SenFin Research – News Updates – 4 November 2026

96% of EPF in Govt securities: WB report
The Employees’ Provident Fund (EPF) has 96% of its portfolio invested in government securities, and its structural design prevents it from helping develop Sri Lanka’s private capital market, a World Bank report has said. The report also projects that Sri Lanka will become an “aged” society in 2030. Source: (the morning) https://www.themorning.lk/articles/DZIc2obEIXvehZ7xRDo9

Rs. 2.1tn unpaid and up to Rs. 1tn in yearly BOI and other tax breaks test SL’s 17% tax goal
Tax breaks, including Board of Investment (BOI) incentives, are estimated to cost Sri Lanka Rs.800 billion to Rs.1 trillion a year, while tax defaults nearly doubled to Rs.2.1 trillion, exposing leaks that must be plugged to lift tax revenue to at least 17 percent of GDP by 2031, an International Monetary Fund (IMF) report showed. Source: (Daily Mirror) https://www.dailymirror.lk/business/Rs-2-1tn-unpaid-and-up-to-Rs-1tn-in-yearly-BOI-and-other-tax-breaks-test-SLs-17-tax-goal/215-353969

Sri Lanka posts Rs9.5bn mid-year budget surplus on tax surge, capital spending crunch
Sri Lanka posted an overall budget surplus of 9.5 billion rupees in the first half of 2026, swinging from a deficit of 405.6 billion rupees a year earlier, as a massive vehicle tax surge coincided with an ultra-low execution of capital spending. Source: (economynext) https://economynext.com/sri-lanka-posts-rs9-5bn-mid-year-budget-surplus-on-tax-surge-capital-spending-crunch-288622/

Sustainable trade: SL to receive € 10 m grant from EU
Sri Lanka’s Cabinet of Ministers have approved the signing of a financing agreement with the European Union (EU), under which the country is to receive a grant of € 10 million to promote sustainable trade between the two sides, a Cabinet decision said. Source: (the morning) https://www.themorning.lk/articles/in82k8ozqEWxXw3RDJz9

Sri Lanka tourist arrivals rise 2.1-pct in October 2026
Visitor numbers into Sri Lanka rose 2.1 percent in October 2026, compared to a year ago, official data showed. Source: (economynext) https://economynext.com/sri-lanka-tourist-arrivals-rise-2-1-pct-in-october-2026-288696/

Sri Lanka awards $4.3mn Kolonnawa grid battery contract to Ceylex-Xingneng JV
Sri Lanka’s Cabinet has approved awarding a multi-currency contract to a joint venture between Ceylex Engineering (Pvt) Ltd and Xingneng Electric Power Construction Co Ltd to upgrade the Kolonnawa Grid Substation for the island’s first utility-scale battery energy storage facility. Source: (economynext) https://economynext.com/sri-lanka-awards-4-3mn-kolonnawa-grid-battery-contract-to-ceylex-xingneng-jv-288730/

Sri Lanka awards Sampur-Kappalthurai transmission project to Ceylex-Xingneng JV
Sri Lanka’s Cabinet has approved awarding the contract for the Sampur–Kappalthurai transmission project to a joint venture comprising Ceylex Engineering and China’s Xingneng Electric Power Construction. Source: (economynext) https://economynext.com/sri-lanka-awards-sampur-kappalthurai-transmission-project-to-ceylex-xingneng-jv-288724/

Rubber supply squeeze pushes prices higher
Sri Lanka’s rubber manufacturers increasingly turned to imported lower-grade ribbed smoked sheet (RSS) rubber in October, as the wet weather disrupted the domestic tapping and tightened the raw material supplies, while the volumes offered at the Colombo Rubber Auction fell by more than a third from a year earlier. Source: (Daily Mirror) https://www.dailymirror.lk/business/Rubber-supply-squeeze-pushes-prices-higher/215-354028

SL targets Rs 100 b cinnamon revenue by year-end
Sri Lanka is targeting Rs 100 billion in revenue from its cinnamon industry by the end of this year, following earnings of $ 185 million, equivalent to approximately Rs 60 billion, recorded as of 30 August, according to the Ministry of Agriculture, Livestock, Land and Irrigation, in a statement recently published by the Department of Government Information (DGI). Source: (the morning) https://www.themorning.lk/articles/EQRtUofIqQmrAsMLqv8H

