

Reuters – Sri Lankan shares fell for the sixth straight session on Monday to post a near six-week closing low, but brokers said the slide is slowing down.
The Colombo stock index fell just 0.08 percent to 6,664.12, but it marked the lowest close since June 13, and its ninth fall in 10 sessions.
“The market came down over the last few days due to profit taking, but it looks like the profit taking has come to an end and the market is consolidating at these levels,” said Dimantha Mathew, head of research, First Capital Holdings.
Foreign investors bought shares worth a net 195.5 million rupees ($1.27 million) on Monday, extending the year-to-date net foreign inflow to 25 billion rupees.
Turnover was 502.6 million rupees, less than this year’s daily average of around 907 million rupees.
Shares of Hemas Holdings Plc fell 1.8 percent while Ceylon Cold Stores Plc closed 1.14 percent weaker.
The two-day Sri Lanka Economic Summit 2017 will be inaugurated this morning with the participation of Mr. Sanjeev Sanyal, The Principal Economic Adviser to the government of India, Dr. Indrajit Coomaraswamy, Governor of the Central Bank of Sri Lanka, Honorable Eran Wickramaratne, The State Minister of Finance, Dr. Harsha De Silva, Deputy Minister of Economic Planning and Mr. Rajendra Theagrajah, Chairman of the Ceylon Chamber of Commerce,.
The two-day event, which is the country’s foremost economic summit and organized for the 17th consecutive year will be held under the title of ‘Execute – Transform – Realize’. Eight thematic sessions will be conducted during the summit, while the inaugural session will be held under the title of ‘Accelerating Growth and Pushing for Performance’.
Over 50 resource persons, consisting of high profile cabinet ministers, policy makers, business leaders and academics will take their seats to share insights and also make recommendations on how Sri Lanka can transform its economy to realize its true potential by right execution of plans.
17 foreign speakers, leaders in their respective fields will bring in an international perspective to summit discussions, which will be held at the Cinnamon Grand Hotel, Colombo.
In a message sent to the summit, Honorable Mangala Samraweera, the Minister of Finance and Mass Media said “In its 17th successive year, the Summit organized by the Ceylon Chamber of Commerce has consistently provided a forum for the generation and debate of new economic thinking and insights that help shape the national economic agenda”.
He also said, “I have always been impressed by the very high standards of intellectual debate at the sessions, whilst at the same time being grounded in practical reality and offering workable solutions”.
The summit will see the attendance of 400 participants and the majority consists of high profile corporate executives, senior public sector officials, academics and also sectoral representations.
Sunshine Holdings PLC comes in as the Platinum Sponsor of the event, Standard Chartered Bank enters the fray as the Gold Sponsor, Fonterra Brands as the Silver Sponsor and Dialog Axiata is the Telecommunications Partner. Whilst Janashakthi Insurance, Prima Group, Nestle Lanka, GS1 Lanka and Sri Lanka Convention Bureau join in as the strategic partners. Echo Wave comes is the Digital Events Platform Partner and OMD of OmniCom MediaGroup is the communications partner.
Reuters – Sri Lanka’s cabinet cleared a revised agreement for its Chinese-built southern port of Hambantota on Tuesday, the government said, after terms of the first pact sparked widespread public anger in the island nation.
The port, close to the world’s busiest shipping lanes, has been mired in controversy ever since state-run China Merchants Port Holdings , which built it for $1.5 billion, signed an agreement taking an 80 percent stake.
Under the new deal, which Reuters has examined, the Sri Lankan government has sought to limit China’s role to running commercial operations at the port while it has oversight of broader security.
Chinese control of Hambantota, which is part of its modern-day “Silk Route” across Asia and beyond, as well as a plan to acquire 15,000 acres (23 sq miles) to develop an industrial zone next door, had raised fears that it could also be used for Chinese naval vessels.
Sri Lankans demonstrated in the streets at the time, fearing loss of their land, while politicians said such large scale transfer of land to the Chinese impinged on the country’s sovereignty.
Details of the new agreement have not yet been made public. But according to parts of the document seen by Reuters, two companies are being set up to split the operations of the port and allay concerns, in India mainly but also in Japan and the United States, that it won’t be used for military purposes.
China Merchants Port Holdings will take an 85 percent stake in Hambantota International Port Group that will run the port and its terminals, with the rest held by Sri Lanka Ports Authority. The company’s capital will be $794 million.
