SenFin Research – News Updates – 1 June 2026

Inflation hits 13-month high as supply shocks disrupt price stability
The consumer inflation measured by Colombo Consumer Price Index (CCPI) continued its upward trajectory in May 2026, reaching a 13-month high and remaining above Central Bank’s medium-term target.
Source: (Daily Mirror) https://www.dailymirror.lk/business-news/Inflation-hits-13-month-high-as-supply-shocks-disrupt-price-stability/273-341633

Current account slips into deficit in April
Sri Lanka’s current account slipped into a deficit of $ 532.4 million in April from a surplus of $ 176.6 million a year earlier, as the economic fallout from the Middle East conflict sharply widened the trade gap and weighed on tourism earnings, according to the Central Bank of Sri Lanka’s (CBSL) latest External Sector Performance report.
Source: (Daily FT) https://www.ft.lk/front-page/Current-account-slips-into-deficit-in-April/44-792698

Tourist arrivals top 1 m mark
In a remarkable feat for Sri Lanka’s tourism sector, arrivals surpassed the 1 million mark on 28 May, sparking optimism about meeting the ambitious target of 3 million visitors by the end of the year.
Source: (Daily FT) https://www.ft.lk/front-page/Tourist-arrivals-top-1-m-mark/44-792703

Remittances up by 24.5%
The Central Bank of Sri Lanka (CBSL) said that remittances from foreign workers have increased by 24.5 percent to US$ 3,062.8 million in the first three months of this year (January-March 2026).
Source: (Daily News) https://dailynews.lk/2026/06/01/business/1003350/remittances-up-by-24-5/

April fuel bill soars to $ 886 m, up 150% YoY
Sri Lanka’s oil import bill surged by 150% year-on-year (YoY) to $ 886 million in April from $ 630.1 million in March, registering the highest fuel bill so far for 2026 amid rising global energy prices following the Mideast crisis.
Source: (Daily FT) https://www.ft.lk/front-page/April-fuel-bill-soars-to-886-m-up-150-YoY/44-792702

Fuel price increases near 50% since February as global oil shock hits Sri Lanka
Sri Lanka on Saturday raised fuel prices for the fifth time since the escalation of the Middle East conflict, as the country grapples with a sharply higher fuel import bill driven by soaring global oil prices and increased import volumes.
Source: (Daily FT) https://www.ft.lk/front-page/Fuel-price-increases-near-50-since-February-as-global-oil-shock-hits-Sri-Lanka/44-792697

Vehicle imports increase in April
The vehicle imports bill, including personal and commercial vehicles, expanded to $ 208 million in April from $ 195 million in March.
Source: (Daily FT) https://www.ft.lk/front-page/Vehicle-imports-increase-in-April/44-792701

External pressures push current account into deficit amid Middle East conflict
Sri Lanka’s external sector faced severe renewed pressures in April 2026, with the current account slipping into a deficit of US$ 532 million, largely driven by the escalating conflict in the Middle East.
Source: (Daily Mirror) https://www.dailymirror.lk/business-news/External-pressures-push-current-account-into-deficit-amid-Middle-East-conflict/273-341637

Construction sector shrinks in April as rising raw material costs threaten project timelines
The construction sector in Sri Lanka experienced a sharp contraction in April 2026, with the Purchasing Managers’ Index (PMI) for Construction, measured by the Total Activity Index, plunging to 45.7 from the 57.1 recorded in March.
Source: (Daily Mirror) https://www.dailymirror.lk/business-news/Construction-sector-shrinks-in-April-as-rising-raw-material-costs-threaten-project-timelines/273-341636

Sri Lanka to seek continued GSP+ access: EDB
Export Development Board (EDB) Chairman Mangala Wijesinghe has confirmed that Sri Lanka intends to apply for continued access under the next Generalised Scheme of Preferences Plus (GSP+) framework, describing the scheme as a key pillar of the country’s export strategy.
Source: (Daily FT) https://www.ft.lk/business/Sri-Lanka-to-seek-continued-GSP-access-EDB/34-792710

