SenFin Research – News Updates – 26 March 2026

CBSL keeps Policy Rate steady at 7.75% amid global uncertainty
The Central Bank of Sri Lanka (CBSL) has decided to maintain the Overnight Policy Rate (OPR) at 7.75%, citing the need to balance stable inflation with emerging global risks, particularly those stemming from escalating geopolitical tensions in the Middle East.
Source: (Daily News) https://dailynews.lk/2026/03/26/business/972820/cbsl-keeps-policy-rate-steady-at-7-75-amid-global-uncertainty/

5% inflation target to be met in Q2 2026: CBSL
The Central Bank of Sri Lanka’s inflation target of 5% is to be reached in the second quarter of 2026 rather than the third, due to the price shock brought on by global oil prices, CBSL Governor Dr. Nandalal Weerasinghe said.
Source: (the morning) https://www.themorning.lk/articles/kQsb1uYT3qFzsF8QPw8N

Sri Lanka tea exports dip in March despite strong start in 2026
Sri Lanka’s tea exports recorded a slight decline in March 2026 owing to the conflict situation in the Middle East region, although cumulative performance for the first two months of the year remained positive, according to the latest data released by Sri Lanka Customs.
Source: (Daily News) https://dailynews.lk/2026/03/26/business/972840/sri-lanka-tea-exports-dip-in-march-despite-strong-start-in-2026/

The unit trust industry remains stable in February
The unit trust industry of Sri Lanka reported assets under management (AUM) of Rs. 609 billion up 4.0% year-over-year and largely unchanged compared to the previous month. These assets are currently managed across 85 funds by 16 management companies.
Source: (Daily News) https://dailynews.lk/2026/03/26/business/972882/the-unit-trust-industry-remains-stable-in-february/

Middle East conflict pose threat to Lanka’s SME and economic recovery
The ongoing conflict in the Middle East is posing a serious threat to Sri Lanka’s economic recovery, with small and medium enterprises (SMEs) facing the brunt of increasing operational cost, according to an analysis by Prof. Rohan De Silva, President of the Sri Lanka Chamber of Small and Medium Industries.
Source: (Daily News) https://dailynews.lk/2026/03/26/business/972843/middle-east-conflict-pose-threat-to-lankas-sme-and-economic-recovery/

Worst oil crisis creates good time for China’s EV giants
A historic oil shock and surging fuel prices are strengthening the demand for electric vehicles especially for China’s EV makers.
Source: (Daily News) https://dailynews.lk/2026/03/26/business/972870/worst-oil-crisis-creates-good-time-for-chinas-ev-giants/

Oil price falls as Trump talks up Iran peace negotiations
Oil prices fell yesterday after US President Donald Trump said negotiations to end the war were progressing, while Iran said “non-hostile” vessels could pass through the Strait of Hormuz.
Source: (Daily FT) https://www.ft.lk/front-page/Oil-price-falls-as-Trump-talks-up-Iran-peace-negotiations/44-790063

SEC and CSE strengthen role of Watchlist company auditors
The Securities and Exchange Commission of Sri Lanka (SEC) and the Colombo Stock Exchange (CSE) jointly organised an awareness session recently, for auditors of companies which are currently on the CSE Watchlist.
Source: (Daily Mirror) https://www.dailymirror.lk/business-news/SEC-and-CSE-strengthen-role-of-Watchlist-company-auditors/273-336336

IMF review changes may be more significant this time amid global shock: CBSL Governor
Central Bank of Sri Lanka (CBSL) Governor Dr. Nandalal Weerasinghe yesterday signalled that upcoming discussions with the International Monetary Fund (IMF) could result in more significant changes than in previous program reviews, citing the scale of the current external shock, even as authorities aim to secure a staff-level agreement to complete two reviews simultaneously.
Source: (Daily FT) https://www.ft.lk/front-page/IMF-review-changes-may-be-more-significant-this-time-amid-global-shock-CBSL-Governor/44-790070

Sri Lanka CB will intervene in FX only to manage excess volatility: Governor
Sri Lanka’s Central Bank will intervene in the foreign exchange market to ease day-to-day volatility but will stick to the flexible exchange rate as per the current inflation-targeting monetary policy framework, Governor Nandalal Weerasinghe said.
Source: (economynext) https://economynext.com/sri-lanka-cb-will-intervene-in-fx-only-to-manage-excess-volatility-governor-265226/

Changes in IMF conditions “may be significant” in upcoming reviews: Sri Lanka CB chief
There could be significant changes to the conditions with regard to Sri Lanka’s reform programme with the International Monetary Fund (IMF) during the upcoming review due to the external shocks from the escalation in the Middle East, Central Bank Governor Nandalal Weerasinghe said.
Source: (economynext) https://economynext.com/changes-in-imf-conditions-may-be-significant-in-upcoming-reviews-sri-lanka-cb-chief-265224/