Record Rs. 30 b BOC debenture issue oversubscribed
Bank of Ceylon (BOC) yesterday said its debenture issue of up to Rs. 30 billion, the largest in Sri Lanka, had been oversubscribed, with applications exceeding Rs. 30 billion. The State-owned bank initially offered up to 100 million debentures at an issue price of Rs. 100 each to raise up to Rs. 10 billion. Source: (Daily Ft) https://www.ft.lk/front-page/Record-Rs-30-b-BOC-debenture-issue-oversubscribed/44-799575

Sri Lanka rupee closes at 332.65/70 to US dollar spot, bond yields steady
Sri Lanka’s rupee closed at 332.65/70 to the US dollar spot on Tuesday, weaker from 332.55/65 the previous day, while bond yields closed steady to lower on select tenors, dealers said. Source: (economynext) https://economynext.com/sri-lanka-rupee-closes-at-332-65-70-to-us-dollar-spot-bond-yields-steady-288778/

Sri Lanka stocks close up; ASPI gains 0.20-pct
Sri Lanka’s Colombo Stock Exchange closed up on Tuesday, CSE data showed, with the benchmark All Share Price Index moving up 0.20 percent. Source: (economynext) https://economynext.com/sri-lanka-stocks-close-up-aspi-gains-0-20-pct-288745/

EPF raises ACL Cables stake to 10%
The Employees’ Provident Fund (EPF) increased its stake in ACL Cables PLC to 10 percent by end-September, adding just over three million shares during the quarter, according to a stock exchange disclosure. Source: (Daily Mirror) https://www.dailymirror.lk/business/EPF-raises-ACL-Cables-stake-to-10/215-354029

John Keells Holdings Sept quarter net profit surges 213-pct to Rs5.2bn
Sri Lanka conglomerate John Keells Holdings PLC (JKH) recorded a net profit of Rs. 5.17 billion for the quarter ended September 30, surging 213 percent from Rs. 1.65 billion in the same quarter last year, interim accounts showed. Source: (economynext) https://economynext.com/john-keells-holdings-sept-quarter-net-profit-surges-213-pct-to-rs5-2bn-288762/

Sri Lanka’s Seylan Bank projects 18-pct profit growth next year under steady interest rates
Sri Lanka’s listed private lender Seylan Bank expects a strong 18 percent growth in 2018 provided the current interest rates remain steady, its Chief Executive Officer Ramesh Jayasekara said on Tuesday (03). Source: (economynext) https://economynext.com/sri-lankas-seylan-bank-projects-18-pct-profit-growth-next-year-under-steady-interest-rates-288786/

Sunshine September-quarter profit rises 82.4% to Rs.2.3bn
Sunshine Holdings PLC’s consolidated profit after tax rose 82.4 percent year-on-year to Rs.2.3 billion in the quarter ended September 30, 2026, as the revenue growth accelerated, although its six-month results showed continued pressure on the operating margins. Source: (Daily Mirror) https://www.dailymirror.lk/business/Sunshine-September-quarter-profit-rises-82-4-to-Rs-2-3bn/215-354024

LAUGFS Gas outlines Nov., shipment plans and measures to restore LPG supplies
LAUGFS Gas PLC yesterday said it has arranged three LPG shipments expected to arrive in Sri Lanka this month and is working with the relevant authorities to secure approvals for domestic supplies through its Hambantota terminal. Source: (Daily Ft) https://www.ft.lk/business/LAUGFS-Gas-outlines-Nov-shipment-plans-and-measures-to-restore-LPG-supplies/34-799586

Three new investors acquire 64.5% of Chrissworld for Rs. 232 m
Three investors acquired a combined 64.53% stake in Chrissworld PLC (CWL.N) for Rs. 232.3 million on 2 November, buying 19.36 million shares at Rs. 12 each. Source: (Daily Ft) https://www.ft.lk/front-page/Three-new-investors-acquire-64-5-of-Chrissworld-for-Rs-232-m/44-799570

SriLankan Airlines plunges to Rs35.6bn loss as fuel costs soar, capital eroded
SriLankan Airlines Limited posted a pre-tax loss of 35.6 billion rupees for the first quarter of the 2026/27 financial year, hit by soaring jet fuel costs, West Asia flight disruptions, and currency depreciation. Source: (economynext) https://economynext.com/srilankan-airlines-plunges-to-rs35-6bn-loss-as-fuel-costs-soar-capital-eroded-288594/