, climate risk & financial stability, forensic accounting, and corporate governance. Prof. Dewasiri co-authored a chapter analyzing theoretical and empirical trends in NPLs. • National Context: Elevates Sri Lanka’s global research reputation, highlighting the country’s growing capability in high-impact international academic collaborations and evidence-based policy research.

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🏆 HSBC Named Best International Bank in Sri Lanka by Euromoney

• Recognition: HSBC Sri Lanka won the Best International Bank in Sri Lanka title at the Euromoney Awards for Excellence 2026, along with its first-time win for Best for Securities Services. • Global Footprint: Operating in Sri Lanka for 134 years, HSBC links local clients to 31 international markets across Asia, North America, Europe, and the Middle East. • Core Capabilities: Highlighting strong cross-border execution, the banking sector giant covers global trade solutions, payments, lending, FX, and capital markets. • Industry Standing: Adds to HSBC’s earlier 2026 recognition as Best International Bank by FinanceAsia, alongside multiple regional Euromoney wins across Asia.

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📈 HNB Named Sri Lanka’s Best Bank for Large Corporates at Euromoney Awards 2026

HNB PLC has secured the "Best Bank for Large Corporates" title in Sri Lanka for the second time at the Euromoney Awards for Excellence 2026, reinforcing its position as a major financial partner for conglomerates, exporters, and infrastructure developers. Key Highlights & Transactions: • Major Project Financing: Arranged a Rs. 44.5 Bn syndicated financing facility for the 350MW Sobadhanavi power project, marking one of the largest project financing initiatives in Sri Lanka. • Cross-Border & Global Reach: Participated in a US$ 1.00 Bn sustainability-linked syndicated financing for Aster Chemicals and Energy (Singapore refinery acquisition) and backed cross-border acquisitions for tech firms like Surge Global and Calcey Technologies. • Digital & Ecosystem Scale: Transaction banking operations are supported by over 900 global correspondent banks and a corporate digital banking platform serving more than 6,000 corporate customers. • Economic Impact: The bank expanded its cross-border lending footprint in India, East Africa, and the Middle East, directly supporting the international expansion and diversification of Sri Lankan corporates.

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🏛️ 23rd Annual Geoffrey Bawa Memorial Lecture Announced

The Geoffrey Bawa Trust has announced details for this year’s prestigious Memorial Lecture, celebrating global architectural innovation. • Event Details: The lecture will take place on Thursday, 23 July 2026, at 6:30 p.m. at the Sri Lanka Foundation Institute, Colombo 07. Admission is free, subject to mandatory prior registration. • Featured Speaker: Renowned Japanese architect Junya Ishigami, founder of junya.ishigami+associates and winner of the 2010 Golden Lion award and 2026 Arnold W. Brunner Memorial Prize, will deliver the address. • Economic Context: The event, which highlights the intersection of organic design and built environments, is supported by Lanka Tiles, a key player in Sri Lanka's domestic manufacturing and construction materials sector.

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📈 CWIT Achieves Triple ISO Certification at Port of Colombo

Colombo West International Terminal (CWIT) has become the first container terminal at the Port of Colombo to secure three simultaneous ISO certifications under an Integrated Management System (IMS). • Global Standards: Achieved ISO 9001 (Quality), ISO 14001 (Environmental), and ISO 45001 (Occupational Health and Safety), setting a new benchmark for maritime & logistics operations in Sri Lanka. • Operational Growth: This milestone follows CWIT’s rapid achievement of handling one million TEUs within its first year. • Infrastructure Investment: The US$ 800 Mn terminal continues its Phase 2 expansion, featuring the region’s tallest electric Ship-to-Shore cranes and advanced automation to boost the port’s global competitiveness. • Strategic Impact: As a partnership between Adani Ports, John Keells Holdings, and the Sri Lanka Ports Authority, the terminal focuses on enhancing efficiency and sustainable practices to better serve the global shipping industry. This achievement underscores CWIT’s commitment to disciplined management and operational excellence, further strengthening Sri Lanka’s position as a key maritime gateway.

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🌴 Hiriketiya’s Raa Secures No. 71 on Asia’s Top 100 Bars List

Sri Lanka’s progressive bar scene achieved a significant regional milestone as Hiriketiya-based venue Raa ranked Number 71 on the 2026 Asia’s 50 Best Bars 51–100 extended list. • Overall Achievement: Moving up 13 spots from its debut at Number 84 last year, the venue's back-to-back recognition firmly establishes its position in regional mixology. The list is voted on by over 300 drinks experts across Asia. • Sector Impact & Innovation: Operating as the world’s first bar dedicated solely to Sri Lankan arrack and toddy-based cocktails, it is the only establishment globally serving fresh toddy tapped daily on-site. This showcases the potential of traditional ancestral crafts within the modern hospitality and tourism landscape. • Sustainability & Exporting Culture: Built as a low-impact circular ecosystem utilizing all elements of the coconut palm, the venue actively promotes Sri Lankan heritage. The team has scaled its reach via international guest shifts in key regional hubs, including Singapore, Bangalore, and Bangkok, driving global visibility for the island's independent hospitality sector.

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🏆 Ropewalk Galle debuts on Asia’s 50 Best Bars extended list

Sri Lankan mixology has achieved a major global milestone as Ropewalk Galle debuts at #93 on the prestigious Asia’s 50 Best Bars Extended List. • The Achievement: Ranked #93 globally, Ropewalk is the first and only bar in Galle—and only the third in Sri Lanka's history—to be featured on this esteemed travel and hospitality platform, achieving this feat within just over two years of opening. • The Concept: Operating as the world’s first arrack-speciality bar, it is housed within the 300-year-old Galle Fort Hotel (a UNESCO World Heritage site). It features an "arrack wall" showcasing over 75 expressions of Sri Lanka's indigenous spirit. • Economic & Tourism Impact: This recognition elevates Sri Lanka's unique local craft spirits onto the global culinary tourism map. By collaborating with international venues in Hong Kong, Singapore, Kathmandu, and Kolkata, the brand drives interest in Sri Lanka's tourism and hospitality sector. • Signature Serves: Key offerings highlighting local ingredients include the 'Ropewalk' (spice-infused Old Cask Arrack with ginger and lemongrass), 'Only Nabeel Likes This' (incorporating local kithul treacle and masala tea), and 'Gunpowder'.

