The Securities and Exchange Commission of Sri Lanka (SEC) has released data showing a significant increase in foreign purchases following its targeted outreach efforts, demonstrating the impact of sustained engagement with international markets.

According to the SEC's performance "report card" from the Invest Sri Lanka Forum held in Singapore on August 12, 2025, foreign stock purchases from Singapore-based investors rose from Rs. 2.6 billion in the twelve months prior to the forum to Rs. 7.7 billion in the twelve months following the event. This represents a 196% increase in capital inflow from Singapore.

While these targeted results highlight the potential of international promotional campaigns, broader foreign participation in Sri Lanka's capital market is recovering gradually. Foreign investors currently account for only 9% of total stock market turnover. While this is an increase from the 6% recorded in 2025, it remains significantly below the 40% foreign participation rate observed before the country's economic crisis.

Attracting international capital is considered essential to expand and strengthen the local capital market. However, the SEC emphasizes that converting outreach into active trading takes time. Investors do not typically commit funds immediately after attending promotional events. Instead, they undergo an intensive six-to-twelve-month process of conducting independent research, meeting with local companies, assessing market risks, and performing due diligence.

To support this lengthy decision-making process, the SEC's developmental mandate extends beyond pure regulation to active investor education. The Invest Sri Lanka Forums are organized as highly collaborative campaigns, uniting the SEC, the CSE, stockbrokers, fund managers, listed companies, and other key market stakeholders to present a unified investment case to international audiences.

The SEC stated that these collaborative outreach campaigns are vital for helping international investors make informed decisions, noting that the post-Singapore forum figures serve as clear proof that sustained engagement yields measurable results.