Is the Sri Lankan market open for foreigners to invest?
Yes, foreign citizens as well as non-resident Sri Lankans can invest in the CSE. For this purpose foreign investors should have an account called "Securities Investment Account" (SIA) [formerly known as SIERA] and non-resident Sri Lankans should have an account called "Rupee Account for Non-resident Sri Lankan Investment" (RANSI).
Please explain to me what SIERA and RANSI accounts are?
SIERA is now known as SIA and SIA stands for Securities Investments Account which is a LKR account which eligible investors could open to invest in Government Securities (treasury Bills and Treasury Bonds), Shares of listed companies on the CSE and Units of Unit Trusts in Sri Lanka. Funds for investments in the said securities should be channeled through this account and the remittances such as dividends and sales proceeds should also be channeled through this account.
The following people are eligible to open SIA accounts:
- Foreign institutional investors such as country funds, regional funds or mutual funds
- Corporate bodies incorporated outside Sri Lanka
- Citizens of foreign states, whether resident in Sri Lanka or outside Sri Lanka
Non-resident Sri Lankans
- Sri Lankan professionals living in Sri Lanka who receive inward remittances
- Dual citizens who receive inward remittances
RANSI stands for Rupee Account for Non-Resident Sri Lankan Investment. Non-resident Sri Lankan citizens who have taken up employment abroad or set up a business and continue to live abroad could remit money for investments in Sri Lankan companies through RANSI Accounts (Rupee Accounts for Non-Resident Sri Lankan Investments), maintained with authorized dealers.
Funds channeled through this account could be used for investment in Government Securities, shares of companies, debentures, Units of Unit Trusts and in real assets such as land and building. All inflows arising out of these investments could be credited to this account and would be free to be taken back without exchange control restrictions.
What do I have to do to get a CDS account?
To invest in the CSE the foreign investors must have a CDS account. Foreign investors may open an account either directly through a stock broker or through one of the Commercial Banks offering custodian services.
The following documents are needed to open a CDS account:
- Foreign Individuals
- A copy of the valid Passport
- CDS Form 1 - Application for opening of a Securities Account for Individuals
- CDS Form 1(A) - Declaration form to be submitted for Individuals
- Billing proof as per the Rules issued by the Financial Intelligence Unit of Sri Lanka
- SIA account details with proof
Further if you are opening the CDS account using Power of Attorney (POA) a copy of the POA is also needed.
Non-resident Sri Lankans
- A copy of a valid Sri Lankan Passport.
- CDS Form 1 - Application for opening of a Securities Account for Individuals
- CDS Form 1(A)- Declaration form to be submitted for Individuals
- CDS Form 1 (C) - Declaration form to be submitted for non-resident Sri Lankan individuals
- Proof of residency document as per the Rules issued by the Financial Intelligence Unit of Sri Lanka
- RANSI account details with documentary proof
Are there any minimum requirements that foreigners have to fulfill prior to investing?
There are no minimum requirements in terms of funding. If you have opened the CDS account by providing the above details you can start trading at any moment.
How easy it is to take money in and out of Sri Lanka?
Unlimited wiring of funds in an out of Sri Lanka is enabled through the SIA/RANSI accounts as these accounts are designated for share transactions.
What International Banks Operate in Sri Lanka?
Most international Banks including the following have been established and perform business in Sri Lanka for a long time
The Hongkong and Shanghai Banking Corporation
Web :www.hsbc.lk
Tel : +94 11 4472224
AmericanExpress Bank
Web : http://www.americanexpress.com
Tel : +94 11 4414141
Habib Bank Limited
Web : http://www.hbl.com
Tel : + 94 11 2326565
Standard Chartered Bank
Web : http://www.standardchartered.com/lk/en/
Tel : +94 11 2433302
Citibank
Web : http://www.citigroup.com/citi/global/lka.htm
Tel : +94 11 4794711
Deutsche Bank
Web : http://www.db.com/srilanka/
Tel : +94 11 2447062
State Bank of India
Web : https://www.onlinesbiglobal.com/64LK/web/index.htm
Tel : +94 11 2326133
ICICI Bank
Web : http://www.icicibank.lk/
Tel : +94 11 4242448
Indian Overseas Bank
Web : http://www.iob.in/colombo.aspx
Tel : +94 11 2320515
Indian Bank
Web : http://www.indianbank.in/colombo.php
Tel : +94 11 2447163
How big is Colombo Stock Exchange compared to other exchanges?
Colombo Stock Exchange has had the most phenomenal growth in the last two years expanding 89.20% and 73.69% in 2009 and 2010 respectively. CSE was the best performing market in the year 2009 and 2010 consecutively. In year 2008 as in most other markets in the world CSE had a negative growth in light of the global financial crisis.