A second firm, Hambantota International Port Group Services Co, with capital of $606 million, will be set up to oversee security operations, with the Sri Lankans holding a 50.7 percent stake and the Chinese 49.3 percent, according to the document.
China Merchants Port Holdings also agreed to reduce its stake in the joint venture running the commercial operations of the port to 65 percent after 10 years, the document says.
“The cabinet approved the deal and now it needs parliament approval. We will send it for approval this week,” cabinet spokesman Dayasiri Jayasekera said.
He didn’t provide details. A Chinese embassy spokesman said it had no comment to make on the deal. A source close to the Chinese Embassy in Colombo said both sides had reached a compromise and that Sri Lanka’s concerns had been addressed.
“They emphasised that they wanted to maintain balanced relations with other countries. But the deal is still beneficial for China in terms of revenue,” the source said.
The latest agreement relates to the port while the pact for the industrial zone will be handled separately, Sri Lankan officials said.
Two Sri Lankan sources familiar with the deal said the Sri Lankan Ports Authority would have the right to inspect ships entering Hambantota.
“Sri Lanka will have control over port activities including security, which various parties have raised concerns over earlier,” one source told Reuters. “The agreement clearly says no military ships will be allowed in the port.”
New Delhi in 2014 was alarmed when a Chinese submarine docked in Colombo, where another Chinese firm is building a $1.4 billion port city on reclaimed land.
India has long considered Sri Lanka, just off its southern coast, as within its sphere of influence and sought to push back against China’s expanding maritime presence. In May, Sri Lanka turned down a Chinese request to dock a submarine.Reuters – Sri Lankan shares closed marginally weaker for a seventh straight session on Tuesday, but analysts expect sentiment to turn positive following cabinet approval for a Chinese-built port.
The Colombo stock index fell 0.03 percent to 6,662.34, marking its lowest close since June 13, and its tenth fall in 11 sessions.
Sri Lanka’s cabinet cleared a revised agreement for its Chinese-built southern port of Hambantota on Tuesday which will bring in around 1 billion dollar investment, after terms of the first pact sparked widespread public anger in the island nation.
“With the cabinet approval granted for the port deal and exchange control bill presented to parliament today, we might see some positive sentiment returning to the market,” said Dimantha Mathew, head of research, First Capital Holdings
Sri Lanka parliament on Tuesday debated a new exchange control bill.
Foreign investors bought shares worth a net 47.2 million rupees ($307,592.05) on Tuesday, extending the year-to-date net foreign inflow to 25 billion rupees.
Turnover was 359.8 million rupees, well below this year’s daily average of around 903 million rupees.
Shares of Ceylon Tobacco Company Plc fell 0.9 percent.
Easy Gelato Machines (left) and Walter’s Bay Iced-Tea
Etihad Airways Flying Nanny
Etihad Airways 787 Business Studio
Reuters – Sri Lankan shares edged higher on Wednesday, ending a seven-session losing streak as investors bought battered down shares a day after the cabinet granted approval for a Chinese-built port lease deal.
The Colombo stock index rose 0.1 percent to 6,669.05, recoding its first gain in eight sessions. On Tuesday, the index had recorded its lowest close since June 13.
Turnover was at a near two-month low of 319 million rupees, around a third of this year’s daily average of around 898.9 million rupees.
Sri Lanka’s cabinet cleared a revised agreement for leasing its Chinese-built southern port of Hambantota on Tuesday which will bring in around 1 billion dollar inflow, after terms of the first pact sparked widespread public anger in the island nation.
“Bargain hunting in blue chips drove the market as people saw prices are attractive after two weeks of slump,” said Reshan Kurukulasuriya, chief operating officer, Richard Pieris Securities (Pvt) Ltd.
Analysts said positive sentiment is returning to the market after the cabinet granted approval for the port deal and exchange control bill presented to parliament.
Foreign investors bought shares worth a net 38.8 million Sri Lankan rupees ($252,686) on Wednesday, extending the year-to-date net foreign inflow to 25.1 billion rupees.
Shares of conglomerate John Keells Holdings Plc rose 0.8 percent while DFCC Bank Plc ended 1.2 percent firmer and Commercial Leasing and Finance Plc rose 3.45 percent.