Colombo Stock Exchange shuts 38 seconds after reopening, records a major plunge

Edited By: Bharat Sharma WION Web Team
New Delhi, India Published: May 11, 2020, 05.29 PM(IST)

Colombo Stock Exchange Photograph:( AFP )

Story highlights

As soon as the market reopened, the prices fell by 10 per cent, which forced the exchange to stop trading

Sri Lanka’s stock exchange tried to reopen today, but was shut just 38 seconds after being opening.

This was owing to a plunge in share prices, which further created a circuit breaker, AFP reported.

When the government imposed a nationwide lockdown on March 20, the stock market was closed. It was only after 52 days that the market attempted to reopen today.

As soon as the market reopened, the prices fell by 10 per cent, which forced the exchange to stop trading.

Also read: Sri Lanka to target high-spending tourists to revive tourism

South Asia has witnessed the decimation of key sectors of the economy like tourism, and exports.

Since January 27, when country reported its first coronavirus case, the top 20 stocks have fallen by 38 per cent.

Last year’s bombing on Easter Sunday caused a major setback to the country’s economy, which primarily relies on tourism. The lockdown measures are being relaxed starting today to revive the economy of the country.

Just last week, the country requested its 1.5 million government employees to donate their May salary to the government, which would save 100 billion rupees ($525 million) and close the budget deficit.

The country’s health officials claim that the outbreak in the country remains controlled, with offices slowly reopening across the country.

Also read: Sri Lanka asks government employees for May salary to boost economy amid shutdown

Towards the end of March, Sri Lanka had requested international nations a debt moratorium to assist in grappling with the pandemic.

Just last week, the country requested its 1.5 million government employees to donate their May salary to the government, which would save 100 billion rupees ($525 million) and close the budget deficit.

As of Monday, Sri Lanka has recorded 863 cases of COVID-19 with nine deaths.

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