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Economic News

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🌊 Government Targets Coastal Protection & Environmental Delivery in 2027 Budget Planning

President Anura Kumara Dissanayake instructed officials to enforce strict legal action against unauthorized construction along Northern and Eastern coastlines as part of the Environment Ministry's 2027 pre-Budget review. Key updates and strategic directives include: • Coastal & Marine Management: A new steering committee will monitor coastal development, while an expert panel will address severe erosion at Oluvil. The "Clean Sri Lanka" program will expand via the Clean Coastline Project and coastal recreation parks. • Budget Execution: The ministry reviewed progress on its Rs. 19,719 million allocation for 2026 across key agencies, including the Central Environmental Authority, Department of Wildlife Conservation, and Marine Environment Protection Authority. Officials were ordered to fully utilize remaining funds by year-end. • Human-Elephant Conflict: Delays in mitigating human-elephant conflict were flagged as direct threats to lives. The President directed that elephant fence placement prioritize human safety over rigid wildlife zone demarcation. • Sustainability & Investment: Environment Minister Dr. Dammika Patabendi highlighted a national carbon emissions policy in development to unlock green investment opportunities. • Foreign Project Coordination: A permanent committee will oversee externally funded projects to eliminate ministry overlaps and enhance planning efficiency.

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Budget 2027: Transitioning Sri Lanka from Stabilisation to Growth 📈

• Overview & Targets: Sri Lanka’s proposed 2027 Budget seeks to move from post-crisis macroeconomic stabilisation to a structural transformation. To service external debt post-2027 and boost living standards, the economy must target a real growth rate above 7% annually. • Three Core Missions: • Raising National Productivity: Drive efficiency via "Digital Structuralism" (digitising customs, land registries, taxation), workforce upskilling, and logistics infrastructure. • Mobilising Investment: Expand gross domestic capital formation to over 30% of GDP by streamlining FDI approvals, deepening capital markets, and expanding SME credit guarantee facilities. • Improving Living Standards: Target high-value job creation, elevate female labor participation (currently under 35%), support youth entrepreneurship, and strengthen social safety networks like _Aswesuma_. • Key Sector Focus: • Apparel & Textiles & Tea: Transition into high-tech manufacturing, robotics, and AI to enhance value-addition against low-cost competitors. • Agribusiness: Shift input subsidies into technology co-investments (drip irrigation, cold chain). • Renewable Energy: Scale utility-scale solar, wind, and biomass to cut power costs and fossil fuel reliance. • Trade & Logistics: Upgrade deep-water ports to solidify South Asia maritime hub status. • Performance Framework: Measures success through a National Transformation Scorecard tracking labor productivity, export growth, real household income, and job creation alongside traditional primary surplus and deficit metrics.

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### Sri Lanka Facing Ultra-Low Fertility & Economic Risk 📈

• Falling Birth Rates & TFR: • Annual live births dropped from 336,097 (2015) to 319,010 (2019) and fell sharply to 275,321 in 2022. • Births remain well below the 330,000 annual requirement needed for population stability. • Total Fertility Rate (TFR) stands at 1.3—placing Sri Lanka in "ultra-low fertility" territory, significantly below India (1.9) and the Maldives (1.7). • Demographic Disparity: • Sinhala women record the lowest fertility rate at 1.2, while Muslim women record the highest at 2.0 (also on a downward trend). • Primary Drivers: • Soaring living and housing costs delaying family formation. • Career prioritization and desire for independence among young metropolitan women. • Significant outward migration of young Sri Lankans of reproductive age seeking employment abroad. • Economic & Sector Impact: • An aging population increases fiscal spending on pensions and healthcare, constraining infrastructure investment. • Shrinking youth entering the workforce deepens labour shortages across vital sectors like agriculture and services, curbing economic growth and export ambitions. • Proposed Interventions: • Controlled opening of borders to foreign workers to mitigate critical labour shortages. • Offering financial incentives to support child-rearing and encourage birth rates.

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📈 President Reviews Fisheries Progress & 2027 Budget Priorities

• Strategic Focus: President Anura Kumara Dissanayake reviewed 2026 Budget performance for the Ministry of Fisheries, Aquatic and Ocean Resources to set priorities for the 2027 Budget. Key goals focus on driving growth in fisheries production, expanding seafood exports, ensuring national nutritional security, and uplifting coastal community livelihoods. • Key Infrastructure: Evaluated progress across major coastal development projects, including the Myliddy Fishery Harbour Development, Gandara Fishery Harbour work, Rekawa Fishery Anchorage construction, and Karainagar Boat Yard modernization. • Disaster Rehabilitation: Reviewed post-Cyclone Ditwah recovery efforts, highlighting an ongoing Rs. 189 Mn assistance program providing boats, nets, and gear to affected fishing families, alongside harbour reconstruction. • R&D & Sustainability: Assessed 2027 funding needs for research and development while tracking progress under the 'Clean Sri Lanka' initiative to recycle decommissioned boats and fiberglass waste. • Institutional Review: Evaluated operational performance across key sector bodies, including DFAR, NAQDA (aquaculture), NARA, CFHC, CFC, Cey-Nor Foundation, and the Central Fish Market Complex.

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📈 CBSL Signals Moderation in Private Sector Credit Growth

• Overall Expansion: Private sector credit expanded by 27.8% YoY during the first five months of 2026, representing an increase of Rs. 824 Bn. Total outstanding credit to the private sector reached a record Rs. 11.04 Tn in May, up 2.2% MoM from Rs. 10.8 Tn in April. • Sector Breakdown (Based on May outstanding credit): - Industry: ~37% of total credit - Services: 30.5% - Personal Loans & Advances: 24% - Agriculture & Fisheries: ~9% • Drivers & Policy Impact: CBSL Governor Dr. Nandalal Weerasinghe noted that growth was broad-based, driven by construction, wholesale and retail trade, financial services, and consumer-related lending, reflecting broader economic recovery. The CBSL expects lending pace to ease as May's 100-basis-point policy rate hike and related policy measures gradually feed into the real economy. [Dr. Nandalal Weerasinghe on Sri Lanka's Economic Reset](https://www.youtube.com/watch?v=ria4ZeW6ajw) This discussion provides context on Central Bank Governor Dr. Nandalal Weerasinghe's strategy for maintaining monetary discipline and managing demand pressures in Sri Lanka.