Globally Colombo Stock Exchange is fast catching up to its counterparts, becoming 34th on the global rank of most number of trades and 44th on total value of shares traded in the year 2010. CSE is also ranked 46th globally on market capitalization. Currently there are approximately 245 companies listed in CSE and is expecting about 50 IPOs within this year.
Ref :
http://bespokeinvest.typepad.com/bespoke/
http://www.asiaetrading.com/2010-exchange-statistics-for-asia/
How is Sri Lankan Economy doing over the last few years?
Sri Lankan economy has been enjoying a very steady economic growth despite the global economic meltdown and had achieved GDP growth of 6.90% in the year 2010 and the country's Central Bank is predicting 8.2% growth in the year 2011.
Sri Lanka's strongest sector is Services with a contribution of approximately 57.7% to the GDP in the year 2009 while Industry and Agricultural sectors contributed 29.7 % and 12.6% respectively.
Sri Lanka has a very good infrastructure system and an effective banking system making the perfect environment for new businesses. Sri Lanka heavily encourages foreign investments and offers vast range of incentives to foreigners who want to setup business in Sri Lanka.
Tell me about Sri Lanka, briefly?
Sri Lanka (formerly Ceylon) is an island in the Indian Ocean, lying east of the southern tip of the Indian subcontinent. Sri Lanka is about the size of Tasmania, with an area of 66,000 square km, including 870 square km of inland waters. The population of Sri Lanka is 20 million, with 2.2 million people living in the capital city of Colombo. Sri Lanka's official languages are Sinhala and Tamil, although English is commonly used in government and in business. The major religions in Sri Lanka are Buddhism (69 per cent), Hinduism (15 per cent), Christianity (8 per cent) and Islam (7 per cent). The currency is the Sri Lankan Rupee.
Considered by many as a paradise island, Sri Lanka has become one of top tourism hot spots in the world and is ranked on top by some of the leading names such as National Geography, Time Magazine, Yahoo! Travel. Sri Lanka offers unparallel diversity of tourist attractions including, gorgeous beaches, ancient cities, Wildlife & Animals, Eco Tourism, shopping, mouth watering Sri Lankan dishes, Ayurvedic massages to name few. Nation known for its hospitality and array of luxury hotels offering services at much lower rates compared many other countries make it one of the most complete destinations in the world today. Direct flights to Sri Lanka are available from Asia, Europe and the Middle East.
For more information visit http://www.srilanka.travel/
Copyright: Sri Lanka Equity Analytics
www.srilankaequity.com
Yes, foreign citizens as well as non-resident Sri Lankans can invest in the CSE. For this purpose foreign investors should have an account called "Securities Investment Account" (SIA) [formerly known as SIERA] and non-resident Sri Lankans should have an account called "Rupee Account for Non-resident Sri Lankan Investment" (RANSI).
Please explain to me what SIERA and RANSI accounts are?
SIERA is now known as SIA and SIA stands for Securities Investments Account which is a LKR account which eligible investors could open to invest in Government Securities (treasury Bills and Treasury Bonds), Shares of listed companies on the CSE and Units of Unit Trusts in Sri Lanka. Funds for investments in the said securities should be channeled through this account and the remittances such as dividends and sales proceeds should also be channeled through this account.
The following people are eligible to open SIA accounts:
- Foreign institutional investors such as country funds, regional funds or mutual funds
- Corporate bodies incorporated outside Sri Lanka
- Citizens of foreign states, whether resident in Sri Lanka or outside Sri Lanka
Non-resident Sri Lankans
- Sri Lankan professionals living in Sri Lanka who receive inward remittances
- Dual citizens who receive inward remittances
RANSI stands for Rupee Account for Non-Resident Sri Lankan Investment. Non-resident Sri Lankan citizens who have taken up employment abroad or set up a business and continue to live abroad could remit money for investments in Sri Lankan companies through RANSI Accounts (Rupee Accounts for Non-Resident Sri Lankan Investments), maintained with authorized dealers.
Funds channeled through this account could be used for investment in Government Securities, shares of companies, debentures, Units of Unit Trusts and in real assets such as land and building. All inflows arising out of these investments could be credited to this account and would be free to be taken back without exchange control restrictions.
What do I have to do to get a CDS account?
To invest in the CSE the foreign investors must have a CDS account. Foreign investors may open an account either directly through a stock broker or through one of the Commercial Banks offering custodian services.
The following documents are needed to open a CDS account:
- Foreign Individuals
- A copy of the valid Passport
- CDS Form 1 - Application for opening of a Securities Account for Individuals
- CDS Form 1(A) - Declaration form to be submitted for Individuals
- Billing proof as per the Rules issued by the Financial Intelligence Unit of Sri Lanka
- SIA account details with proof
Further if you are opening the CDS account using Power of Attorney (POA) a copy of the POA is also needed.
Non-resident Sri Lankans
- A copy of a valid Sri Lankan Passport.
