📈 Sri Lanka Joins Global Orange Movement, Unlocking $ 500 Mn Capital Pool

Sri Lanka has formally joined the global Orange Movement, integrating Orange Bond principles into the Colombo Stock Exchange (CSE) regulatory framework to channel capital into gender equality and climate resilience. • Key Highlights & Capital Framework • Access to a US$ 500 Mn South Asia funding pool targeted by 2030, with IIX aiming to impact 1.2 Mn Sri Lankan women and families. • First Orange Bond issuance scheduled for December 2026, led by Alliance Finance Company PLC raising Rs. 1 Bn. • CSE has previously recorded over 12 GSS+ issuances mobilising over Rs. 90 Bn, accounting for 40% of listed debt raised last year. • MSME & Gender Dynamics • Women-owned enterprises account for 46% of MSME loans by number, but only 28% by value. • Targets aim to increase women-owned MSME loan value to 35% by 2030. • Non-performing loans (NPLs) for female borrowers remain consistently lower across banks, highlighting an underpriced, high-quality segment. • Economic Context & Challenges • Female labor force participation currently stands at 32% (with 25% of working women in agriculture). Unlocking this capacity is key to achieving Sri Lanka's 7% annual economic growth goal. • High borrowing costs remain a key hurdle for micro-entrepreneurs, with interest rates reaching up to 30%.