ANNUAL REPORT 2019/20 THE CEYLON CHAMBER OF COMMERCE ANNUAL REPORT 2019/20 | THE CEYLON CHAMBER OF COMMERCE At The Celo Chamber o Commerce, we coer ever challee a oortt to re above a elevate or erormace. For earl two cetre, we have re to the ma challee or ecoom ha ace, a remae the oremot romoter o commercal eterre r Laka. Or eerece ormlat eectve tratee to rema at the orerot o a comettve a trblet market b terat vale to the atoal ecoom a the commt we erve. Toa, a we ace the eatve mact a the certat o the CO19 aemc o the ecoom, we are to lt the be commt a emower them wth oortte a arterh to re above the challee o a ot CO19 era. ANNUAL REPORT 2019/20 THE CEYLON CHAMBER OF COMMERCE The Ceylon Chamber of Commerce 1 At The Ceylon Chamber of Commerce, we consider every challenge an opportunity to rise above and elevate our performance. For nearly two centuries, we have risen to the many challenges our economy has faced, and remained the foremost promoter of commercial enterprise in Sri anka. Our eperience is in formulating effective strategies to remain at the forefront of a competitive and turbulent market by integrating value to the national economy and the community we serve. Today, as we face the negative impacts and the uncertainty of the COVID-19 pandemic on the economy, we aspire to uplift the business community and empower them with opportunities and partnerships to rise above the challenges of a post COVID-19 era. ANNUA REPORT 2019/20 THE CEYON CHAMBER OF COMMERCE CONTENTS 03 Vision, Mission and Mark of Quality 04 Highlights of Flagship Events 08 What We Do at The Ceylon Chamber of Commerce 10 Statement of Financial Position - Summary 11 Statement of Comprehensive Income - Summary 12 Revenue Composition 13 Revenue Growth Analysis 14 Non-Current Assets 15 Equity and Reserves STEWARDSHIP 18 Chairman’s Statement 21 Message from the Secretary General and CEO 22 Board of Directors 27 Chamber Committee 2019/2020 30 Management Team of the Chamber 32 Special Report - COVID-19 Update CHAMBER OVERVIEW 36 Chamber Services 45 Business Development Services 46 Special Projects 48 Bilateral Business Promotion 61 Events GOVERNANCE 68 Corporate Governance 72 Risk Management 74 HR Management 82 CSR and Sustainability 84 Partners FINANCIAL INFORMATION 102 Independent Auditors’ Report 104 Statement of Financial Position 106 Statement of Comprehensive Income 107 Statement of Changes in Funds 108 Statement of Cash Flows 110 Notes to the Financial Statements 137 Ten-Year Summary The Ceylon Chamber of Commerce 3 VISION To be the benchmark Chamber of Commerce in the Asia Pacific region and the driving force in national economic and social development. MISSION To be the most influential and effective voice of the private sector in promoting an environment conducive to national economic development within a framework of sustainable social equity. MARK OF QUALITY The Chamber maintains the ISO standards – ISO 9001:2008 and this is sustained throughout the year. Scan the QR Code with your smart device to view this report online. Read online Annual Report of The Ceylon Chamber of Commerce 4 Annual Report 2019/20 HIGHLIGHTS OF FLAGSHIP EVENTS 2019 Sri Lanka Investment and Business Conclave The Ceylon Chamber of Commerce organised the Sri Lanka Investment and Business Conclave 2019, under the theme ‘Explore: Network: Capitalise’ on 16 September, for the fourth consecutive year at the Shangri-La Colombo. The conclave focused on bringing in investments into the areas of Agriculture, Apparel, Education, Export Manufacturing, Export Services, Infrastructure, Knowledge Services, Tourism and Leisure, Power & Energy, Telecommunications and Related Services, Ports Development, Distribution of Petroleum-related products such as LPG & LNG and Recycling of Waste. The Conclave was organised in association with the Ministry of Development Strategies and International Trade, Ministry of Foreign Affairs, Ministry of Finance, Ministry of Industry and Commerce, Board of Investment of Sri Lanka, the Department of Commerce and the Sri Lanka Export Development Board with the support of Sri Lanka diplomatic missions overseas and foreign diplomatic missions in Sri Lanka. In the aftermath of the Easter Sunday attacks, a decreased number of participants compared to previous year was observed; 74 participants