Sri Lanka Treasury not buying fx for debt service as it is normal process: IMF Mission Chief
Sri Lanka’s Treasury is not buying dollars to service debt because it has not done so in the past, International Monetary Fund Mission Chief Evan Papageorgiou, amid questions on depending on the central bank, which has to monetize the balance of payments to get reserves.
Source: (economynext) https://economynext.com/sri-lanka-treasury-not-buying-fx-for-debt-service-as-it-is-normal-process-imf-mission-chief-273782/

Green recovery facility in driving Sri Lanka’s GSS+ Bond Market
Sri Lanka’s sustainable finance market continues to gain momentum as the Colombo Stock Exchange (CSE) collaborated with the European Union-funded Green Recovery Facility, implemented by Expertise France, to advance the country’s growing pipeline of Green, Social, Sustainable and Sustainability-Linked (GSS+) bonds through a series of targeted market-building programmes earlier last month.
Source: (Daily News) https://dailynews.lk/2026/06/01/business/1003344/green-recovery-facility-in-driving-sri-lankas-gss-bond-market/

External pressures: LKR records 5.4% dep
The Central Bank of Sri Lanka (CBSL) announced that the Sri Lankan Rupee (LKR) depreciated by 5.4% against the US Dollar on a year-to-date basis as of the end of May 2026.
Source: (Daily FT) https://www.themorning.lk/articles/TaRRy1uhQ1YptTX2rYhs

LOLC Group delivers strong operating growth as diversified platform gains further scale
LOLC Holdings PLC delivered a strong operating performance for the year ended 31 March 2026, underpinned by robust income growth, a significant expansion in core operating profitability and continued scale-up of its financial services-led diversified business model. With a global operating presence across 27 countries, the Group continues to strengthen its position as Sri Lanka’s most internationally diversified conglomerates, combining financial services scale with strategic interests across plantations, agri, manufacturing, trading, leisure, real estate and insurance.
Source: (Daily News) https://dailynews.lk/2026/06/01/business/1003315/lolc-group-delivers-strong-operating-growth-as-diversified-platform-gains-further-scale/

United Motors Lanka achieves highest-ever profit of Rs. 3.6bn for FY2025/26
United Motors Lanka PLC announced a strong financial performance for the year ended 31 March 2026, recording a sharp recovery in profitability and revenue across both Group and Company levels after the lifting of the import ban.
Source: (Daily Mirror) https://www.dailymirror.lk/business-news/United-Motors-Lanka-achieves-highest-ever-profit-of-Rs-3-6bn-for-FY202526/273-341624

First Capital ends FY26 with Rs. 2.1 b Profit after Tax
First Capital Holdings PLC, has delivered a steady performance during FY2025/26, recording a Profit after Tax of Rs. 2.10 billion for the year ended 31 March 2026. While this compares to Rs. 5.02 billion recorded in the previous year, the Group’s performance reflects its ability to navigate a dynamic operating environment while sustaining long-term value creation.
Source: (Daily FT) https://www.ft.lk/financial-services/First-Capital-ends-FY26-with-Rs-2-1-b-Profit-after-Tax/42-792721

Sunshine Holdings delivers 11.2% top line growth in FY26
Sunshine Holdings PLC has recorded consolidated revenue of Rs. 65.9 billion for the year ended 31 March 2026 (FY26), reflecting an 11.2% year-on-year (YoY) increase.
Source: (Daily FT) https://www.ft.lk/business/Sunshine-Holdings-delivers-11-2-top-line-growth-in-FY26/34-792708

FINANCIALS: Hayleys records Rs 38.04 b PBT
The Hayleys Group delivered a 19% year-on-year increase in revenues to Rs 585.02 billion, while consolidated profit before tax rose by 4% to Rs 38.04 billion, during the financial year ended 31 March 2026, achieving the highest revenue in its history. Performance gathered momentum in the fourth quarter, with revenue increasing by 29% to Rs 164.62 billion and profit before tax improving by 6% to Rs 13.87 billion.
Source: (the morning) https://www.themorning.lk/articles/LDuzYGkjhFd0vicyp6Cc