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29th July 2001
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Flaws in land development laws

By Sonali Siriwardena

The need to address the various loopholes in Sri Lankan laws governing condominiums is greater now that ever before due to rising demand in this type of housing, real estate experts and lawyers say.

The increasing emphasis on high-rise apartments in the face of a land shortage in urban areas is making condominiums an alternative not merely for the elite in society but also for the slum dweller illegally occupying valuable state land around the city.

But the Apartment Ownership Law of 1973 and its subsequent amendments which currently govern condominium property management in the country are ill-equipped to deal with the complexities arising in the present day, argues lawyer Kandiah Neelakandan.

Speaking at a seminar held recently on 'Issues in Urban Property Development' organised by the Institute of Valuers of Sri Lanka, he said that provisions in this law doesn't address the practical constraints such as those arising from the need to seek the consent of all the co-owners before any changes are made to a particular unit by its owner.

New rights arising out of technical developments such as the right for a unit owner to install a solar system or antenna have also complicated matters, he said. As it stands at present, once a Condominium Plan is registered, the owners of its units form a body known as the Management Corporation, which manages the common elements of the property such as the escalators, roofs, corridors, etc. The law also states that the workings of this group have to be monitored by the Common Amenities Board, which in fact is not done effectively. Mr. Neelakandan said this highlights the need for a monitoring process to ensure the efficacy of the system.

He said the problem is compounded when the unit owners come from low-income groups, adding that the cooperation of the co-owners in the maintenance of the common elements of the property is essential in condominium housing, which unfortunately does not take place in apartments occupied by the poorer strata of society.

This needs urgent attention before high-rise apartments are embraced mass scale as a solution to the shortage of land in the city, he said.

The problem becomes more significant since plans are underway to re-house some 66,000 households in high-rise condominiums in six model compact townships within the city of Colombo.

This plan would necessitate the release of 700 acres of prime land for urban re-development. Dr. Krishan Deheragoda, Chairman of the Urban Development Authority, told the seminar that this is part of a macro city planning strategy that provides 'homes for people and land for urban development'. Speaking on the legal constraints in property development, another lawyer, R.K. Suresh Chandra, explained that although the machinery is in place, it is unable to keep up with the rapidly expanding urbanisation process.

He said that privately acquired property could only be taken over under the Land Acquisition Act which is a cumbersome and labourous process. Often challenged, it becomes subject to protracted court cases, which result in the complete obstruction of its public purpose as is seen in the delays in completing the Marine Drive and plans to extend Colombo's Duplication Road.

President of the Institute of Valuers, S.N. Wijepala, defined valuation as an art and science of assessing market value of real estate. He added that the theme of urban development is a multidisciplinary affair which highlights the need for professionals, including valuers, to work together rather than in their isolated fields. The Institute of Valuers of Sri Lanka, now in its 26th year of existence, is an independent body and represents the valuation profession in both the public and private sector.


Singer, Sampath tie-up on Internet

Singer Sri Lanka has become the first ever household durable company to partner with Sampath Bank's Internet gateway.

"Many people in the western world shop online with their credit cards," said a Singer spokesperson. "Credit cards are becoming a standard even in Sri Lanka and this move by Sampath Bank will help both Singer and the bank to keep up with the current trends."

www.singersl.com is one of the most comprehensive Sri Lankan websites, which is one of the main reasons why Sampath Bank signed up Singer as the first retailer. At present the online site of www.singersl.com is equipped for money transactions for customers with Sampath Bank credit card facilities although the company is confident that the ability to accept other credit cards will be secured in the near future.


Celltel - first to offer on-line payment

Celltel Lanka Limited, the pioneer cellular operator in Sri Lanka, is the country's first cellular company to offer an on-line payment facility to subscribers.

The on-line payment system allows subscribers to pay their monthly cellular bills with Master or Visa credit cards by accessing Celltel's website at http//www.Celltel.lk, the company said in a statement.

Celltel's Chief Executive Officer, Dumindra Ratnayake, said the new facility would significantly enhance convenience to Celltel subscribers, many of whom already have e-mail and Internet connections. "As an Internet Service Provider, Celltel has actively promoted use of the web, and we are well positioned to offer real time services such as this," he said.

He said Celltel has taken maximum precautions to ensure that subscribers are at no risk. To access the facility, the system requires a password provided by the subscriber," he explained. "This facility is offered in collaboration with HSBC "on-line" secure payment server."