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🚗 CBSL Retains LTV Limits on Vehicle & Gold Loans

• Macroprudential Measures Remain: Central Bank of Sri Lanka (CBSL) Governor Dr. Nandalal Weerasinghe confirmed that Loan-to-Value (LTV) restrictions on lending for motor vehicles and gold-backed loans will remain in place. • Vehicle Import Surcharge: There is currently no indication that the Government intends to change or suspend the motor vehicle import surcharge. • Policy Jurisdiction: Retaining or removing the surcharge remains a policy decision under the Finance Ministry—to be made in consultation with the CBSL—rather than a direct CBSL decision. • Financial Stability Focus: The continued LTV limits serve as macroprudential measures intended to promote prudent lending across the banking & finance sector, enhance risk management, and safeguard overall financial system stability.

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📈 Sri Lanka Exports Exceed US$ 9 Bn in H1 2026

Sri Lanka’s combined merchandise and services exports reached US$ 9,012.24 Mn during H1 2026 (Jan–Jun), recording an 8% YoY growth compared to H1 2025. Total exports in June 2026 alone hit US$ 1,658.62 Mn (+12.53% YoY), driven by strong momentum across key sectors. • Overall Figures (H1 2026) • Total Exports: US$ 9,012.24 Mn (+8.00% YoY) • Merchandise Exports: US$ 7,073.31 Mn (+8.95% YoY) • Services Exports: US$ 1,938.94 Mn (+4.49% YoY) • Sector Performance (H1 2026) • Electrical & Electronic Components: Surged by 123.48% YoY to US$ 450.20 Mn, driven by wires, cables, and pumps. • Food & Beverages: Grew 24.45% YoY to US$ 347.13 Mn, led by processed food (+44.07%). • ICT/BPM: Grew 17.63% YoY to US$ 885.42 Mn, driving high-skilled employment and knowledge-economy expansion. • Coconut-based Products: Rose 14.59% YoY to US$ 614.93 Mn, with strong growth in activated carbon (+44.59%). • Rubber & Rubber-based Products: Rose 5.24% YoY to US$ 492.32 Mn. • Apparel & Textiles: Declined 6.07% YoY to US$ 2,442.09 Mn due to weak demand in the US and EU. • Tea: Dropped 5.69% YoY to US$ 700.80 Mn, impacted by lower exports to the Middle East. • Top Export Destinations (H1 2026) • US: US$ 1,436.85 Mn (+0.13% YoY) — remains largest market. • India: US$ 688.47 Mn (+36.16% YoY) — second-largest market. • UK: US$ 434.44 Mn (-10.23% YoY). • Turkey: Exceptional growth of 98.36% YoY to US$ 123.20 Mn, boosted by tea exports (+139.16%). _Note: Service exports, Gems & Jewellery, and Petroleum Products for June 2026 are based on provisional and estimated EDB data._

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📉 Central Bank Keeps Overnight Policy Rate Unchanged at 8.75%

• Monetary Policy Decision • Overnight Policy Rate (OPR) maintained at 8.75% following the Monetary Policy Board meeting. • Decision reflects previous policy tightening in May 2026 and its ongoing transmission to moderate credit growth. • Domestic Inflation & Growth • Headline inflation accelerated to 6.8% (y-o-y) in June 2026 due to higher domestic energy and food prices. • Inflation expected to remain above the 5.0% target in the near term before gradually returning to target levels. • Strengthening demand conditions and supply-driven shocks continue to affect price levels, though medium-term inflation expectations remain anchored. • External Sector & Reserves • Gross Official Reserves stood at US$ 6.45 Bn at end-June 2026 amid ongoing foreign debt service obligations. • Current account deficit recorded since April 2026, driven by higher fuel import costs widening the merchandise trade deficit alongside slowing tourism earnings. • External sector pressures cushioned by resilient workers' remittances and recent policy measures stabilizing the Sri Lanka rupee.

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📈 World Bank Warns Sri Lanka to Reopen Trade & Accelerate Reforms

• Key Issues & Growth Trends World Bank Lead Economist Dr. Harsha Aturupane warned that Sri Lanka risks falling behind regional peers due to two decades of anti-export policies. • Merchandise exports grew sluggishly from US$ 8.6 Bn in 2010 to US$ 12.8 Bn in 2024, representing an average annual growth of only 3.4%. • Global Value Chain (GVC) participation stands at just 8.1%, falling significantly behind regional competitors like India (26%) and Vietnam (34%). • Sector Vulnerabilities & Key Exports • Sri Lanka remains dependent on a static export basket dominated by tea, apparel & textiles, coconut, and rubber. • The ICT/BPM sector—the country's second-largest export industry—faces severe disruption from AI unless firms rapidly shift to higher-value services. • Structural & Cost Bottlenecks • High domestic production costs driven by tariffs, non-tariff barriers, taxation, and elevated electricity rates undermine market competitiveness. • Loss-making State-Owned Enterprises (SOEs) like SriLankan Airlines and Ceylon Petroleum Corporation impose substantial economic costs. • Cumbersome administrative procedures, public sector rent-seeking, and lengthy legal processes (often taking a generation to resolve commercial disputes) discourage investment. [State of Business Analysis](https://www.youtube.com/watch?v=P5WwzgRoDpI) This broadcast offers additional perspective on Sri Lanka's current economic climate and private sector performance discussions.

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📈 Policy Shift Needed to Scale Sri Lankan SMEs for Global Competition

A strategic pivot from survival-based welfare to export-oriented competitiveness is vital to transform Sri Lanka's small and medium-sized enterprises (SMEs) into drivers of national prosperity. • Structural Challenges & Current Limitations • Current policies focus on welfare, subsidized finance, and domestic survival rather than scaling businesses globally. • Heavy reliance on import protection and para-tariffs has sheltered domestic firms, reducing incentives for innovation and productivity. • Lack of institutional continuity stalls early export milestones (e.g., historical poultry exports to Oman or fresh produce initiatives). • Key Sector & Export Opportunities • Potential exists to move beyond raw supply to foreign buyers by building domestic direct-export capabilities in sectors like agriculture (fruits and vegetables) and poultry. • High-growth opportunities lie in integrating ICT/BPM, digital adoption, artificial intelligence, and automated manufacturing into local production lines. • International Benchmarks & Strategic Action • Global models—such as China's "Little Giants" clusters, India's digital liquidity platforms (ONDC, TreDS), and Singapore's tech roadmaps—demonstrate the value of treating SMEs as strategic assets. • Sri Lanka must leverage economic diplomacy, utilizing embassies to drive export partnerships, attract tech transfers, and build long-term supply chain access rather than relying on brief ceremonial successes.

