larger concerns over the outlook remains on account of re-imposition of capital gains, upward revisions in corporate and personal tax as well as Value Added Tax by the Government to shore up revenue to pay for higher debt and previously unaccounted payments of Rs. 1 trillion by the former President Mahinda Rajapaksa regime.
Though fiscal management is likely to improve and weigh positively to fundamentals of the market, the upward pressure on interest rates was another concern in addition to dimmer prospects for corporate earnings in the new financial year.