Category: Economy and Markets
Renewed diaspora optimism as RIUNIT showcases real estate investment opportunities in London
The Research Intelligence Unit (RIUNIT) together with the High Commission of Sri Lanka in London held the Sri Lanka Real Estate Investment Forum: London 2025 on Thursday, 30 October 2025 at the Sri Lanka High Commission in London. Despite having organised many dozens of investor events at high diaspora density locations around the globe during […]
Hayleys sustains growth momentum, reports PBT of Rs.13.33Bn in first half of 2025/26
Achieves Revenue and PBT growth of 13% and 7% during the 2nd quarter of the year supported by both domestic and export-oriented businesses Ranked as Sri Lanka’s leading listed corporate in the 32nd edition of the LMD 100 Accelerates growth through strategic expansion in new verticals The Hayleys Group sustained its strong growth trajectory during […]
CSE Signs MOU with Seylan Bank PLC to Streamline Foreign Investment
The Central Depository Systems (Pvt) Limited (CDS), a wholly owned subsidiary of the Colombo Stock Exchange (CSE), signed a Memorandum of Understanding (MoU) with Seylan Bank PLC to enhance the facilitation of Inward Investment Accounts (IIAs) for non-resident Sri Lankans and Foreign Individuals (FIs) who wish to open CDS accounts through the CSE Mobile App. […]
Government responds to key industry appeals on VAT and SME needs: SLABA
The Sri Lanka Apparel Brands Association (SLABA), representing all leading Sri Lankan apparel and fashion brands, enthusiastically welcomes theBudget, which addresses the majority of the industry’s key requests to strengthen the domestic apparel ecosystem. Government Hears Industry Voice SLABA commends the Government for responding decisively to industry concerns, particularly the implementation of VAT on imported […]
Sri Lanka’s Budget Sticks to Fiscal Consolidation Path: Fitch Ratings
The Sri Lankan government’s latest budget indicates that the authorities remain committed to reducing government debt/GDP over the medium term after beating their targets in the 2025 budget. Fitch Ratings believes sustained strong revenue performance will remain key to meeting the government’s fiscal goals. The budget, unveiled on 7 November, targets a deficit of 5.1% […]
ADB approves USD100 Mn to strengthen macroeconomic resilience, transparency in Sri Lanka
The Asian Development Bank (ADB) has approved a $100 million financing package to build on Sri Lanka’s progress toward macroeconomic stability and to help achieve sustainable growth following the economic crisis. This will be done by strengthening public expenditure management, improving revenue mobilization, and fostering private sector participation. “Sri Lanka has made commendable progress in […]
Ceylon Chamber Says Budget 2026 Calls for Faster Implementation of Reforms to Achieve Growth Targets
The National Budget 2026 maintains a clear trajectory of policy predictability, fiscal consolidation, and disciplined debt management, continuing the stability required for Sri Lanka’s medium-term reform agenda. This consistency is critical for sustaining a transformative growth trajectory that is underpinned by low inflation, stable interest rates and renewed investor confidence. With economic recovery driven primarily […]
Budget 2026: Reduction of registration threshold of VAT & SSCL
With the view of broadening the tax base, the Finance Minister proposes to reduce the annual turnover threshold for the registration from Rs. 60 million to Rs. 36 million Value Added Tax and Social Security Contribution Levy effective from April 01, 2026.
Budget 2026: Imposition of VAT & SSCL on Imported Coconut Oil & Palm Oil
Locally produced coconut oil and palm oil are subjected to Value Added Tax and Social Security Contribution Levy, while imported coconut oil and palm oil are subjected to Special Commodity Levy at Rs. 150 per kilogram and Rs. 275 per kilogram, respectively. To ensure a level playing field, it is proposed to remove the Special […]
Budget 2026: Removal of CESS and imposition of VAT on Imported Fabric
Locally manufactured fabric is subjected to VAT and the imported fabric, although exempted from VAT, is subjected CESS of Rs. 100 per kilo gram. To ensure a level playing field, it is proposed to remove CESS and impose VAT on the imported fabric. This will be implemented effective from April 01, 2026.
Budget 2026: Implementation of the National Tariff Policy
The President proposes to revise the current Customs Import Duty rates of 0%, 15%, 20%, in line with the National Tariff Policy, to 0%, 10%, 20%, 30%, effective from April 2026. Also, with the aim of boosting economic growth by increasing the competitiveness of external trade, the government expects the gradual phase out of para-tariffs […]
Budget 2026: Imposition of Social Security Contribution Levy on Vehicles
It is observed that the social security contribution levy on the sale of vehicles is not being collected properly. Therefore, the social security contribution levy is proposed to be charged at the time of import or manufacture and sale of vehicles, and exempt this tax at the time of after-sales. This is expected to be […]