Head of Sector Research & Special Projects
Nimesha currently heads the Sector Research & Special Projects team at Frontier Research and oversees the strategic direction and growth of the team. She is responsible for managing reports on selected sectors, with expertise on the Banking & Finance sectors and regularly presenting her views and insights on these sectors catered to the senior level management of Frontier’s clients. She is responsible for leading the effort on client-directed projects, working with local and foreign clients to frame their sector and investment-related publications.
She also leads the research on thematic Equity reports, which is a core part of our ‘Equity Strategy Perspectives’ report series, giving perspectives on the local equity market.
Nimesha has regularly been featured in the media including features on Channel Eye’s ‘Business today’ programme and TV1’s ‘Biz1st – In Focus’ programme. She has also acted as the moderator on panels featuring prominent business leaders, leading economists and sector specialists.
All Media Appearances
Opportunities and Challenges in the Banking Sector
2018 was a challenging year for the banking sector with the need to comply with both local and international directives. In an interview on Business Today, our Product Head of Sector Research, Nimesha Jayakody, shed some light on how well the sector faced these challenges in 2018 and what awaits banks in 2019. Find out more in this video!
Implications of the Inland Revenue Act
Although the government has made improvements to the Inland Revenue Act, the Securities and Exchange Commission Act and the Foreign Exchange Act, the government has been quite slow to implement the progressive policies that have been highlighted in them. So at a policy level these acts have been well received by most parties however, there will be higher costs to the public in the interim when adopting the changes that have been proposed.
Sector performance and growth outlook
The introduction of the Withholding tax on deposits can be seen as an attempt to widen the tax net. Economic growth was adversely impacted last year largely due to the slowdown in the agricultural sector due to adverse weather impacts. However, at present, since Sri Lanka's labour force is more service oriented. We can see a growth in KPOs and BPOs. Sri Lanka's biggest opportunity right now is the tourism sector which is showing great signs of potential growth. However, what we need to focus on is getting access to the Niche markets to drive economic growth and which sector drives it is more or less irrelevant.
Sri Lanka: Banks start the countdown to consolidation
For an economy of US $ 87 bn and a population of 21 mn Sri Lanka has too many banks. Banks will have to compete among limited investors to meet the new capital requirements. Further with the impact of IFRS 9 from this year onward, consolidation within the banking industry remains a viable option.
Implications of the New SEC Act & capital market developments
The Inland Revenue act that the government has introduced is looking at accessibility for the tax payer by means of technology. However, its implementation is questionable do to administrative weaknesses. The Securities and Exchange Commission act is looking at broad-basing the regulatory coverage.
Nimesha Jayakody on the Sri Lankan Banking Sector
A discussion on credit growth, exposure to real estate, non-performing loan ratios and profitability of banks during the previous quarter, recent regulations including BASEL III requirements and the outlook for the future.