SenFin Research – News Updates – 3 July 2026

Sri Lanka regains upper-middle-income status amid fragile recovery
The World Bank Group has reclassified Sri Lanka from lower-middle-income to upper-middle-income, effective July 1. However it cautioned that several risks remain to maintaining that status amid elevated debt and slowing growth.
Source: (economynext) https://economynext.com/sri-lanka-regains-upper-middle-income-status-amid-fragile-recovery-277070/

Realised FDI reaches $ 250 m in 1H; new BOI DG highlights FDI hurdles, outlines reform agenda
The Board of Investment’s (BOI) newly appointed Director General Dr. Sulakshana Jayawardena yesterday outlined a broad reform agenda to improve Sri Lanka’s investment climate, identifying policy inconsistency, cumbersome approvals, land acquisition delays, and skills shortages as among the principal obstacles preventing the country from attracting higher levels of foreign direct investment (FDI).
Source: (Daily FT) https://www.ft.lk/front-page/Realised-FDI-reaches-250-m-in-1H-new-BOI-DG-highlights-FDI-hurdles-outlines-reform-agenda/44-794109

CBSL sees inflation remaining elevated, but no immediate case for rate hike
After reaching a three-year high in June, inflation is expected to remain elevated over the coming months, but easing global oil prices have reduced the likelihood of a further monetary policy tightening if inflation expectations remain anchored, Central Bank of Sri Lanka (CBSL) Economic Research Director Dr. Lasitha Pathberiya said yesterday.
Source: (Daily FT) https://www.ft.lk/front-page/CBSL-sees-inflation-remaining-elevated-but-no-immediate-case-for-rate-hike/44-794113

CBSL reveals 25 institutions involved in Prohibited Pyramid Schemes
The Central Bank of Sri Lanka has published a list of 25 institutions found to have been involved in prohibited pyramid schemes. The notice follows an investigation conducted by the Central Bank.
Source: (Daily News) https://dailynews.lk/2026/07/03/business/1020202/cbsl-reveals-25-institutions-involved-in-prohibited-pyramid-schemes/

Sri Lanka condominium sales drop 15.2-pct in 2026 1Q: CB
Sri Lanka’s condominium sales decreased by 15.2 percent during the first quarter of 2026, from a year ago, according to a condominium market survey conducted by the central bank
Source: (economynext) https://economynext.com/sri-lanka-condominium-sales-drop-15-2-pct-in-2026-1q-cb-277106/

WB backs Sri Lanka’s reform agenda with US$ 150 Million
he World Bank’s Board of Executive Directors approved US$150 million in financing to support Sri Lanka’s reform agenda aimed at boosting investment, strengthening competitiveness, and creating jobs.
Source: (Daily News) https://dailynews.lk/2026/07/03/business/1020189/wb-backs-sri-lankas-reform-agenda-with-us-150-million/

June tea sale average declines month-on-month to Rs. 1,153.49
Sri Lanka’s national tea sale average declined in June 2026, with the overall average price falling by Rs. 31.07 from the previous month, according to statistics released by the Sri Lanka Tea Board.
Source: (Daily News) https://dailynews.lk/2026/07/03/business/1020196/june-tea-sale-average-declines-month-on-month-to-rs-1153-49/

Sri Lanka tourist arrivals fall 10% in June
Sri Lanka’s tourist arrivals recorded a 9.9 percent year-on-year decline in June 2026, totalling 124,551 visitors compared to the 138,241 arrivals registered during the same month last year.
Source: (Daily Mirror) https://www.dailymirror.lk/business/Sri-Lanka-tourist-arrivals-fall-10-in-June/215-344548

IFRS 17 to bring transparency to life insurance sector, push industry toward protection-led growth
Sri Lanka’s life insurance industry is bracing for a fundamental shift in how its performance is measured and reported, as the country prepares to adopt IFRS 17, the new global accounting standard for insurance contracts.
Source: (Daily Mirror) https://www.dailymirror.lk/business/IFRS-17-to-bring-transparency-to-life-insurance-sector-push-industry-toward-protection-led-growth/215-344553

Sri Lanka rupee closes at 335.90/336.00 to US dollar spot, bond yields down
Sri Lanka’s rupee closed at 335.90/336.00 to the US dollar in the spot market on Thursday, from 336.20/40 the previous day, while bond yields were down, dealers said.
Source: (economynext) https://economynext.com/sri-lanka-rupee-closes-at-335-90-336-00-to-us-dollar-spot-bond-yields-down-277148/

Sri Lanka stocks close down, capital goods lead turnover
Sri Lanka’s Colombo Stock Exchange closed down on Thursday, CSE data showed, with the benchmark All Share Price Index moving down 0.06 percent.
Source: (economynext) https://economynext.com/sri-lanka-stocks-close-down-capital-goods-lead-turnover-277143/

Sanasa Life raises Rs. 500 m via fully subscribed Tier II debenture issue
Sanasa Life Insurance Company PLC has fully subscribed a Rs. 500 million subordinated debenture issue aimed at strengthening its capital base and supporting the lifting of regulatory restrictions on its insurance licence, the company said.
Source: (Daily FT) https://www.ft.lk/front-page/Sanasa-Life-raises-Rs-500-m-via-fully-subscribed-Tier-II-debenture-issue/44-794110

Dialog Air Fibre powers new era of ultra-fast Home WiFi
Dialog Axiata PLC, yesterday announced the commercial launch of Dialog Air Fibre, the country’s first 5G-powered, ultra-fast wireless broadband service, following exceptional demand during its pre-order phase.
Source: (Daily FT) https://www.ft.lk/business/Dialog-Air-Fibre-powers-new-era-of-ultra-fast-Home-WiFi/34-794141

LB Finance secures $ 35 m in long-term funding from Norfund and Swedfund
LB Finance PLC has secured long-term funding of $ 20 million and $ 15 million from Norfund and Swedfund, respectively.
Source: (Daily FT) https://www.ft.lk/financial-services/LB-Finance-secures-35-m-in-long-term-funding-from-Norfund-and-Swedfund/42-794148