Stockbrokers hail development oriented budget
The Colombo Stock Brokers Association (CSBA), representing 23 Stock
Broking companies wishes to thank His Excellency the President Mahinda
Rajapakse on the unprecedented policy initiatives proposed to develop
the capital market in 2013 according to the proposals included in the
National Budget presented in parliament on last Friday.
We, as one of the major stakeholders of the capital market of Sri
Lanka are elated that the important and the urgent need to develop the
capital market has been duly recognized by as the Finance Minister. The
key proposals announced in the Budget impacting the capital market
demonstrate the desire of the government to see a vibrant capital market
in the immediate future.
We are also grateful to Dr.P.B.Jayasundara ,the Secretary to the
Treasury, , for giving due considerations to the urgent needs of the
capital market when formulating the budget proposals for 2013.
Introducing a 3-year 50% tax holiday for new companies to be listed
at the CSE with a public float of at least 20% on or after 01/04/2013,
exempting stamp duty for the transfer of shares to and from margin
trading account effective from 01/01/2013 are some of the measures that
will translate into improved liquidity at the Colombo bourse.
Permitting lump sum depreciation up to 100% for the stock broking
companies for IT infrastructure development and branch office
establishment with effect form 01/04/2013 would no doubt help the market
intermediaries to evolve into full fledged brokerage houses on par with
their peers in the international arena. Proposals impacting the debt
market and the unit trust industry are also very encouraging.
CSBA is extremely happy that the H.E. President has proposed to
appoint a Presidential Task Force to implement a Capital Market
Development Master Plan. We see this as the most important proposal
impacting positively on the capital market. Therefore we thank H.E. the
President for the long term vision to create and nurture a capital
market that would contribute towards nation building.
We also take this opportunity to thank the SEC Chairman for
submitting market positive proposals during the budget preparation stage
while supporting the CSBA’s proposals and following a consultative
approach since his appointment. |
