Foreign inflows originating from Australia have recorded a marked improvement during April, recording a surge following the Invest Sri Lanka Investor Fora in Australia.
The daily average inflows originating from Australia since the fora has improved to Rs. 23.22 million, rising from an average of Rs. 0.87 million recorded over the preceding 11 months.
In total, Australian inflows have contributed a total of Rs. 487.62 million since the events Down Under – a 94% portion of the total purchases originating from the country this year.
The post forum surge in investment from the country has also placed Australia as the seventh largest contributor to foreign purchases in the month of April, a marked improvement from its ranking of 14 prior to conducting the events this year and 19 last year.
The Head of Market Development at CSE, Niroshan Wijesundere said, “We are pleased to see the events in Australia having a positive effect on the turnover flowing in from the county.”
“This is consistent with a trend that we have experienced with Foreign Investor Forums conducted in the past, where these events almost immediately rejuvenate the interest in the Sri Lankan capital market,” he said.
“The presence of stock brokers who travelled with the delegation to Australia also played a vital role in following up and securing such investments,” Wijesundere said.
He also pointed out that partnering with event sponsors and the Sri Lankan High Commission in Australia, the Australian High Commission in Sri Lanka, bilateral associations and business councils was critical to hosting three successful fora in Sydney and Melbourne.
A strong community of people with a Sri Lankan origin eager to look at new Sri Lankan investment opportunities and the celebration of 70 years of diplomatic ties between Sri Lanka and Australia presented the CSE with a unique opportunity to promote the capital market in Australia.
Overall foreign investor activity has also recorded a rise this year, with a net foreign inflow of Rs.16.5 billion, a vast improvement compared to previous years, which recorded an inflow of Rs. 383.5 last year and an outflow of Rs. 5.3 billion in 2015.
Foreign investor contribution to total turnover in 2017 stands at 50.1%, another improvement in comparison with 42.0% in 2016 and 34.4% in 2015, which also points towards a growing interest among foreign investors in the Sri Lankan capital market.