Two years ago, investors, stockbrokers and the general public were in fervent hope that a change in government will see a shift in economic policy, change in attitudes in governance, the Colombo Stock Exchange’s (CSE) indices will outperform, more investment will come into the country, and the wish list goes on.
But what happened?
All things in the stock market boils down to expectations. People expected growth and hype with the change in regime, but economic reality points out to the ‘hospital’ scenario and things are just so messy. Look at the situation for the past two years and you’ll know it to be true.
The CSE has lost Rs. 80 billion last year. With the current political/economic backdrop, who knows how much more it’ll lose.