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📈 IMF Highlights Oil Prices and Weak Monsoon as Risks to India’s FY27 Growth

• Key Growth Forecasts: The International Monetary Fund (IMF) cut India’s GDP growth forecast for 2026/27 by 10 bps to 6.4%, while raising the 2027/28 forecast by 20 bps to 6.7%. • Primary Downside Risks: • Energy Shocks: A widening Middle East conflict and potential disruptions in the Strait of Hormuz are driving up crude oil prices. As India imports ~80% of its oil, high energy costs threaten growth and fuel inflation. • Monsoon & Agriculture: Potential El Niño effects and a delayed monsoon pose further risks to output, impact not yet fully captured in current projections. • National Accounts Reassessment: The IMF will reassess India’s national accounts statistics—previously rated 'C' due to methodological weaknesses—following the release of back-series data tied to the updated 2022/23 base year expected later in 2026. Recent updates include expanded deflators, double deflation in manufacturing, and modernized digital data collection.

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📈 Sri Lanka Headline Inflation (NCPI) Rises to 6.5% in June 2026

Sri Lanka’s National Consumer Price Index (NCPI) headline inflation accelerated to 6.5% YoY in June 2026, up from 5.4% in May, continuing an upward trend seen since early 2026. The All-Items Index reached 222.3, marking a 1.6% Month-on-Month (MoM) increase. • Overall Figures: - Headline Inflation: 6.5% YoY (vs 5.4% in May) - All Items Index: 222.3 (+1.6% MoM) • Sector Breakdown: - Food: Index jumped to 250.5, rising 2.5% MoM (up from May) and 3.3% YoY. Food price surges drove the majority of the monthly increase, critical for household consumption and basic cost of living. - Non-Food: Index stood at 204.1 (+0.9% MoM), but remains the primary driver of broader annual price increases at 9.3% YoY. Key factors include alcoholic beverages, tobacco, narcotics, and household equipment maintenance.

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Politics & Government Impact [Court of Appeal to consider Former President Gotabaya Rajapaksa's petition](https://www.youtube.com/watch?v=Qqe4yllGb38) This video provides news coverage regarding the Court of Appeal considering former President Gotabaya Rajapaksa's petition to block his arrest.

Financial & Investment News

📈 SEC & CSE Launch 'A Share for Everyone, A Unit for Everyone' Initiative in Monaragala & Batticaloa

• Initiative & Outreach: The Colombo Stock Exchange (CSE) and Securities and Exchange Commission (SEC) launched the "A Share for Everyone, A Unit for Everyone" initiative to expand capital market participation and awareness beyond the Western Province. • Forum Participation: Regional forums held in Monaragala (July 16) and Batticaloa (July 18) attracted over 500 participants. The first 400 attendees opening accounts were eligible for SEC/CSE-sponsored investment coupons to support equity investments and unit trusts. • Market & Sector Coverage: Sessions featured macroeconomic insights from Central Bank economists, alongside introductory guidance on stockbroking and the unit trust industry from leading financial firms. • Capital Market Performance: The drive comes amid a 6-year rally in Sri Lanka's capital market, with the All-Share Price Index (ASPI) surging 360% from 4,846 points in May 2020 to 22,310.80 points by end-May 2026—representing a Compound Annual Growth Rate (CAGR) of ~28.98%.

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📈 Mercantile Investments Raises Rs. 1.1 Bn via Oversubscribed Rights Issue

• Financial Services & Capital: Mercantile Investments & Finance PLC (MI Finance) has successfully raised Rs. 1.1 billion in new capital through a fully oversubscribed Rights Issue. • Capital Base & Growth: The capital infusion significantly strengthens the company's regulatory capital position, enhances financial flexibility, and expands its capacity for future growth within Sri Lanka's financial services sector. • Management Perspective: Managing Director Gerard Ondaatjie noted that the strong shareholder response reflects firm confidence in the company's long-term vision and strategy to drive sustainable value. • Key Partners: First Capital Advisory Services Ltd. managed the issue, with SSP Corporate Services Ltd. acting as the registrar.

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📈 SEC & CSE to Host Regional Investor Forums in Monaragala & Batticaloa

The Colombo Stock Exchange (CSE) and Securities and Exchange Commission of Sri Lanka (SEC) are hosting free investor forums to boost financial literacy and broaden domestic investor participation. • Monaragala Forum: 16 July, 11:00 a.m. – 1:00 p.m. at Silanrich Hotel (conducted in Sinhala). • Batticaloa Forum: 18 July, 3:00 p.m. – 5:00 p.m. at FG Golden River Hotel (conducted in Tamil). • On-Site Account Opening: Representatives from stockbroker and unit trust firms will facilitate immediate account opening. The first 200 participants opening an account at each venue will receive a promotional investment coupon from the SEC and CSE. • Strong Market Momentum: The outreach follows robust growth in Sri Lanka's capital market, with the All-Share Price Index (ASPI) climbing from 4,846 points in May 2020 to 22,310.80 points in May 2026—a 360% overall increase and a CAGR of ~28.98%, while capital gains remain tax-free.

