Colombo bourse digitalised 

After 35 years, the Colombo Stock Exchange’s (CSE) digitalisation was ceremoniously unveiled on Thursday at the CSE, repositioning the country’s capital mobilisation efforts into the future. 
The CSE has now eliminated all paper and enabled digital account opening, seamless post-trade and settlement and adopting e-contract notes and e-statements. “For decades we have known what was required for our capital market, we knew very well how we could sophisticate our market. However, we have not done that, simply we were not ready when it really mattered during the unprecedented lockdown, that this was the best opportunity to do the right thing, connect the dots and finish what we had put off for a long time by way of a Securities and Exchange Commission (SEC) and CSE joint initiative,” Securities and Exchange Commission (SEC) Director General, Chinthaka Mendis said, addressing the gathering at the ceremony. 
SEC Chairman Viraj Dayaratne agreed in his speech saying, “The wakeup call from that slumber had to come in the form of the deadly COVID-19 pandemic. The inability to keep the stock exchange open during the curfew that was imposed to curb the spread of this devastating pandemic exposed our deficiencies and made us think - and think of change. And that change had to come fast."
The process was complicated and there were many constraints and obstacles along the way, however, the regulatory and operational requirements are now in place to facilitate the new era, Mr. Mendis said. 
Digitalisation efforts will place the stock market in line with emerging markets and it will create a new breed of investors far and wide to unveil the untapped potential of the market, he added. 
He highlighted the need to increase and intensify the use of digital technology, the need to educate the people better, and the need to teach them to invest in the stock market for their dreams. “We believe that the habit of making investments should be inculcated in the minds of our children from their formative age. In a more general sense, I would say, the SEC can no longer be restricted to its traditional role of market regulation and take the conventional approach to boost the confidence of investors.” 
Mr. Mendis added that the SEC has been particularly busy over the past few months, starting with the feasibility study of the entire stock market that they have been focusing on technical and regulatory reforms to make the market business-friendly, particularly to make the market attractive for local and foreign investors. 
He said that it’s no longer possible to sustain economic development at the cost of foreign debt and called on the Prime Minister Mahinda Rajapaksa to not look elsewhere to raise capital to fund the ambitious development projects of his government. 
Recalling the growth story of South Korea, where its president picked winners from the stock market like Samsung, Hyundai and LG that had the required potential and innovation to go beyond, he urged the PM to pick the winners from CSE-listed companies by looking at their potential, drive and commitment. “We need to incentivize and nurture such winners. We need such winning companies to go out and compete with global giants to make headway in economic development, which would change the whole complexion of our stock market; it will convert us to a dynamic entrepreneurial state.” 
Mr. Dayaratne called on the SMEs and start-ups to make use of the market, saying that SEC has relaxed the listing requirements and there is huge potential to raise the much needed capital. (DEC)