How did the stock market react to Sri Lanka's budget announcement?

The stock market responded positively to Sri Lanka's budget announcement, with a notable 1.43% rise in the CSE All Share Index. This favorable reaction reflects investor confidence in the budget presented by President Anuradh Dasanaike, which is a key element in the nation's post-crisis recovery strategy. The budget projects 5% economic growth for 2025 and includes several important fiscal reforms such as targeted fiscal discipline, reduced budget deficit, and plans to increase tax revenue to 15% of GDP. Additional measures like the liberalization of vehicle imports and a substantial minimum wage increase for state employees are expected to enhance state revenue and reduce poverty, further strengthening economic stability in Sri Lanka.