Sri Lankan shares closed higher on Wednesday, as investors awaited the outcome of the central bank’s monetary policy meeting where it is expected to hold key rates steady.
The CSE All-Share index rose for a second consecutive day, closing 2.17% higher at 8,173.86. Industrial stocks led gains on the index.
Sri Lanka’s central bank is expected to keep rates steady on Thursday as inflation shows signs of easing, while authorities focus on discussions to secure a $2.9 billion International Monetary Fund bailout to stabilise its crisis-hit economy.
Japanese bank Nomura warned that Sri Lanka, among other seven countries, was now at a high risk of a currency crisis.
Conglomerates Expolanka Holdings and Richard Pieris & Company PLC were the biggest boosts to the CSE All-Share index, rising 5.6% and 11.5%, respectively.
Trading volume rose to 57.5 million shares in the session, from 44.9 million in the previous session.
The equity market’s turnover was 1.45 billion Sri Lankan rupees ($3.99 million), compared with 1.51 billion rupees in the previous session, according to exchange data.
Foreign investors were net buyers in the equity market, purchasing stocks worth 25.1 million rupees, while domestic investors were net sellers, offloading shares worth 1.44 billion rupees, data showed.