Businesses will fight back
The recent inhuman terror attacks have crippled all types of businesses with owners and managements of these institutions uncertain about the immediate future, but vowing to fight back.
For starters, some of them will be meeting state authorities to devise action plans for the way forward. This will be done through the chambers who will meet with the government authorities to propose and discuss action plans to address the setback created by recent terror attacks.
Shiham Marikar Secretary General//CEO, National Chamber of Exporters (NCE), representing local exporters, told the Business Times that NCE will meet with two ministries next week to propose some action plans in order to help exporters us to overcome this situation. "We will be meeting with the Ministry of Development and International Strategies to build a public private partnership programme with them and other stakeholders to engage in an aggressive promotional activity to uplift confidence of the overseas buyer," he said. He added NCE has called a meeting with the Ministry of Foreign Affairs as well. "We want to propose that damage control should be carried out by foreign missions,” Mr. Marikar noted adding that now is the time to fight back and regain the lost confidence.
According to some exporters, their buyers had called them to inquire about the security situation of the country at present and to ask if they can supply the goods without a break. "They informed that they would be looking for alternatives if we can't meet the timelines to export," an exporter told the Business Times. Mostly exporters in ceramic and porcelain and fruit and vegetable suppliers to resorts in Maldives saw an immediate concern, he said.
Exporters trading with West Asian retailer Lulu Group's hypermarket in Dubai and Tesco plc trading as Tesco, a British multinational groceries, said it's important that trade counsellors in these stations meet up with these businesses to communicate that exporters are regrouping.
Almost all major construction sites are closed due to the prevailing situation, the Business Times learnt.
Chairman, Chamber of Young Lankan Entrepreneurs (COYLE)
Aminda Rodrigo highlighted the importance of the government ensuring national security. ‘We are also trying to let this week past and analyse from next week how we can continue," he told the Business Times.
There were openings in this whole tragedy to uplift this situation. Certain insurance firms were offering terrorism cover for customers. Some have sent messages noting that considering the prevailing situation, they recommend it is obtained for the insurance policy.
Manjula de Silva, Chairman of National Insurance Trust Fund (NITF) said the NIFT has decided to provide Rs. 25 million in advance insurance claims to The Kingsbury and Cinnamon Grand hotels each following terror attacks across eight locations in the country on Easter Sunday.
“The assessment process has started,” he said noting that each hotel has a terrorism policy cover capped at Rs. 250 million. He said the hotels will have to bear 10 per cent or Rs. 25 million of this total.
According to him now many are requesting for terrorism cover policies. He said it is expected that many will apply for terrorism, for their vehicles. "Now what has been promoted is the riot cover, but after this incident we expect terrorism coverage policies to increase."
Thursday's share trading was centered around John Keells Holdings (JKH), which was bought by foreign institutions, trading nearly US$10 million which added to 90 per cent of the total trading on the Colombo Stock Exchange ( CSE). Foreign buying in this share was $7 million.
Ray Abeywardena, Chairman CSE told the Business Times that Sri Lanka has been resilient so far, which is a plus pint. "The stock market has been resilient through such dark periods before too. We are confident that not only as a market, but as a nation, we will rise above terrorism and become a strong nation once again. We pray that God will console and strengthen them."