Sri Lanka targets 300,000 Chinese tourists this year to partially offset downturn in European arrivals
Sri Lanka is banking heavily on the Asian region, particularly China, to buffer a massive hit to the European tourist arrivals stemming from the ongoing geopolitical crisis in the Middle East.
Source: (Daily Mirror) https://www.dailymirror.lk/business-news/Sri-Lanka-targets-300-000-Chinese-tourists-this-year-to-partially-offset-downturn-in-European-arrivals/273-336346

ADB says scaling up financing to support Sri Lanka
The Asian Development Bank (ADB) yesterday said that its visiting President Masato Kanda met with President Anura Kumara Dissanayake and announced that it stands ready to provide $ 100 million in additional Budget support as part of a financial package to help countries mitigate the economic and financial impacts resulting from the conflict in the Middle East.
Source: (Daily FT) https://www.ft.lk/front-page/ADB-says-scaling-up-financing-to-support-Sri-Lanka/44-790067

CBSL sees no need for moratorium for MSMEs
Central Bank of Sri Lanka (CBSL) Governor Dr. Nandalal Weerasinghe yesterday said no official request has been made to grant a financial moratorium or suspend the implementation of the parate law for micro, small and medium enterprises (MSMEs), despite concerns raised by some sectors over rising costs.
Source: (Daily FT) https://www.ft.lk/front-page/CBSL-sees-no-need-for-moratorium-for-MSMEs/44-790068

Removal of import cess will harm local enterprises: Opposition
The removal of import cess with effect from April this year will harm local enterprises, as reduced prices of imported goods will flood the local market, the Opposition alleged.
Source: (Daily Mirror) https://www.dailymirror.lk/business-news/Removal-of-import-cess-will-harm-local-enterprises-Opposition/273-336333

Sri Lanka stocks close up, S&P climbs back past 6,000
Sri Lanka’s Colombo Stock Exchange closed up on Wednesday, as brent futures stayed below $100 per barrel, and analysts said that the five-day postponement of US attacks on Iran has given investors confidence, and the market moved up significantly.
Source: (economynext) https://economynext.com/sri-lanka-stocks-close-up-sp-climbs-back-past-6000-265214/

Sri Lanka rupee weaker, bond yields steady
Sri Lanka’s rupee closed at 313.80/314.50 to the US dollar in the spot market Wednesday, depreciating from 314.20/40 the previous day, dealers said, while bond yields were broadly steady.
Source: (economynext) https://economynext.com/sri-lanka-rupee-weaker-bond-yields-steady-265209/

Sri Lanka Treasury bill yields climb, less than half of offered bills sold
Sri Lanka’s Treasury bill yields rose across maturities at Wednesday’s auction, data from the Public Debt Management Office showed, with 39.94 billion rupees sold of an offered 80 billion.
Source: (economynext) https://economynext.com/sri-lanka-treasury-bill-yields-climb-less-than-half-of-offered-bills-sold-265218/

Janashakthi Life and People’s Bank strengthen financial protection through bancassurance collaboration
Janashakthi Life, a leading name in the insurance industry and a flagship brand of JXG (Janashakthi Group), entered a strategic partnership with People’s Bank through the signing of a Memorandum of Understanding (MoU), strengthening bancassurance services in Sri Lanka.
Source: (Daily News) https://dailynews.lk/2026/03/26/business/972707/janashakthi-life-and-peoples-bank-strengthen-financial-protection-through-bancassurance-collaboration/

Hela Apparel seeks shareholder approval for $ 17 m asset sale to strategic investor
Hela Apparel Holdings PLC has sought shareholder approval to proceed with the sale of key subsidiaries to a strategic investor for a combined consideration of up to $ 17 million, as part of an ongoing debt restructuring and liquidity improvement effort.
Source: (Daily FT) https://www.ft.lk/front-page/Hela-Apparel-seeks-shareholder-approval-for-17-m-asset-sale-to-strategic-investor/44-790066

Asia Capital to take full control of Wadduwa Resorts in Rs.75mn deal
Asia Capital PLC has agreed to acquire a 22.13 percent stake in Wadduwa Resorts (Private) Limited, for Rs.75 million, paving the way for full ownership of the leisure property.
Source: (Daily Mirror) https://www.dailymirror.lk/business-news/Asia-Capital-to-take-full-control-of-Wadduwa-Resorts-in-Rs-75mn-deal/273-336345

Capital Markets: JXG announces IPO for strengthening governance
JXG, the parent company of the Janashakthi Group, Sri Lankan financial conglomerate comprising First Capital Holdings PLC, Janashakthi Insurance PLC, and Janashakthi Finance PLC, has announced the launch of its Initial Public Offering (IPO) of Rs. 5 billion.
Source: (the morning)* https://www.themorning.lk/articles/5Qvkn4SbZ5Z9vD5u9e70