- CDS Form 1 - Application for opening of a Securities Account for Individuals
- CDS Form 1(A)- Declaration form to be submitted for Individuals
- CDS Form 1 (C) - Declaration form to be submitted for non-resident Sri Lankan individuals
- Proof of residency document as per the Rules issued by the Financial Intelligence Unit of Sri Lanka
- RANSI account details with documentary proof
Are there any minimum requirements that foreigners have to fulfill prior to investing?
There are no minimum requirements in terms of funding. If you have opened the CDS account by providing the above details you can start trading at any moment.
How easy it is to take money in and out of Sri Lanka?
Unlimited wiring of funds in an out of Sri Lanka is enabled through the SIA/RANSI accounts as these accounts are designated for share transactions.
What International Banks Operate in Sri Lanka?
Most international Banks including the following have been established and perform business in Sri Lanka for a long time
The Hongkong and Shanghai Banking Corporation
Web :www.hsbc.lk
Tel : +94 11 4472224
AmericanExpress Bank
Web : http://www.americanexpress.com
Tel : +94 11 4414141
Habib Bank Limited
Web : http://www.hbl.com
Tel : + 94 11 2326565
Standard Chartered Bank
Web : http://www.standardchartered.com/lk/en/
Tel : +94 11 2433302
Citibank
Web : http://www.citigroup.com/citi/global/lka.htm
Tel : +94 11 4794711
Deutsche Bank
Web : http://www.db.com/srilanka/
Tel : +94 11 2447062
State Bank of India
Web : https://www.onlinesbiglobal.com/64LK/web/index.htm
Tel : +94 11 2326133
ICICI Bank
Web : http://www.icicibank.lk/
Tel : +94 11 4242448
Indian Overseas Bank
Web : http://www.iob.in/colombo.aspx
Tel : +94 11 2320515
Indian Bank
Web : http://www.indianbank.in/colombo.php
Tel : +94 11 2447163
How big is Colombo Stock Exchange compared to other exchanges?
Colombo Stock Exchange has had the most phenomenal growth in the last two years expanding 89.20% and 73.69% in 2009 and 2010 respectively. CSE was the best performing market in the year 2009 and 2010 consecutively. In year 2008 as in most other markets in the world CSE had a negative growth in light of the global financial crisis.
Globally Colombo Stock Exchange is fast catching up to its counterparts, becoming 34th on the global rank of most number of trades and 44th on total value of shares traded in the year 2010. CSE is also ranked 46th globally on market capitalization. Currently there are approximately 245 companies listed in CSE and is expecting about 50 IPOs within this year.
Ref :
http://bespokeinvest.typepad.com/bespoke/
http://www.asiaetrading.com/2010-exchange-statistics-for-asia/
How is Sri Lankan Economy doing over the last few years?
Sri Lankan economy has been enjoying a very steady economic growth despite the global economic meltdown and had achieved GDP growth of 6.90% in the year 2010 and the country's Central Bank is predicting 8.2% growth in the year 2011.
Sri Lanka's strongest sector is Services with a contribution of approximately 57.7% to the GDP in the year 2009 while Industry and Agricultural sectors contributed 29.7 % and 12.6% respectively.
Sri Lanka has a very good infrastructure system and an effective banking system making the perfect environment for new businesses. Sri Lanka heavily encourages foreign investments and offers vast range of incentives to foreigners who want to setup business in Sri Lanka.
Tell me about Sri Lanka, briefly?
Sri Lanka (formerly Ceylon) is an island in the Indian Ocean, lying east of the southern tip of the Indian subcontinent. Sri Lanka is about the size of Tasmania, with an area of 66,000 square km, including 870 square km of inland waters. The population of Sri Lanka is 20 million, with 2.2 million people living in the capital city of Colombo. Sri Lanka's official languages are Sinhala and Tamil, although English is commonly used in government and in business. The major religions in Sri Lanka are Buddhism (69 per cent), Hinduism (15 per cent), Christianity (8 per cent) and Islam (7 per cent). The currency is the Sri Lankan Rupee.
Considered by many as a paradise island, Sri Lanka has become one of top tourism hot spots in the world and is ranked on top by some of the leading names such as National Geography, Time Magazine, Yahoo! Travel. Sri Lanka offers unparallel diversity of tourist attractions including, gorgeous beaches, ancient cities, Wildlife & Animals, Eco Tourism, shopping, mouth watering Sri Lankan dishes, Ayurvedic massages to name few. Nation known for its hospitality and array of luxury hotels offering services at much lower rates compared many other countries make it one of the most complete destinations in the world today. Direct flights to Sri Lanka are available from Asia, Europe and the Middle East.
For more information visit http://www.srilanka.travel/
Copyright: Sri Lanka Equity Analytics
www.srilankaequity.com
