Positive Economic Factors in Sri Lanka

මේ වසරේ රට තුළ ආර්ථිකයට සම්බන්ධ ධනාත්මක කරුණු ටිකක් කොළඹ කොටස් නිකුතුව ප්‍රකාශයට පත් කරල තියෙනව, මේ ඒ කරුණු ටික. (සිංහලට පරිවර්තනය කලේ නම් නෑ.)

• Central Bank of Sri Lanka has forecast a 6.5 % economic growth for the country in year 2010.

• Stable government to adopt consistent economic policies in the country.

• The Economic growth in future is expected to be well supported by the development activities in the Construction & the Agricultural sectors as well.

• Sri Lanka Share Market (Colombo Stock Exchange)was ranked No 01 in Asia & second best in the world in 2009 in terms of growth. We are the best performing stock exchange in Asia so far for the year 2010.

• Holding the International Indian film festival in Sri Lanka offered a much needed boost for the country's tourism sector.

• Expected improved earnings  by the listed companies in future.

• Approval of the  IMF third tranche loan facility.

• Sri Lanka heads powerful G15 summit,consists of 18 developing countries,which includes India, Brazil, Malaysia,Iran, Mexico,Argentina, Chile etc.

• Sri Lanka will host the next G15 summit t in year 2012.

•  Arrival of much awaited foreign funds to the Colombo Stock Exchange  after a laps of several months. They purchased a substantial stake in Commercial Bank of Ceylon, Hatton National Bank during the 1st week of June 2010.

• Increase demand for Government Treasury Bonds by the foreign funds.

•  Colombo has been selected to host several international business forums during this year.

•  U.S. State Dept lifts travel warning on Sri Lanka, will be a great boost for the Country as a whole & for the tourism industry.

• Expected boom in Tourism Industry - Tourist arrivals to the country have increased by 42.3%. Arrivals has risen for the 12th consecutive month since the end of the war as per the Reuters reports.Earnings from the tourism industry has also up by 68.8% to $ 174.9 for the first four months as per the central bank data.

•  Low interest rates, Low inflation & Expected high consumer spending in future are the key factors to be considered when investing in the Colombo Stock Market.

• Removal of the war risk insurance for Sri Lanka by the London Underwriters as a result of the end of 30 year old civil war in the Country.

• Price-to-earnings ratio to be around 15 times by end of year 2010 as a result of the reported high earnings and growth by the listed companies. The 1st quarter corporate results reflects an improvement of over 175% over the same period in year 2009.

• Sri Lanka expects 600,000 tourists arrivals in year 2010.

• Granting of tax concessions for imports such as Electrical items, Motor vehicles etc.Investors are expecting  tax concessions for the Banking industry as well.

• Budget targeted the long term economic growth of the country.

• Sri Lanka has a strong backing from the future power house of the world. The BRIC countries.(Brazil,Russia,India,China)

• Sri Lanka to host 20 - 20 world cup in year 2012.

• Expected credit growth due to reduction of lending rates.

• Recent  Market correction will offer a great opportunity to collect value shares at lower prices.

 data- www.cse.lk, adopted from http://srilankastockpicks.blogspot.com