*ACS Capital Research* *News Alert 23.05.2025* *CBSL eases monetary policy* The Monetary Policy Board yesterday announced its decision to reduce the Overnight Policy Rate (OPR) by 25 bps to 7.75%, thereby easing monetary policy further. Source:https://www.ft.lk/top-story/CBSL-eases-monetary-policy/26-776816 *Colombo stock market reacts positively to CBSL rate cut* The cut in the Overnight Policy Rate (OPR) by the Central Bank of Sri Lanka (CBSL) had a positive impact on the Colombo stock market yesterday, with indices and turnover gaining relatively higher. Source:https://www.ft.lk/front-page/Colombo-stock-market-reacts-positively-to-CBSL-rate-cut/44-776815 *Hemas delivers strong earnings in FY25* Hemas Holdings PLC yesterday announced strong earnings for the financial year ended 31 March 2025 and singled out the continuity of the ‘AAA’ credit rating despite revenue pressures. Source:https://www.ft.lk/front-page/Hemas-delivers-strong-earnings-in-FY25/44-776812 *AMF doubles profits, powers past Rs. 1.78 b in record-breaking year* Associated Motor Finance Company PLC (AMF) has achieved a landmark financial milestone, delivering its strongest-ever performance for the financial year ended 31 March 2025. The company posted a Profit Before Tax (PBT) of Rs. 1.78 billion, representing a remarkable 122% increase over the previous year. Profit After Tax (PAT) soared even higher, rising 136% year-on-year to Rs. 750 million, reinforcing AMF’s emergence as a robust, agile, and forward-focused institution within Sri Lanka’s financial services landscape. Source:https://www.ft.lk/front-page/AMF-doubles-profits-powers-past-Rs-1-78-b-in-record-breaking-year/44-776814 *SL expects third consecutive current account surplus* Sri Lanka is expected to record a surplus in its current account for the third consecutive year in 2025, with a 0.9% of GDP increase projected in the surplus, Central Bank Governor Dr. Nandalal Weerasinghe said. Source:https://www.themorning.lk/articles/aADeKFvP9eo5bHagzo8e *Tea exports rise in April* Sri Lanka’s tea export performance saw a notable uptick in April 2025, with total exports reaching 18.20 million kilograms, marking an increase of 1.82 million kilograms compared to 16.38 million kilograms recorded in April 2024. Source:https://www.ft.lk/front-page/Tea-exports-rise-in-April/44-776811 *India relaxes maritime trade norms with SL* India’s Directorate General of Shipping, in a circular dated 19 May, relaxed foul weather norms for the operation of Mechanised Sailing Vessels (MSV), or “thonies”, between Thoothukudi and Sri Lanka, which would allow trade operations throughout the year. Source:https://www.themorning.lk/articles/AKcjrKbkIOgyX5vSlron *Belarus, Sri Lanka intend to exchange business missions* The Ambassador of Belarus to Russia Alexander Rogozhnik held a meeting with the Ambassador of the Republic of Sri Lanka to the Russian Federation Shobini Gunasekera, BelTA learned from the press service of the Belarusian diplomatic mission. Source:https://www.themorning.lk/articles/1PoSh97DXG0eGOx46O3d