The All Share Price Index (ASPI) closed the week rallying by 2.46% at the Colombo Stock Exchange (CSE) on Friday to close at 10,850.53, while the S&P SL 20 Index rose by 3.32% to end at 3050.20, recording their highest gains in three and half months as investor confidence was boosted by the signing of the IMF staff level agreement.
Turnover was Rs. 910mn with John Keells Holdings and First Capital Treasuries accounting for 11% and 8% of the total. Gainers included Sampath Bank, Commercial Bank, Melstacorp, DFCC Bank, and HNB, which rose by 8.6%, 6.2%, 5.3%, 5.1%, and 4.0%.
The IMF and the Sri Lankan authorities have reached a staff-level agreement on economic policies to conclude the first review of the 48-month EFF-supported program. Sri Lanka will have access to SDR 254 million (about USD 330 million) in financing once IMF Management and IMF Executive Board approve the review. This is likely to pave the way for further funding from other international agencies such as World Bank and ADB. Meanwhile, the Average Weighted Prime Lending Rate (AWPR) fell by 32 bps, declining to 13.68%.