Sri Lankan association to train Maldivians on stocks

The Sri Lanka Association of Investment Analysts (SLASIA) has been awarded a contract to train stockbrokers in tAhe Maldives as the country sets up its first stock exchange. The US $10,000 contract will see four Sri Lankan lecturers jetting off to the Maldives to conduct lectures throughout August, President SLASIA, Ranjith Fernando said at a recent media briefing. The lecture panel includes Vajira Kulatilaka, Sureka Sellahewa, Channa de Silva and Malinga Arsakularatne.

The Maldivian Monetary Authority which commissioned SLASIA expects the association to carry out a licensing examination for stockbrokers similar to that carried out at the Colombo Stock Exchange. Twenty students will be trained. This is the beginning of a fruitful relationship which will lead to many links being formed, Secretary SLASIA, Channa de Silva said.

SLASIA was formed in 1995 following recommendations from USAID. It has 25 corporate and 50 individual members. It conducts lectures and examinations for the Chartered Financial Analyst (CFA) diploma and presently has 21 successful graduates in Sri Lanka. Some of the graduates, who have performed exceptionally well, have also been chosen to grade exam papers in the US.


Bank of Ceylon's 62nd Anniversary

The Bank of Ceylon, the premier bank in the country celebrates its 62nd Anniversary on 1st August 2001. Several events have been planned to celebrate the occasion with emphasis on religious and social service activities.

The bank is also planning to launch several new schemes on this day to promote the savings habit among the youth and loan facilities would also be made available to fulfil their needs.

In collaboration with the Presidential Secretariat, the bank plans to grant the first loan under the Inventors and Innovators Loan Scheme while a Non- Residential Silver Jubilee Savings Scheme will also be launched on August 1 for the benefit of Sri Lankans residing abroad.


Vertigo F.A.C.E. lift for Sri Lankan firm

Vertigo Asia last week officially announced its entry into Sri Lanka, through Vertigo Lanka in the global company's latest expansion in the Asia Pacific region.

The company said it could offer a comprehensive outdoor advertising service throughout Sri Lanka, enabling advertisers to reach its targeted audience via Vertigo F.A.C.E. (Functional, Aesthetic, and Cost Efficient) design.

The new office consolidates Vertigo's leading position in outdoor advertising in the subcontinent, complementing its existing offices in India and Pakistan, a company statement said.

The introduction of Vertigo's total solution outdoor advertising aims to lift Sri Lankan outdoor advertising to be on par with global trends.

Vertigo is part of Clear Channel Communications, which, apart from being a Forbes 500 company, is also the world's largest out-of-home media company. Fortune lists it as one of the top five global media groups.


Sun match company gets ISO 9002

Sun Match Company Ltd, the largest wax-coated safety match manufacturing company in Sri Lanka, has become the first matchsticks company to be awarded the SLS ISO 9002 certification for quality systems.

The company manufactures matchsticks under the popular 'Soorya' brand.

Launched in Sri Lanka in 1979, Sun Match Company Ltd has a collaboration agreement with the Indian-based Pioneer Group of Companies. The two state-of-the-art factories situated in Kundasale and Digana provide employment for 1,200 persons, the company said in a statement.


SLEA launches third economic journal issue

The Sri Lanka Economic Association (SLEA) launched its third issue of the Economic Journal (June 2001) on Wednesday at a simple ceremony held at the College House auditorium of the University of Colombo.

The guest of honour was the patron of the Association, Dr. Gamani Corea. The current issue of the Sri Lanka Economic Journal contains the following articles written by eminent economists: -Financial liberalisation and efficiency of the financial system: The case of Sri Lanka Chandana Aluthge (Lecturer, Department of Economics, University of Colombo), -Role of taxation in development strategy: The Sri Lankan experience D. D. M. Waidyasekera (Former Commissioner, Department of Inland Revenue), -Effectiveness of welfare programmes in improving estate labour performance Nisha Arunatilake (Research Fellow, Institute of Policy Studies), -Exceptional protection: The way ahead – A developing country perspective Sarath Rajapatirana (Visiting scholar, American Enterprise Institute for Public Policy Research, Washington, D.C.), -Sustainable agriculture: The potential contribution of organic farming to Sri Lanka Martin Purvis and Richard Thornton Smith (Senior lecturer and Senior Research Fellow, respectively, University of Leeds)

The journal was introduced to the audience by Prof. B. Hewavitharana and Dr. H. N. S. Karunatilake, who gave an overview of the five articles in it. The journal (Vol. 2, No.1) was thereafter formally launched by presenting the first copy to Dr. Gamani Corea by Prof. Hewavitharana, a Vice President of the SLEA. Dr. Saman Kelegama, President, SLEA conducted the proceedings of the journal launch.


