Sri Lankan shares closed lower on Wednesday, dragged by financials and industrials stocks.

The CSE All Share index settled down 0.28% at 8,722.06, falling for second straight session of loss.

Sri Lanka and Thailand could sign a free trade agreement (FTA) by March 2024, a top official of the Indian Ocean nation told Reuters on Wednesday, as it attempts to rebuild its crisis-stricken economy.

The two nations restarted deal negotiations in January, months after a severe financial crisis engulfed Sri Lanka, as its foreign exchange reserves fell to a record low.

On the CSE All Share index, LOLC Finance Plc and Sri Lanka Telecom Plc were the top losers, falling 2% and 1.2%, respectively.

Sri Lankan shares end lower as industrials, communication services drag

Trading volume fell to 19.8 million shares from 25.1 million shares in the previous session.

The equity market’s turnover rose to 554.4 million Sri Lankan rupees ($1.91 million) from 482.2 million rupees in the previous session, according to exchange data.

Foreign investors were net sellers, offloading stocks worth 41.9 million rupees, while domestic investors were net buyers, purchasing shares worth 541.7 million rupees, the data showed.