Share prices rose in the banking and financial sector and in several blue chip companies, like JKH,at the Colombo Stock Exchange (CSE) due to a revision of proposed taxes on vehicles and an increase in the loan to value ratio on certain motor vehicles. This gave the market a lift of sorts yesterday, market analysts said.
Under the proposed loan to value ratio, it is said there would be a 90 percent increase on electric vehicles, 70 percent for hybrid vehicles and 50 percent for normal vehicles. Under this system the buyer has to pay a lower amount than the finance company when purchasing vehicles; this is one reason for the boost in the market.
Amid those developments, both indices moved upward, ie, the All Share Price Index by 34.57 points up and S and P SL20 moved up by 43.97 points taking the day’s turnover level to Rs. 717.57 million with three crossings.
Those crossings came from Sampath Bank, whose 300,000 shares crossed for Rs. 103 million at a per share value of Rs. 345, Amana Bank crossed 21 million shares for Rs. 79.8 million at a per share value of Rs. 385 and Cargills Ceylon PLC’s Rs 230,000 shares crossed for Rs. 46.3 million at a per share value of Rs. 201.