Features

  • The tra-vail to Jaffna
  • SL business leader blasts politicians for scoring "political points"
  • Danish food ingredient maker strengthens ties
  • SL Telecom gets a new CEO
  • Sustaining the benefits of the rubber industry
  • Printers' Association seminar focuses on survival strategies
  • HNB assists People's Bank
  • External mentoring programme
  • Stock Market Report

    The tra-vail to Jaffna

    By Feizal Samath

    JAFFNA - A woman breaks down at the ticketing office near the Ratmalana airport, unable to get a seat on a flight to Jaffna. A 70-year old man pleads with an officer in Jaffna to get to Colombo in time for a wedding.

    "There's nothing we can do," said a sympathetic officer at Ratmalana. "The flights are always full."

    Travelling to and out of Jaffna is near impossible. The only access to the city is through two daily flights run by the Sri Lanka Airforce using Ukraine pilots on 50-seater Antonov aircraft, and a twice weekly passenger ship which plies between the north and the eastern port city of Trincomalee.

    Airfares are costly at 6,000 rupees a return ticket and is beyond the reach of the average resident. But the demand is so high that the waiting period for a seat is anything between two to three weeks even after a booking is made and confirmed dates given. Much worse, however, are the travel documents – passengers must get letters from local authorities, the police, an endorsement that they are not involved in rebel activity and so on. It is the pillar-to-post and paper-pushing bureaucracy that prevails here.

    If the government wants residents on their side, this is certainly not the way to do it.

    "I came to the town for more than seven days from my village to finalise these documents," said a 65-year-old pensioner who wants to attend his daughter's wedding in Colombo. At the Helitours office in Jaffna, passengers spent at least five hours confirming dates or begging with officers to get them on the earliest flight citing reasons like travelling abroad, visiting a sick relative or attending a funeral. Many miss their overseas flights due to these delays.

    Flying time is less than an hour to Colombo but passengers spend about eight hours through rigorous security checks and waiting in temporary sheds for flights that rarely take off on time. International travel is much faster! The sea journey takes about 12 hours to Trincomalee and from there, another 5-6 hours to Colombo by road.

    In Colombo, every traveller must get clearance from the Defence Ministry where a senior officer endorses applications, often in the region of 50-60 per day. If he is absent or sick, then the clearance gets delayed. Often clearance letters are not forwarded to the Airforce in time for tickets to be issued. Passengers wait impatiently at the Ratmalana office like I did a few days after the Defence Ministry had approved travel. "The Defence Ministry may have cleared it but we must get the same clearance independently from the ministry," one officer told a desperate passenger.

    Why can't the ministry streamline the process, reduce the paperwork and increase flights? The people have a right to travel and they are not responsible for the actions of the LTTE? Though I was initially frustrated by the process and wished I had gone on a much-easier military flight, I was later comforted by the fact that journalists also need to experience the "real thing" and the problems faced by others. Return dates are entered on the ticket without a fuss but the problem lies at the other end where you are told there are no seats on that particular day. I pleaded with officers to return on the date entered in my ticket.

    "Transport restrictions are the main reason why the Muslims are not returning," said Abdul Cader Mubeen, president of the Displaced North Muslims' Organisation. The Muslims numbering 2,800 families fled Jaffna in October 1990 after being ordered out by the rebels. A few families returned in late 1997 but others are reluctant to come due to various constraints. "There are 12 families and a total of 42 Muslims who live in close proximity to each other and a mosque in the town," Mubeen said.

    Constraints include transport problems if families have to go out of Jaffna to attend Muslim funerals, the absence of a registrar of births and marriages and inability to circumcise young boys the traditional way. "There are certain things in our culture we cannot change. For a couple to get married, they have to go to Colombo to get registered," Mubeen, whose family has lived for generations in Jaffna, said.


    SL business leader blasts politicians for scoring "political points"

    A Sri Lankan business leader has blasted the country's political leadership saying politicians use national tragedies to score political points.

    "Yesterday morning we had a national disaster (the attacks on the airport base and airport at Katunayake) with an estimated Rs. 30-50 billion rupees worth of planes lost. Lives were lost. Our airpower is considerably reduced. And yet politicians use this tragedy to score political points," noted A.S.M. Muzzammil, chairman of the Exporters' Association of Sri Lanka.

