The Securities and Exchange Commission has implemented key measures in Jaffna to attract people in the North to capital markets.

The SEC met with the Jaffna Managers’ Forum (JMF) to highlight the advantages of them tapping the capital markets for better return for their investments, as well as explore listing. Over 100 members of the JMF such as businessmen, entrepreneurs, professional managers participated in the discussions.

In a parallel endeavor to strengthen the knowledge and resource base towards creating future investors in capital markets, the SEC opened a fully-equipped Capital Markets Information Centre at the University of Jaffna, whilst signing a Memorandum of Understanding to reward the top students of Capital Market Activity, said SEC Chairman Udayasiri Kariyawasam.

The SEC will request the Colombo Stock Exchange to explore the opening of a branch in Jaffna, a move which the Colombo bourse had in its plans in the aftermath of the 2001 ceasefire.

As part of its overall thrust to open up the capital markets to reach the masses, the SEC has decided to issue five more stock broking licenses, and expects the new entrants to ensure opening provincial branches, including in the North and East.

The Securities and Exchange Commission (SEC) yesterday implemented key measures in Jaffna to attract people in the North to capital markets.

In a well coordinated programme, the SEC met with over 100 Northern businessmen, entrepreneurs, professional managers to highlight the advantages of them tapping the capital markets for better return for their investments as well as explore listing.

In a parallel endeavour to strengthen the knowledge and resource base towards creating future investors in capital markets, the SEC opened a fully-equipped Capital Markets Information Centre at the University of Jaffna whilst signing a Memorandum of Understanding to reward the top capital market student. The agreement will also explore further cooperation in the University’s post-graduate programme in addition to imparting knowledge and training to teachers and students.

SEC Chairman Udayasiri Kariyawasam told The Bottom Line from Jaffna that the response from these engagements in the Northern capital town was “very positive and encouraging.”

“We saw tremendous enthusiasm from the business community, professionals as well as academia. We were very inspired and we will talk to financial industry stakeholders in the next few months to see how best the Northern populace could be effectively engaged for a win-win relationship via capital markets,” Kariyawasam said.

The SEC will request the Colombo Stock Exchange to explore the opening of a branch in Jaffna, a move which the Colombo bourse had in its plans in the aftermath of the 2001 ceasefire.

“Jaffna businesses, professionals and academia have been resilient despite the Northern province being battered by the effects of the 30-year-old war. Now that the war is over, we as well as the people in Jaffna expect the province getting back to business and normalcy steadily but surely. We are keen to play our part in this regard,” the SEC Chief added.

Northern province is famous for a deep-rooted savings culture and the challenge would be to see a paradigm shift in their mindsets to move into investing.

Capital market players are confident that with greater engagement and some concrete follow up measures this could be achieved as lasting peace, rebuilding and economic rejuvenation takes place in the North.

The 5000-student strong Jaffna University Vice Chancellor Prof. N. Shanmugalingam hailed the SEC initiatives and noted that the MOU and opening of the Information Centre will enrich the capital markets knowledge and skills base in the Northern province.

“Whilst these linkages are welcome, I personally feel the opening of the A9 route greater public and goods movement will help realise the initial potential for effective synergies between the North and rest of Sri Lanka,” he added.

As part of its overall thrust to open up the capital markets to reach more masses, the SEC has decided to issue five more stock broking licenses provided the new entrants ensure opening provincial branches including the North and East. At present there are around 21 brokers.