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📈 TWC Capital Secures US$ 28 Mn IFC Funding for Sri Lanka’s Energy & Agribusiness

TWC Capital Ltd. has successfully advised on up to US$ 28 million in long-term development financing from the International Finance Corporation (IFC) across two critical Sri Lankan sectors. This brings TWC's total offshore finance and FDI mobilization for the country to approximately US$ 125 million over the past 12 months. • Overall Funding Breakdown: • Total IFC Investment: Up to US$ 28 Mn. • Renewable Energy Sector: Up to US$ 18 Mn. • Agribusiness Sector: US$ 10 Mn. • Sector Impact & Project Outcomes: • Renewable Energy: The US$ 18 Mn local currency facility granted to WindForce PLC supports Sri Lanka’s first utility-scale 100 MW solar power project. It is projected to generate roughly 220 GWh of clean electricity annually, boosting national energy security and lowering long-term power costs. • Agribusiness: The US$ 10 Mn investment (including GAFSP support) awarded to New Anthoney’s Farms Group will expand the country’s only fully antibiotic-free poultry operation. The funding aims to boost export capacity, secure national food supplies, benefit 200 contract farming households, and create over 900 new jobs to support rural livelihoods.

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SEC & CSE to Host Second Investor Forum on 9th July 📈

• Event Details: The Colombo Stock Exchange (CSE) and Securities and Exchange Commission (SEC) will host a free investor forum conducted in English on 9th July 2026 at 5:30 p.m. at the CSE Trading Floor (WTC, Colombo 1). It targets potential investors in the greater Colombo area looking to invest in the stock market or Unit Trusts. • Participant Incentives: Stockbrokers and Unit Trust firms will be available for account opening from 9:00 a.m. onwards. The first 200 participants opening accounts on the day will receive an investment coupon gifted by SEC and CSE. • Market Growth Context: The forum comes amid a remarkable six-year capital market expansion. The All-Share Price Index (ASPI) rose 360% from 4,846 points in May 2020 to 22,310.80 points by May 2026, marking a Compound Annual Growth Rate (CAGR) of ~28.98%, with capital gains remaining tax-free. • National Initiative: This is part of an ongoing island-wide initiative to enhance financial literacy, broad-base investor participation, and leverage the CSE’s nationwide branch network. Feature presentations will include insights from the SEC, CSE, and the Central Bank of Sri Lanka (CBSL).

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📈 Swedfund Invests US$ 15 Mn in CDB to Boost Sri Lankan MSMEs and Job Creation

Swedfund, the Swedish Development Finance Institution, has invested US$ 15 million in Citizens Development Business Finance (CDB) to expand access to long-term financing for micro, small, and medium-sized enterprises (MSMEs) in Sri Lanka. • Overall Funding: A US$ 15 million capital injection aimed at addressing the severe constraints on long-term capital resulting from Sri Lanka's recent economic challenges. • Target Sector: MSMEs, which account for a significant share of national employment and economic activity but heavily lack formal financing, especially in rural areas. • Women's Economic Empowerment: 30% of the total financing is strictly dedicated to supporting women-owned or women-led businesses. The investment aligns with the global 2X Challenge criteria. • Strategic Impact: Beyond capital, the partnership will help CDB strengthen its environmental and social risk management systems alongside expanding its climate-related lending practices.

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Real Estate

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📈 Phoenix Miras Commits to Grade-A Office Project in Port City Colombo

• Investment Agreement: Phoenix Miras Ltd. (the real estate development arm of Phoenix Ventures Ltd.), alongside Platinum Advisors, has signed an agreement to fund a Grade-A office development at Port City Colombo. • Project Details: Named Colombo Gateway, the commercial development will be located on Plot 1-01-04 within the Port City zone, aiming to establish a premier address for corporate tenants. • Economic Impact: CHEC Port City Colombo Ltd. stated that the commitment reinforces growing investor confidence in Sri Lanka's vision to develop South Asia's next connected international business and financial hub, boosting the real estate and commercial infrastructure sectors.

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💧 Japan-Funded $143M Water Project Begins in Anuradhapura

Work has officially commenced on Phase II of the Northern Anuradhapura Water Supply Project, following a foundation stone laying ceremony attended by President Anura Kumara Dissanayake and Japanese officials. The project marks a significant step in regional infrastructure recovery following recent economic challenges. • Financial & Project Scale: Funded via a concessional loan from Japan worth approximately JPY 23 billion (equivalent to ~US$ 143 Mn). • Health & Social Impact: Aims to provide a stable supply of safe drinking water to roughly 67,000 households in the Anuradhapura District. The initiative directly targets communities heavily impacted by chronic fluorosis and kidney disease. • Cumulative Reach: When combined with the already-completed Phase 1, the entire project will collectively deliver safe water access to over 75,000 households. • Economic Context: Beyond health benefits, the project establishes an essential foundation for agricultural and industrial development in the North Central Province, improving the overall quality of life and symbolizing Sri Lanka's post-crisis recovery.

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📈 Port City Colombo Targets India for Growth, Aims to Double Tourist Arrivals

Sri Lanka’s US$ 15 Bn Port City Special Economic Zone (SEZ) has placed India at the center of its growth strategy, aiming to leverage the neighboring nation for tourism, real estate, and corporate investments. • Key Tourism & MICE Targets: Annual Indian tourist arrivals to Sri Lanka are projected to double from ~600,000 last year to 1.2 million by 2030, supported by 90 existing flights connecting the nations. Port City aims to extend the average 1.5-day tourist stay in Colombo via new attractions, including a yacht marina, South Asia's first downtown duty-free retail zone, and an upcoming event air dome by Oct-Nov 2026. • Corporate & ICT Expansion: The SEZ is actively targeting Indian ICT/BPM firms and Global Capability Centres (GCCs), positioning itself as a resilient business continuity and disaster recovery location to complement India's ecosystem. Partnerships with organizations like NASSCOM for corporate events are currently being explored. • Investment & Real Estate: Indian investors and companies are estimated to contribute roughly 25% of the total investment across businesses and real estate within the project. Furthermore, international investors from regions like Southeast Asia are increasingly viewing the SEZ as a strategic gateway to the Indian market.

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📈 Home Lands Reaches Real Estate Milestone with 5,000+ Units Sold

Sri Lankan real estate market leader Home Lands Group has set a new industry benchmark by crossing the 5,000-unit milestone in sales across 24 mega lifestyle development projects. • Overall Performance: The company has sold over 5,000 resort apartments and villas, marking the highest number of unit sales by any developer in Sri Lanka. • Delivery Track Record: Over 3,750 units have been successfully delivered to homeowners. An additional 400 units are scheduled for delivery within 2026. • Project Pipeline: The group currently has more than 2,850 units under construction spanning 9 futuristic mega lifestyle development projects. • Economic & Global Impact: Operating as an integrated group of 14 companies (including its construction arm Heyraa Construction), the firm has expanded Sri Lanka's real estate & construction footprint internationally. With offices in Australia, Dubai, and London, the group continues to drive foreign investment and capital appreciation from an overseas clientele.

