Sri Lanka’s legacy of political, geographic fragmentation prevented the formation of its own wealth, Calamander Capital, Singapore Director, Mafaz Ishaq said.
Making opening remarks at a conference on Capital markets 2017 held in Colombo, he said Sri Lanka as a country lacked the ability to accumulate its own wealth due to long drawn political geographic fragmentation. He stressed that private gain, public good need not be in conflict and to reinforce this principle, proactive polices and regulations need to be adopted soon.
“The business case for the development of the capital market is self evident. They mobilise savings from productive investments or the price discovery mechanisms which make the economy more dynamic, efficient and transparent.It is no doubt that robust capital markets are defining the features of every advanced economy.
Commodities and future markets stabilize the price of essential food products and even help prevent famine.
Debt markets enable banks to expand their access to business loans, mortgage finance. Retail investments products like bonds, mutual funds allow families to diversify protect their assets, in order to plan for their important life goals, such as education and retirement.”
Regional sub continental even global integration is more than ever before, he said adding that no amount of technology can ever substitute for trust as market only work when participants believe when they are fair and transparent.
“Quality of corporate governance in the region must be raised, subsequently, Sri Lankan companies would be able to grow into corporations with continental, global reach.” Ishaq said.
He said the capital markets depend on integration technology entrust and they are part of the infrastructure optimism, upon which Sri Lanka’s prosperity arises.
0 comments: