"At present CSE net foreign flow from the beginning of this year to last Friday recorded Rs 2.3 billion, which was just Rs. 2.3 billion for the year 2016 and also showed negative growth in 2015, Hewavithana told The Island Financial Review.
Currently, a road show is happening in Australia and there will be a series of road shows organised to attract foreign investors into the market, he said.
"The total foreign investor contribution to market turnover recorded 42.5%, compared to 34.4% in 2015, while recording a total net foreign flow of Rs. 633.5 million last year compared to the Rs. 5.4 billion in foreign outflow in 2015, he said. "Although both indices in 2016 have been negative, we have seen that there is a foreign net inflow this year. This means that foreigners are still selectively looking at stocks, which I feel provides a good opportunity for the accumulation of stocks because it offers good value right now. I think investors should really make use of this opportunity, Hevawithana added.
"The future potential is huge with many companies in both the state and private sectors waiting for the right time to enter the market, CSE chairman, Vajira Kulathilaka said.
"That is the time they will reach the capital market and that is the time you will really see the capital markets surging, the CSE chairman added.
Meanwhile, the CSE was lacklustre yesterday recording a turnover of Rs. 429 million. Both indices recorded a dip. The All Share Price Index went down by 16.6 points and S and P SL20 by 14.4 points.
Only one crossing or arranged transaction took-place for the day: that was JKH. In JKH 234,000 shares crossed for Rs 31.6 million. The companies that contributed mainly to the CSE turnover were: Agalawatte Plantation Rs. 274 million (15.2 million shares), Sampath Bank Rs 21.1 million (82,000 shares) and KJH Rs 16 million ( 118,000 shares).
Meanwhile, JKSB said of yesterday's CSE trading:.
ASPI: 5,974.94 (-21.34 pts; -0.36%); Val T/O: Rs. 429mn (US$2.82mn); Vol T/O: 22.5mn; Trades: 2,157
Advance/decline ratio: 93/74 ; Top gainer: KDL.N (+20.10%); Top loser: PCP.N (-50.00%)
• The ASPI ended lower amid subdued market turnover. The plantations, banking, and diversified sectors led activity levels in the market, with a crossing seen in JKH. Trading in AGAL amounted to 64% of total turnover.
• Plantations was the most actively traded sector (+0.98%)
• Footwear & Textiles was the best performing sector (+5.32%), supported by gains on ODEL (+10.00%)
• Information Technology was the worst performing sector (-1.68%), dragged down by declines on ECL