Stock market to be temporarily closed

The Securities and Exchange Commission of Sri Lanka has decided to temporarily close the stock market in light of the current situation in the country.

The Board of Directors of the Colombo Stock Exchange (CSE) made the request yesterday (15).

Accordingly, acting in terms of the provisions contained in Section 30 of the Securities and Exchange Commission Act No. 19 of 2021, the SEC has directed the CSE to temporarily close the stock market for a period of five business days from 18 April.

Many other stake holders of the securities market including the Colombo Stock Brokers Association have also sought the temporary closure of the market on the same grounds.

The SEC has carefully considered the grounds that have been adduced by them and has evaluated the impact the current situation in the country could have on the stock market, in particular the ability to conduct an orderly and fair market for trading in securities.

Issuing a statement, the SEC said it would be in the best interests of investors as well as other market participants if they are afforded an opportunity to have more clarity and understanding of the economic conditions presently prevalent, in order for them to make informed investment decisions.