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📈 LKR Depreciation Enhances Sri Lankan Real Estate Affordability for Diaspora

A notable depreciation of the Sri Lankan Rupee (LKR) against the US Dollar in June/July 2026 has dropped primary market property prices in USD terms, making real estate highly attractive to foreign and diaspora buyers. Key market insights from the Research Intelligence Unit (RIUNIT): • Market Pricing & Demand: While USD-denominated prices dropped, LKR-denominated property prices continue to rise steadily. Strong domestic demand remains the core driver of the local market. • Apartment Absorption Rates: Colombo’s apartment absorption is exceptionally strong, averaging near 100% for Tier 3 units and above 90% for Tier 2 units, with growing absorption recorded across all 13 Colombo Wards and over 20 Western Province suburbs. • Macroeconomic Boost: Following 5% economic growth in 2025, the World Bank upgraded Sri Lanka to an _upper-middle-income economy_ (per capita income: US$ 4,670). • Port City Colombo: Momentum remains high with over US$ 600 Mn invested so far in 2026. Leading developers have leased multiple plots and launched 3 major new projects.

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📈 Premium Condominium Sales Above Rs. 50 Mn Lead Colombo Market in Q1 2026

The Colombo District condominium market in Q1 2026 showed a clear shift toward luxury segments despite a broader slowdown in transaction volumes, based on provisional data. • Overall Market Activity & Prices • The Price Index for New Condominiums in Colombo reached 284.4, an 18.5% YoY increase. • The Sales Volume Index decreased by 15.2% YoY, indicating cooling market activity. • Land asking prices in Colombo surged by 31.9% YoY, while housing and condo asking prices rose 6.4% and 11.0% respectively. • Sector & Price Breakdowns • Luxury Units (Above Rs. 75 Mn): Market share grew sharply to 29%, up from 11% a year ago. • Premium Units (Rs. 50 Mn - Rs. 75 Mn): Share edged up slightly to 23% from 22%. • Mid-Range Units (Rs. 25 Mn - Rs. 50 Mn): Share dropped significantly to 29% from 49% a year prior. • Affordable Units (Below Rs. 25 Mn): Stood relatively stable at 19% vs 18% YoY. • Regional Metrics • Colombo remains the primary hub, commanding 65% of total sales transactions. • Single condo projects in Colombo accounted for 59% of transactions, followed by Gampaha and Kalutara districts at 32%. • Inventory & Buyer Demographics • Inventory: Completed projects are nearly exhausted, with 98% of units sold. Ongoing projects have 51% of units pre-reserved. • Funding: Resident Sri Lankans remain the primary buyers, largely purchasing for immediate occupancy. Notably, 80% of transactions were financed using own funds over bank loans. • Development: Pre-sale deposits continue to be the main funding source for developers, contributing 48% of development capital.

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📈 Rs. 4 Bn JAT Astera Residencies Breaks Ground in Thalawathugoda

The Design Consortium International (DCIL) has officially commenced construction on JAT Astera Residencies, a premier Rs. 4 billion luxury residential development located in Thalawathugoda. • Project Overview: The 12-storey luxury apartment complex will feature 104 apartments and six penthouses. Piling work started last week via Sincon Piling, kicking off the construction phase for the project developed by JAT Living. • Design & Pricing: Unit sizes begin at just under 1,200 sq. ft., with residences priced from Rs. 49 million upwards. The architectural layout ensures every bedroom features a private balcony overlooking uninterrupted paddy field views. • Key Amenities: Features a massive 14,000 sq. ft. landscaped rooftop communal space including an amphitheatre, green areas, and a movement zone. The construction & real estate project also incorporates a swimming pool, gymnasium with a sauna, a 630 KVA generator for 100% backup power, and rainwater harvesting infrastructure. • Industry Context: Designed by DCIL, a fully integrated Sri Lankan architectural and engineering firm founded in 1987. The project represents continued high-end investment within Sri Lanka's suburban real estate and modern urban development sectors.

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🏗️ CHEC Commences Construction of Home Lands Skyline’s Pentara Residencies in Colombo 05

The China Harbour Engineering Company (CHEC) has officially commenced construction on Pentara Residencies by Home Lands Skyline following a ceremonial groundbreaking ceremony. The project marks a major addition to Colombo's high-rise residential landscape. Key Project Highlights: • Development Structure: A premium twin-tower super high-rise development consisting of one 31-storey tower and one 41-storey tower. • Scale: The project spans a total gross floor area of approximately 87,000 square metres. • Location: Situated in Colombo 05, approximately 4 km from Colombo City Centre, 7.4 km from the Port of Colombo Container Terminal, and 35 km from the Bandaranaike International Airport. Economic & Industry Impact: • Construction & Infrastructure: Global engineering giant CHEC is serving as the main construction partner, deploying its large-scale high-rise expertise to meet international construction standards. • Economic Contribution: The commencement of construction is expected to stimulate regional economic activity, driving supplier participation, local industrial engagement, and employment generation. • Urban Development: The project enhances Colombo's vertical living infrastructure, reflecting continued stakeholder confidence and collaboration between international contractors and local real estate developers.

