SenFin Research – News Updates – 22 May 2026

Inflation to 4.7% in April
Sri Lanka’s overall inflation rate increased to 4.7 percent in April 2026 on a year-on-year basis, according to the latest figures released by the Department of Census and Statistics (DCS) of the Central Bank of Sri Lanka (CBSL).
Source: (Daily News) https://dailynews.lk/2026/05/22/business/998545/inflation-to-4-7-in-april/

Oil edge higher, global stocks mixed
Oil prices edged higher Thursday after a sharp sell-off in the previous session, while Japanese and South Korean stocks rallied after US chipmaker Nvidia beat forecasts in its latest earnings report.
Source: (Daily FT) https://www.ft.lk/financial-services/Oil-edge-higher-global-stocks-mixed/42-792303

Total tax revenue exceeds Rs 1Tn
The Department of Inland Revenue has announced that the total tax revenue collected by the Department of Inland Revenue has exceeded one trillion rupees (1,000 billion rupees) as of May 18, 2026.
Source: (Daily News) https://dailynews.lk/2026/05/22/business/998570/total-tax-revenue-exceeds-rs-1tn/

Govt. rules out vehicle import ban, rejects claims of surge in LCs
Deputy Finance and Planning Minister Dr. Anil Jayantha Fernando yesterday ruled out any move to suspend vehicle imports and rejected claims of a sharp surge in letters of credit (LCs), saying recent import demand was already moderating following the Government’s decision to impose a temporary surcharge on vehicle import duties to ease pressure on foreign exchange reserves.
Source: (Daily FT) https://www.ft.lk/front-page/Govt-rules-out-vehicle-import-ban-rejects-claims-of-surge-in-LCs/44-792259

Sri Lanka tea auction see higher offerings amid currency driven price fluctuations
Sri Lanka’s tea auction offerings recorded a notable increase this week, with total volumes rising to 6.6 million kilogrammes from 5.8 million kilogrammes the previous week, although still below the corresponding 7.0 million kilogrammes recorded during the same auction period in 2025.
Source: (Daily News) https://dailynews.lk/2026/05/22/business/998562/sri-lanka-tea-auction-see-higher-offerings-amid-currency-driven-price-fluctuations/

Fuel consumption has decreased due to QR code
Ceylon Petroleum Corporation (CPC) Managing Director Mayura Netthikumarage said Wednesday (20) that fuel consumption in the country has decreased significantly.
Source: (Daily News) https://dailynews.lk/2026/05/22/business/998594/fuel-consumption-has-decreased-due-to-qr-code/

Sri Lanka’s lubricant industry still in regulatory limbo despite 2023 pledge
Sri Lanka’s lubricant industry remains without a dedicated regulatory framework, over a year since formal plans were first announced.
Source: (Daily Mirror) https://www.dailymirror.lk/business/Sri-Lankas-lubricant-industry-still-in-regulatory-limbo-despite-2023-pledge/215-340892

No electricity tariff hike before Sept.: Govt.
Energy Minister Anura Karunathilaka yesterday told Parliament that the Government will not seek approval from the Public Utilities Commission of Sri Lanka (PUCSL) for a further electricity tariff increase before September.
Source: (Daily FT) https://www.ft.lk/front-page/No-electricity-tariff-hike-before-Sept-Govt/44-792254

Exchange rate: SL will avoid reactive intervention: Minister
Sri Lanka's present Government will not resort to reactive, short-term interventions aimed at countering minor daily movements in the exchange rate and instead will rely on market-stabilising interventions, allowing the market to continue to function, Deputy Minister of Finance Dr Anil Jayantha Fernando said in Parliament yesterday (21).
Source: (the morning) https://www.themorning.lk/articles/7wYBxCngbBr5DUA2Begi

Global tourism leaders urge Sri Lanka to abandon mass market model
Sri Lanka must urgently pivot from chasing tourist numbers to building a high-value, experience-driven tourism economy backed by stronger branding, infrastructure, and storytelling, global tourism experts said during a panel discussion at Sancharaka Udawa 2026.
Source: (Daily FT) https://www.ft.lk/business/Global-tourism-leaders-urge-Sri-Lanka-to-abandon-mass-market-model/34-792288

IMF signals confidence in Sri Lanka’s ability to manage external shocks
International Monetary Fund (IMF) Mission Chief for Sri Lanka Evan Papageorgiou yesterday signalled confidence in Sri Lanka’s ability to manage the economic pressures arising from the Middle East war, saying the country’s stronger policy framework, improved reserves, and ongoing reform program had placed the economy in a better position to absorb external shocks than in the past.
Source: (Daily FT) https://www.ft.lk/top-story/IMF-signals-confidence-in-Sri-Lanka-s-ability-to-manage-external-shocks/26-792253

CBSL meets dealers ahead of tighter regulations to ease currency pressure
The Central Bank of Sri Lanka (CBSL) yesterday met bankers and currency dealers as authorities weighed tighter foreign exchange regulations to contain mounting pressure on the rupee amid heightened dollar demand and global uncertainty linked to the Middle East war.
Source: (Daily FT) https://www.ft.lk/front-page/CBSL-meets-dealers-ahead-of-tighter-regulations-to-ease-currency-pressure/44-792261

CSE edges up, shakes off three sessions of losses
The Colombo stock market closed in green yesterday after three consecutive sessions in the red as bargain-hunting investors drove a mild early-session rally.
Source: (Daily FT) https://www.ft.lk/financial-services/CSE-edges-up-shakes-off-three-sessions-of-losses/42-792305

US Dollar selling rate surpasses Rs. 350 amid rupee depreciation
The Sri Lankan Rupee continued to weaken against the US Dollar on Thursday, with the dollar selling rate surpassing the Rs. 350 mark amid growing global economic uncertainty and concerns linked to the ongoing conflict in the Middle East.
Source: (Daily News) https://dailynews.lk/2026/05/22/business/998609/us-dollar-selling-rate-surpasses-rs-350-amid-rupee-depreciation/

Secondary Bond market activity increases; yields increase
The secondary Bond market yields were seen increasing further yesterday, mainly on the 01.07.28, 2032’s (i.e. 01.10.32 & 15.12.32) and 01.06.33 maturities as those were seen changing hands at highs of 10.55%, 11.48% and 11.60% respectively against its previous day closing levels of 10.05/20, 11.00/15 and 11.25/45.
Source: (Daily FT) https://www.ft.lk/financial-services/Secondary-Bond-market-activity-increases-yields-increase/42-792307

HNB and Singer collaborate with leasing solutions for John Deere tractors
HNB PLC announces a strategic partnership with Singer Sri Lanka PLC to expand access to John Deere tractors across Sri Lanka.
Source: (Daily News) https://dailynews.lk/2026/05/22/business/998393/hnb-and-singer-collaborate-with-leasing-solutions-for-john-deere-tractors/

Dialog proposes employee share incentive plan worth 2% stake
Dialog Axiata PLC said it is seeking shareholder approval to introduce a long-term incentive plan (LTIP) that could see up to 184.0 million shares issued to eligible employees, as the telecom giant moves to strengthen talent retention and align employee performance with long-term shareholder value.
Source: (Daily Mirror) https://www.dailymirror.lk/business/Dialog-proposes-employee-share-incentive-plan-worth-2-stake/215-340889

India mulls rate hike, as rupee slumps
The Reserve Bank of India is considering all of its available options to stabilise the rupee, including an interest rate hike, more currency swaps and raising dollars from investors overseas, according to sources familiar with the matter.
Source: (the morning) https://www.themorning.lk/articles/TCEwHm4vKjL7oc0vMsjp