    "I am sure most of us would agree that the credibility of our politicians in the community is certainly in the dumps," he told the annual meeting of the association on Wednesday.

    Leaders of both the ruling People's Alliance and the main opposition United National Party while condemning the LTTE attacks have also attacked their opponents, in connection with the tragedy.

    The exorbitant terminal handling charges by the shipping lines have adversely effected the export sector resulting in the annual loss to the country of nearly Rs. 2 billion, he said adding that Sri Lanka was facing a situation where everything seems to be unfavourable - market prices, country's political and economic stability and cost of production.

    "The economic environment in our country is extremely grave. We are seeing perhaps the greatest uncertainty in recent times coupled with economic, political and social turbulence and high oil prices," he added.

    He said the export sector which is the engine of growth in the economy had faced major setbacks during the first six months of the year while high interest rates by the banks due to high government borrowings was adding insult to injury.

    During the period 1999-2000 there had been over 4,000 parate executions by the bank and over 400 auctions had taken place. Of these 4,000 cases, a fair proportion are exporters and this is a tragic situation, Mr. Muzzammil said.


    Danish food ingredient maker strengthens ties

    Senior company personnel from Danisco ingredients of Denmark, who are represented in Sri Lanka by Jayes Trading and Essences, Pettah, were in Sri Lanka recently to meet their dealers and clients.

    Danisco A/S was founded in Grindsted, Denmark, and has now become the world's largest producer of food ingredients in terms of value, volume, product range and innovation.

    "The fact that we see Sri Lanka as a base for our South Asian Dealer Conference and have actively promoted the country as a good market to invest time, effort and money in, shows our commitment to the country," said Danisco Ingredients' Managing Director for South Asia Mr. Neil Prasad.

    Mr. Prasad, who has been visiting Sri Lanka for the past six years, said he has a personal affinity for the country. "Although Sri Lanka is the smallest market in terms of volume in South Asia, it is the most developed, with intelligent, articulate people who expect high standards in food and beverage." He further said local manufacturers were the most advanced in the region, providing processed foods and beverages that conform to world standards. "Therefore it is a very important and strategic market for us," he said.


    SL Telecom gets a new CEO

    Sri Lanka Telecom (SLT) has appointed a new chief executive officer, Mr. Shuhei Anan from NTT Communications who succeeds Mr. Satoru Hashimoto with effect from July 23, the company said.

    It said Anan, a SLT board member since 1999, has a Master's degree in engineering from Japan's Waseda University and has served in key positions at NTT in Japan and abroad.

    Hashimoto who completed his tenure and returns to Japan will continue to serve as a board member of SLT, based in Japan. Anan has been engaged in a number of business ventures for the past 16 years while at NTT. He is widely credited for the success of 'ArcCyber" a web-based Internet applications company he set up in Thailand for NTT, prior to taking up his Sri Lankan appointment.


    Sustaining the benefits of the rubber industry

    POINT OF VIEW

    By Dr. A. Nugawela, Deputy Director Research (Biology), Rubber Research Institute of Sri Lanka.

    The current scenario prevailing in the rubber sector has made research and development mandatory to sustain the growth of the industry. Presently growers are constrained with increasing cost of production with no corresponding gain in prices. Further, price fluctuation and increasing volatility are commonly evident. In the light of this situation, especially in the smallholders sector who are responsible for 60 percent of the rubber extent in the country, replanting and adoption of important agro-management practices are curtailed. The reaction of the bigger plantation sector to this situation is alike but to a lesser degree than in the smallholder sector. Such deviation in management practices in the form of low inputs leads to a vicious cycle. The overall impact of this situation will lead to a retarded growth rate in the rubber sector of the country.

    Nevertheless, the natural rubber industry contributes enormously to the economic and social development of the country by generating foreign exchange and employment and by protecting the environment. For researchers and extension officers the challenge is to develop technology best suited for the situation and to encourage its adoption. The technology thus developed needs to be environmentally friendly as well.

    Rubber research in Sri Lanka commenced in 1909. Since then technology is being developed and updated by the Rubber Research Institute (RRI) to suit prevailing conditions. The package of agro-management practices currently recommended, if adopted fully by the rubber grower, could yield productivity levels of 2500-3000 kg of dry rubber per hectare per annum. World leading economists predict rubber trading to improve in future due to increasing demand, limitations in supply and increasing petroleum prices. Through adoption of new technology to enhance productivity, growers can benefit immensely from the high rubber prices anticipated in future.

