CSE posts worst week in seven as economic crisis deepens

Saturday, 18 June 2022 00:24 - - {{hitsCtrl.values.hits}}

REUTERS: Sri Lankan shares retreated 3% yesterday to record their biggest weekly decline since late April, dragged down by industrials and financials, amid a worsening economic crisis in the country.

The CSE All-Share index ended down 3% at 7,472.39. The index posted a weekly fall of 5.4%, its worst week in seven.

Trading volume rose to 62.6 million shares from 41.7 million shares in the previous session.

The equity market turnover was Rs. 1.2 billion ($ 3.34 million), data showed.

Foreign investors were net sellers in the equity market, offloading Rs. 61.8 million worth of shares, while domestic investors were net buyers, purchasing Rs. 1.19 billion worth of shares, according to exchange data.

Sri Lanka’s fuel stocks will last for about five more days, its power and energy minister said on Thursday, as the island nation awaits official confirmation from the Indian government for a new $ 500 million credit line for fuel.

Chronic fuel shortages have worsened this week with kilometres-long lines at some gas stations countrywide, leading to sporadic protests as vehicle owners wait, sometimes overnight, for petrol and diesel.

An IMF delegation will visit Sri Lanka on 20 June for talks as the country looks for a loan to deal with its economic crisis.

Sri Lanka, an island-nation of 22 million people, is suffering from its worst economic crisis since 1948.