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📈 Real Estate: Prime Lands Breaks Ground on Kalutara’s First Gated Community

• Overall Project: Prime Lands has officially commenced construction on ‘Kaloora’, marking the first-ever master-planned gated residential community in Kalutara. The project is being constructed by the group's engineering arm, Prime Constructions Ltd., highlighting Kalutara's emergence as one of Sri Lanka’s fastest-growing residential destinations outside Colombo. • Strategic Value & Infrastructure: The development targets the growing demand for modern housing, focusing on long-term investment value and regional development. Key connectivity points include: • 5 minutes from Kalutara Town • 800 metres from Nagoda Hospital • 15 minutes from the Dodangoda Highway entrance • Amenities & Market Impact: The project introduces Colombo-style luxury amenities to the region to elevate contemporary living standards. According to Prime Lands CEO Ruminda Randeniya, the project introduces flexible payment plans to improve affordability for local families. Inside the secure perimeter, the community features a swimming pool, fully equipped gymnasium, children’s play area, indoor cricket facility, and a multifunctional room under 24-hour security. _Note: Based on official corporate project launch data._

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📈 Plans Accelerated for 'Temple City' Tourism Project in Colombo

The Sri Lankan government has fast-tracked discussions for the proposed 'Temple City' development project, aiming to transform the area surrounding Beira Lake into a premier international tourism and cultural destination. • Core Project Objective: Spearheaded by the Urban Development Authority (UDA) and guided by the Hunupitiya Gangaramaya Temple, the initiative seeks to leverage the site's immense cultural and tourism potential to elevate Colombo's global appeal. • Key Development Features: Plans focus heavily on landscaping, environmental beautification, and enhanced infrastructure. This includes building a dedicated pedestrian walkway around Beira Lake to provide seamless mobility for both local and international visitors. • Execution & Timeline: At a high-level stakeholder meeting chaired by the Secretary to the President, officials emphasized strict inter-institutional coordination to ensure the project is implemented expeditiously. • Stakeholder Involvement: The initiative brings together key state and religious entities, including the Chief Incumbent of the temple, the Prime Minister’s Secretariat, the UDA, the Colombo Municipal Council, and the Sri Lanka Tourism Promotion Bureau.

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🏗️ Home Lands Breaks Ground on Central Park Boulevard in Port City Colombo

Home Lands Group has officially commenced construction on “Central Park Boulevard Port City Colombo,” marking a major milestone for Sri Lanka's real estate and construction sectors. • The Project: An ultra-luxury twin-tower landmark development located in the prestigious Central Park District of Port City Colombo. The project integrates high-rise living with a 40-acre modern parkland featuring landscaped gardens and waterways. • Key Features: The development will house a collection of premium residences, including deluxe apartments, sky villas, penthouses, and exclusive Emerald Mansions, alongside world-class amenities. • Timeline & Scale: Construction is scheduled for completion within 40 months. The independent execution highlights Home Lands' financial strength and track record, having already delivered over 3,750 homes across Sri Lanka. • Economic Impact: Positioned as "The Indian Ocean’s Next Wonder," the project aims to elevate Sri Lanka as a premier regional real estate investment destination, drawing strong interest from both local and overseas investors during its recent grand launch.

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Startups & Entrepreneurship

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📈 Binod Chaudhary’s 'Made in Nepal': Key Takeaways for Business Leaders

• Core Themes: Review of Nepal’s first dollar billionaire's memoir, focusing on institutional stewardship, long-term resilience, and global diversification over instant scaling. • Business & Enterprise: Highlights CG Corp Global’s evolution from local enterprise to global conglomerate via Wai Wai noodles, illustrating how regional brands can scale internationally despite economic and political instability. • Legacy & Leadership: Emphasizes structured succession planning, empowering the next generation, and maintaining national identity as a competitive advantage in international markets. • Event Note: Binod Chaudhary will speak at the Colombo Literary Festival on July 24–25, 2026.

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👗 Ye Couture: Sri Lankan Luxury Fashion Brand Expands Globally

Founded in 2014 by designer Buddhika Kodikara, luxury-clothing brand Ye Couture is expanding its footprint from high-profile local entertainment to international retail, driving growth in the apparel & textiles sector through designer wear. • Global & Local Expansion: Following its establishment in the domestic market, the brand expanded its international reach by opening its first store in the USA in 2025. Plans are also underway to launch a dedicated ready-made clothing store in Sri Lanka, contributing to retail sector diversification. • Market Presence & Portfolio: The brand has solidified its position through high-profile costume designing for major national television franchises (including Voice Teen Sri Lanka and Hiru Avurudhu Kumariya) and a celebrity clientele featuring prominent Sri Lankan figures. • Inclusive Innovation: Demonstrating a commitment to niche market diversification, the brand has developed a specialized clothing line tailored for children with special needs. • Economic Outlook: Supported by local operational teams, the brand aims to elevate Sri Lankan craftsmanship and design talent on the global fashion map, positioning local high-fashion as a viable export and creative industry segment.

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🚀 Sri Lankan-Founded AI Startup 'Logical' Secures Y Combinator Entry & Rs. 150M+ Funding

• Milestone Achievement: Logical has become what is believed to be the first startup with a fully Sri Lankan founding team to be accepted into Y Combinator (YC), the premier Silicon Valley accelerator behind global giants like Stripe and Dropbox. • Funding Raised: The startup has secured over Rs. 150 Mn in initial funding, providing a strong launchpad to build a globally competitive product from Silicon Valley. • Product & Innovation: Positioned within the AI and ICT/BPM sectors, Logical is developing a proactive desktop AI copilot for knowledge workers. Unlike traditional chatbots, the tool seamlessly understands work context across daily applications, allowing users to automate actions, draft emails, and log meeting takeaways with minimal prompting. • Local Talent, Global Impact: Co-founded by Kandy-born engineers Samurdhi Karunaratne (UCLA PhD, ex-NVIDIA) and Anushka Idamekorala (University of Virginia PhD), both alumni of leading Sri Lankan state engineering universities (University of Peradeniya and University of Moratuwa). The founders aim to showcase that world-class software and technology can be built by Sri Lankan engineers competing at the highest global levels.

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📈 Empowerment Over Relief: Rotary Initiative Targets Sri Lankan MSME Growth

As Sri Lanka shifts from crisis management to economic recovery, civic organizations are pivoting from traditional aid to sustainable economic empowerment. • The Economic Backbone: Micro, small and medium enterprises (MSMEs) are vital to Sri Lanka's economy, accounting for nearly 45% of national employment and contributing well over 50% of the Gross Domestic Product (GDP). • The "Made in Sri Lanka" Initiative: During the 2025-2026 Rotary year, Rotary District 3220 trained nearly 4,000 entrepreneurs nationwide. The program focused on building capacity in digital marketing, brand development, and export readiness to boost long-term competitiveness. • Strategic Partnerships & Market Access: - National Enterprise Development Authority (NEDA): Organised SME Conclaves to connect certified local businesses (SLSI and GMP compliant) with supply chains in international markets like the UK and Australia. - Information and Communication Technology Agency (ICTA): Enhanced the digital capability of local businesses through training in digital branding, data analytics, and e-commerce platforms. This model represents a shift toward building long-term capability, self-reliance, and market creation over temporary aid.