    The genetic gain in yield through breeding programmes during the recent past is significant. The RRIC 100, 200 and RRISL 2000 series clones recommended for commercial planting are capable of yielding 2500-3500 kg of dry rubber per hectare per annum. Among these are quality timber-producing clones which are capable of enhancing the returns from rubber plantations/smallholdings. Altogether, around 45 clones are recommended for commercial planting as it is important to have genetic diversity in our rubber cultivations.

    Lack of an adequate number of vigorous and healthy plants per unit land area has been identified as a major reason for poor land productivity in the county.

    In traditional rubber growing areas the current rubber cultivations are about the third or the fourth generation. From uprooting of the old plant to establishment of soil conservation methods and canopy cover there is room for soil degradation. This could also happen during the entire life cycle of the plantation if correct soil conservation methods are not adopted. Such land may not yield sufficiently to achieve currently needed productivity levels and profitability. Therefore, land selection has become important during replanting to establish a healthy rubber cultivation. Effective and efficient soil and moisture conservation methods have been developed to improve both physical and chemical characters of rubber soil. Site-specific fertiliser recommendation based on soil and foliar survey helps in efficient and cost-effective use of chemical fertiliser.

    Corynespora leaf disease has taken out some high-yielding clones from the recommended list. This deadly disease is a potential threat to all clones and this emphasises the importance of genetic diversity in our rubber cultivation. Clones susceptible to common leaf diseases, oidium and gloeosporium, in conductive weather during the re-foliation period undergo repeated secondary leaf fall.

    Incidence of white root disease caused by rigidoporus microporus has been identified as one significant factor in the decline of mature rubber stands. Appropriate technology has been developed and is available to arrest falling productivity due to these diseases.

    Lack of adequate skilled tappers is posing a huge threat to the national as well as global rubber industry. Therefore, technology has been developed to reduce the tapper requirement and also to enhance the earnings of tappers. Adoption of rainguards minimises interference by rain with latex harvesting and will further improve tapper income levels with equal gains to the grower.

    Crops have been identified to intercrop with rubber both in the immature and mature phases of rubber cultivation. Such technology, whilst helping the grower to obtain an income during the uneconomical phase, improves land-use efficiency. It is well established that intercropping with proper agro-management is always complementary to the main crop enhancing its performance. Lower income levels from rubber lands due to poor trading or unfavourable weather conditions for tapping could also be overcome by rubber-based intercropping systems with perennials like tea and cinnamon.

    The performance of rubber in traditional areas is hindered to some extent by degraded soil resulting from repeated planting and lack of adequate workers due to availability of alternate employment. Also the land available for rubber in traditional areas is becoming limited due to urbanisation and industrialisation. Technology developed to move rubber into areas considered marginal due to low rainfall and higher elevation can help to bridge the possible shortfall in rubber production in the country.

    Poor trading and increasing cost of production due to wage increases demand higher productivity levels from rubber cultivations. Technology suited for this situation needs to be adopted to achieve this goal of high productivity. This emphasises the need to enhance the adoption rate of technology to sustain the benefits from the rubber industry to the country. This is vital to the survival of the industry which impacts on modern life more than any other any agricultural commodity whilst providing a source of income for more than 500,000 families islandwide, the majority of whom are low-income and do not have land.


    Printers' Association seminar focuses on survival strategies

    By Murali Jayadeva

    Mr. Sunil Wijesinha, Chairman, Merchant Bank of Sri Lanka, says the Japanese Kaizen approach of making low cost improvements on a continuous basis using the efforts of all employees, is ideal for productivity.

    "While the massive contributions from innovations are not discredited, the Kaizen approach is recommended as a starting point for improving productivity on a daily basis," he said speaking at a recent seminar on printing.

    While recommending the elimination of seven wastes such as overproduction, defects, waiting time and delay, accumulation of work in process, unnecessary transport, poor processes and unnecessary motion, he said that alone wouldn't be the password to improve the competitiveness of the country in the global market.

    He reiterated that the global competitiveness factor used by USAID in conducting a trial survey for Sri Lanka should be taken into account if Sri Lanka is to play a significant role in the global market. He said Sri Lanka has been ranked 44 in a survey of 60 countries, which top-ranked Singapore.

    Presenting a paper on 'Interdependent characteristics of paper and printing in the context of the IT revolution', Mr. S. Gopalaratnam, Managing Director, Seshasayee Paper and Boards Ltd, India, said that the IT revolution that is currently sweeping the shores of many Asian countries has brought with it a phenomenal growth in the use of computers and the Internet, leading inevitably to the prospects of a "paperless society".

