Although inequality in a society is not a new phenomenon, if inequality persists, without proper attention, it could affect the overall economic growth of the country and the efforts to reduce poverty. Reducing incidence of poverty by half and eradicating extreme poverty, are two of the important targets expected to be achieved by 2030, under […]
READ ARTICLEThis article is written to mark the World Tourism Day 2015 – under the theme “The World Tourism – One Billion Tourists, One Billion Opportunities” This year´s World Tourism Day highlights the global potential of tourism for socioeconomic development. “With more than one billion international tourists now traveling the world each year, tourism has become […]
READ ARTICLESri Lanka’s re-based GDP estimates suggest that the economy has grown by 5.5 per cent in the first half of 2015. The figures rely on the re-basing of the country’s national accounts compilation undertaken by the Department of Census and Statistics (DCS). The most current approximations were based on 2002 production and consumption patterns. Over […]
READ ARTICLEHow can Sri Lanka stand out as a tourism destination? That’s a question that continues to challenge tourism development officials and hospitality industry professionals alike. The country faces a twin challenge of meeting ambitious targets (the latest one of 4 million tourists by 2020) while also attracting higher-end tourists. It’s certainly not a pipe dream. […]
READ ARTICLERising on subsidiary strength, despite systemic risk : BUY TILE posted a substantial increase of 62% YoY in earnings during the quarter, posting an EPS of LKR 3.69 (Q1 FY 15 – LKR 2.27). The rise was mainly as a result of the 13% YoY growth in local sales which strengthened bottom line performance. However, […]
READ ARTICLEFollowing Wednesday’s ‘Smart Future’ article, I had a lot of very insightful feedback and pertinent questions. A couple of exchanges in particular were very rewarding, as it helped jog my thinking further as well. I thought it would be useful for the readers of the blog to get a taste of it, so I am reproducing […]
READ ARTICLEOutlook upgraded plus a possible safe haven from Rupee exposure: BUY TJL’s bottom line for Q1 FY 16 grew 25.6% YoY to LKR 206mn resulting in an EPS of LKR 0.31 (BRS estimate – LKR 0.33). The net profit included one month consolidation of Quenby Lanka Prints (QLP). EBIT margin improved to 6.8% (Q1 FY […]
READ ARTICLEHealthy growth, in line with forecast : HOLD SUN recorded a recurring net profit of LKR 315mn for Q1 FY 16 with an EPS of LKR 1.20. Top line improved 4.9% YoY, despite a lackluster performance in Agri. The growth in group top line stemmed from Healthcare and FMCG, which grew 17.5% YoY and 16.4% […]
READ ARTICLEIrrespective of whether the Indo-Lanka FTA (ILFTA) is going to be extended to a Comprehensive Economic Partnership Agreement (CEPA) or not, one cannot ignore the importance of the Indian market for Sri Lankan exporters. It is indeed a large market with 1.3 billion people and a rising middle-class – those who earn between INR 20,000-INR […]
READ ARTICLE“When China sneezes, does the world catch a cold?” is a question on the minds of investors, economists and world leaders this week, as recent troubles in the Chinese economy sent ripples through markets around the world. The sneezing came in three bouts. In July, China’s stock market began to show the first signs of […]
READ ARTICLEWith the general election just days away, all contesting parties have pledged new job opportunities; the United National Party’s (UNP) election manifesto pledges 1 million new jobs in 5 years, the United People’s Freedom Alliance (UPFA) tops it off with 1.5 million jobs by 2020, while the Janatha Vimukthi Peramuna (JVP) promises 60,000 jobs per […]
READ ARTICLEThe Sri Lankan economy is in the midst of a unique, and tricky, transition. It’s easy for Sri Lanka to get stuck in what economists call “the middle income trap”. Already the country is finding it increasingly difficult to compete against cheap labour in low-income economies (like Bangladesh, Cambodia and Laos), on the one […]
READ ARTICLEJohn Keells Hotels PLC (KHL :17.00 ) Competition exposing the margins: SELL In Q1 FY 16 KHL recorded an EPS equivalent to Q1 FY 15 EPS of LKR 0.09. With the Sri Lankan hotel segment posting an operational loss, group EBIT decreased to LKR 181mn (-10.3% YoY) , lowering the EBIT margin to 7.9%. Intense competition […]
READ ARTICLEPresident Maithripala Sirisena delivered a keynote address at the closing session of the Ceylon Chamber of Commerce ‘Sri Lanka Economic Summit 2015′ today, addressing over 500 of the country’s leading private sector representatives. Here are my 9 highlights from his remarks. The government must be transparent, accountable, clean, and fair in its dealings with the […]
READ ARTICLEOver the past decade or more the Sri Lankan economy has become less and less open to the world than it has ever been. Exports to GDP has nearly halved; the share of trade in overall growth has fallen, our overall tariff protection rates are higher now than in the past; our export diversification and […]
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