Colombo (LNW): President Ranil Wickremesinghe’s announcement of selling a 20 per cent stake in People’s Bank and Bank of Ceylon injected vitality into the stock market during a lackluster day, analysts pointed out.
The government aims to sell the stake to strategic investors or the public to enhance capital and support future growth, reducing taxpayer burden.
The 2024 budget proposes stringent measures, including legal action against non-filers and mandatory submission of Taxpayer Identification Number certificates for certain transactions.
Despite these challenges, the stock indices rose, with the All-Share Price Index up by 10 points and the S&P SL20 increasing by 7.6 points.
The turnover reached Rs 559 million without any crossings, and notable contributors were Capital Alliance, JKH, and Ceylon Grain Elevators.
In the retail market, 19.2 million shares changed hands in 8570 transactions. The day saw the rupee opening flat against the US dollar at Rs 327.00/40.
Bond activity was subdued as investors adopted a cautious stance before the budget reading.