    "It is indeed ironic that the paper industry has been one of the key beneficiaries of this IT explosion," he said, adding "there has been a significant shift in the way paper is required for digital paper, which can be elegantly used for effective reproduction through desktop printers, digital copiers and modern printing process."

    Gopalaratnam highlighted the significant properties that makes the paper compatible for use in the print media. Paper is an eco-friendly product, is based on renewable sources of raw materials, is bio-degradable while paper cycling is sustainable.

    Speaking on the topic, 'An export printing strategy for Sri Lankan companies, is it a viable option?' Mr. P. Ravindran, Managing Director, Print Care Group of Companies, said the process of globalisation facilitates export marketing and this is not separated from the printing industry.


    HNB assists People's Bank

    People's Bank recently signed an agreement with the Hatton National Bank (HNB) where HNB will provide a credit line of US$ 25 million. This facility will help assist the People's Bank to finance international trade transactions of the major state sector corporations.

    Commenting on this arrangement, Mr. Derek Kelly, CEO said, "the People's Bank has valued long-term relationships with a number of government owned companies. In order to support this growing need for trade finance and to reduce their borrowing costs we have agreed to provide a substantial US dollar facility."


    External mentoring programme

    The Ceylon Chamber of Commerce and the University Grants Commission (UCG) recently held their first joint evaluation day of a pilot External Mentoring Programme for university undergraduates.

    The programme had 50 students selected by the universities of Kelaniya and Sri Jayewardenepura and 17 mentors drawn from seven private sector companies and it was conducted over a two-year period. The private sector companies on the programme were SriLankan Airlines, HSBC, Singer, Haychem, C. W. Mackie, Carsons and the Ceylon Chamber of Commerce.

    The project is part of the chamber's effort to create a dialogue with the higher education system in the country and provides a critical input towards improving the employability of local undergraduates who pass through the system, particularly in relation to changing demands in the real business world.

    The programme is supplemented by English communication classes funded by HSBC.

    The Evaluation Day session, earlier this month, was chaired by Faizal Salieh, Chairman of the Chamber's Human Resources and Education Committee and was attended by the undergraduates, mentors, Chairman of the Ceylon Chamber, Chandra Jayaratne, Chairman of the UGC, Prof. R. Mendis, members of the HR and Education Committee, Directors of Career Guidance at the two universities and members of the academic community.

    Mr. Salieh said the mentoring programme symbolised the emerging partnership between the private and public sectors in the field of education and that the Ceylon Chamber stands committed to taking this process forward to encompass a larger number of students as requested by more and more universities.

    Prof. Mendis, UGC Chairman, said that he was impressed with the commitment and work done by the chamber and the mentors, the transformation that the undergraduates have undergone and their new levels of confidence.

    Dr. Charles Fernando of the Sri Jayewardenepura University said the programme was "a wonderful and fruitful experience" for both groups. Prof. Vidanapathirana of the Kelaniya University said the mentoring programme has 'genetically engineered' the students and transformed them to successfully face the different challenges of life.


    Stock Market Report

    By Ashwin Hemmanthagama

    A declining market was seen throughout the week with increasing uncertainties after the Katunayake airbase and international aiport came under attack resulting in losses of more than US$ 300 million. The week started with the Colombo bourse declining amidst thin buying interest which saw foreign purchases amounting to Rs. 200,000 out of the daily turnover of Rs. 2.5 million. At the end of the day's trading, the All Share Price Index declined by 1.27 points to end at 421.77 & the Milanka Price Index by 2.33 points to end at 626.44.

    Among the major trades that took place on Tuesday, Pelwatte Sugar Industries Ltd with transactions of upto 124,000 shares ended at Rs. 5. The hotels and travels sectors are expected to go through difficult times due to the LTTE attacks.

    While the total turnover for the day stood at Rs. 6.6 million a slight improvement was seen in the Milanka Price Index by 1 point to close at the 619 level on Wednesday. Local insurer, Sri Lanka Insurance Corporation, confirmed that it has insured the SriLankan Airlines fleet that came under terrorist attack on Tuesday.

    A significant foreign trade of 421,000 shares of Associated Motorways Ltd helped to improve turnover levels on a gloomy market day on Thursday along with other transactions of 500,000 shares of Royal Palm Beach Hotel Ltd. and 201,000 shares of Associated Electricals Ltd. Both companies have been silent for some time at the Colombo bourse. However, the All Share Price Index remained flat at 417.00, while the Milanka Price Index increased slightly by 0.5 points ending at 620.

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