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📈 Ceylon Chamber Launches 'Scale Up 2.0' to Boost Sri Lanka’s SME Ecosystem

The Ceylon Chamber of Commerce has officially launched Scale Up 2.0, its flagship National SME Forum for 2026. Scheduled for 11th August 2026 at the Taj Samudra, Colombo, the event is themed “Connected, Competitive, Ready to Grow.” • Strategic Focus: The forum is designed to help Small and Medium Enterprises (SMEs) overcome critical barriers, including accessing markets, securing finance, meeting evolving business requirements, and integrating into local and global value chains. • Key Sessions: The program will feature an opening plenary on national priorities for SME development, followed by three technical sessions covering: - Market access and value chain integration - Standards and certification - Strategies for scaling mid-sized enterprises through improved investment readiness and access to finance • B2B Networking: A dedicated B2B segment will allow SMEs to engage directly with buyers, financial institutions, policymakers, and business support organizations. This interactive platform aims to facilitate new business relationships, procurement opportunities, and partnerships to support long-term business expansion and competitiveness.

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📈 Sri Lanka SME Ecosystem Needs Shift from Debt to Equity Capital

• Current Reality: Despite 70 years of multilateral support and a robust central regulatory mechanism, Sri Lanka's SME sector—traditionally hailed as the engine of economic growth and the largest employer—remains struggling and marginalized. Access to credit is severely hampered by high regional interest rates ranging from 14% to 24%. • Key Ecosystem Deficiencies: Local SMEs fall short in long-term journey mapping across three critical pillars: commercial viability, enterprise scalability, and succession sustainability. Growth is further restricted by a "tunnel vision" approach to product refinement, market development, and heavy reliance on bank loans instead of patient capital. • The Equity Capital Vacuum: Because 98% of banking funds come from depositors, commercial banks face risk constraints that prevent equity financing. Over the past 50 years, fewer than five SMEs have successfully transitioned to an initial public listing (IPO). • Impact Investing & Strategic Interventions: Real growth requires a 5-to-10-year horizon of patient equity capital. Initiatives like Lanka Impact Investing Network (LIIN) are actively working to bridge this gap, previously launching the "Ath Pavura" reality show (securing equity for ~50 entrepreneurs) and introducing "On Eagle’s Wing" to connect MSMEs with global impact investor networks.

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AI Pioneer Suggests Sri Lanka Leapfrog via Precision Brain Healthcare 🧠

Sri Lankan-born computational neuroscientist Emil Hewage, co-founder of UK-based BIOS, highlighted critical growth opportunities for Sri Lanka to build advanced AI-driven healthcare infrastructure from the ground up rather than chasing mature markets. • Precision Healthcare Opportunities: Sri Lanka faces a rapidly aging population, creating unique demand for specialized precision brain care and neural interface technologies. Leveraging a strong medical workforce and a concentrated population, the country has a distinct advantage to cultivate a world-class brain health ecosystem with focused, high-value investment. • Global Application & Performance: The ICT/BPM-adjacent medical algorithms deployed by BIOS operate at 2,000 times the accuracy of a human, reducing precision surgical timelines from up to a year down to single, highly accurate procedures. AI applications originally derived from Formula One racing are currently being cross-utilized in smart-city infrastructure across the UK, South Korea, and California to manage traffic and save millions in road maintenance. • Data Sovereignty & Local Trust: Due to the extreme sensitivity of neurological data, Hewage advocates for local tech integration managed by regional health authorities and trusted domestic institutions rather than reliance on global big-tech scalers. _Note: Insights are based on executive commentary regarding future technology positioning and national leapfrogging strategies._

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📈 Over 250 Gather for Kalutara Business & Investment Summit

Lanka Business TV’s eighth island-wide "Vyavasayaka" Business and Investment Summit concluded with significant public response at the Jie Jie Beach Hotel in Panadura. The initiative focuses on bridging the economic knowledge gap for local entrepreneurs. • Key Highlights: • Participation: Over 250 attendees, including existing entrepreneurs and individuals seeking economic literacy. • Expert Insights: Keynote address delivered by Dr. Chaminda Weerasiriwardena, with guest lectures and corporate presentations focusing on wealth management (NDB Wealth), cybersecurity (Sri Lanka CERT), and real estate/asset management (John Keells Properties). • National Expansion: The Kalutara event marks the 8th district-level summit held across Sri Lanka. • Future Outlook: Lanka Business TV announced ongoing arrangements to expand the initiative further into the Kandy and Kurunegala districts later in 2026 to support regional economic integration.

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Industry & Sector News --- To see highlights from the opening of this journalism summit, you can watch the coverage of the ['SLIM Media Fest 2026' grand start](https://www.youtube.com/watch?v=mt_4HWlX9OE).

📈 SLIMFA MediaFest 2026: Call for Trust-First Journalism as AI Reshapes News

Top media leaders and government officials from Sri Lanka and India gathered at MediaFest 2026 in Colombo to address technological disruption, AI integration, and the critical need to preserve public trust amid rising misinformation. • Core Themes & Collaboration: Themed "Staying Relevant in a Changing World," the event urged newsrooms to adapt to digital shifts without sacrificing editorial discipline. Indian High Commissioner Santosh Jha called for stronger bilateral media collaboration, promising continued support for journalist exchanges, newsroom visits, and institutional partnerships to counter false narratives. • Key Leadership Insights: Mass Media Minister Dr. Nalinda Jayatissa stated that AI should be leveraged to strengthen investigation and verification rather than replace editorial judgment, emphasizing that governments must safeguard independent journalism. ANI Chief Editor Smita Prakash warned that AI makes deception faster and cheaper, asserting that verification is now as vital as reporting and urging professionals to "trust, but verify." India Today Managing Editor Marya Shakil advised newsrooms to adopt the speed of digital creators while strictly retaining newsroom discipline. • Institutional Impact: Organized by the Sri Lanka–India Media Friendship Association (SLIMFA), President Nisthar Cassim highlighted the body's rapid evolution since 2024 into a premier platform fostering professional dialogue, masterclasses, and knowledge-sharing between the two nations' media ecosystems.

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