from 22 countries and 82 participants from Sri Lanka attended the Conclave 2019. The Ceylon Chamber of Commerce 5 Future of Business Innovation Summit The Ceylon Chamber of Commerce hosted its flagship ‘Future of Business’ event, featuring local and international experts of innovation, and those who are driving change within their organisations on 23 October 2019, at the Galle Face Hotel. This transformative one-day event was an ideal opportunity for C-suite officers and senior executives in technology, strategy, marketing, HR and new business development to gain practical insights for developing their businesses. It also featured local and international champions and ‘doers’ of innovation. Participants were given unique insights into specific by those driving change in the retail, advertising, tourism, insurance, and apparel sectors. The event featured sessions on Innovation Tactics, Moving and Finding the Right FIT, and The Future of the Modern Workplace – Powered by AI, driven by People. The sponsors of the event had Microsoft as its Platinum Sponsor, McKinsey & Company as the Knowledge Partner and MiHCM as the Associate Sponsor. 6 Annual Report 2019/20 HIGHLIGHTS OF FLAGSHIP EVENTS Sri Lanka Economic Summit 2019 Focusing on the future, the Sri Lanka Economic Summit 2019, conducted on 17-18 September, was themed around Recalibrating Sri Lanka’s Economic Trajectory Towards 2025 (RE-SET 2025). The two-day event convened key policymakers, business leaders, and top international thought leaders to deliberate on key proposals and reforms that needs to be implemented in the period leading up to 2025, for Sri Lanka to realise its true economic potential. Consisting of six sessions and a Presidential Forum, the panels focused on reforming State-Owned Enterprises, Technologies Transforming Economies, and Global Dynamics in the Next Decade, among other topics. It also saw the launch of The Ceylon Chamber’s working draft of the 2020-25 Sri Lanka Economic Acceleration Framework (SEAF), a collective aspiration and action plan to guide the country’s economy from an 89Bn USD economy, to a 134Bn USD economy within a five-year period. The Ceylon Chamber of Commerce 7 Best Corporate Citizen Sustainability Award The Best Corporate Citizen Sustainability (BCCS) Awards, an annual event organised by The Ceylon Chamber of Commerce, is aimed at encouraging corporate institutions to adopt best sustainability practices and focuses on all stakeholders of the company ranging from Environment, Employees, Customers, Suppliers, Community, Government and Shareholders. It recognises sustainable champions of the local corporate sphere, and this year Aitken Spence PLC won the coveted ‘Best Corporate Citizen Sustainability Award 2019’, while Commercial Bank of Ceylon PLC and Hatton National Bank PLC became the First and Second Runner Up of the competition, respectively. The awards ceremony was held on 28 November 2019, at the Cinnamon Grand Hotel, Colombo amidst a gathering of 350 top corporate executives. His Excellency David Holly, High Commissioner for Australia, attended the event as the Chief Guest and delivered the keynote address. Access Engineering PLC, Aitken Spence PLC, Bank of Ceylon, Commercial Bank of Ceylon PLC, CBL Investments PLC, Citizens Development Business Finance PLC, Hatton National Bank PLC, National Development Bank PLC, People’s Leasing and Finance PLC and Sampath Bank PLC were recognised as the top 10 corporate citizens of the year during the awards night. 8 Annual Report 2019/20 WHAT WE DO ol Aoa AT THE CEYLON CHAMBER ol orulaton ure on unee/ ono atonal Aena ottee an teern ottee ol nterenton lap ent Reear r ana netent an une onlae uture o une nnoaton ut r ana ono ut et orporate ten utanalt Aar ere une ntellene 1 aroe peal roet roet anaeent rae netent an our rooton eretaral ere out une r ana ent anaeent A/ ouea pute Reoluton lat ate anaeent oot Auton eae uln oeral ouent Retraton ater anaeent ntate eelopent ono Reear nolee raner eon an orop The Ceylon Chamber of Commerce 9 ol Aoa ol orulaton ure on unee/ ono atonal Aena ottee an teern ottee ol nterenton lap ent Reear r ana netent an une onlae uture o une nnoaton ut r ana ono ut et orporate ten utanalt Aar ere une ntellene 1 aroe peal roet roet anaeent rae netent an our rooton eretaral ere out une r ana ent anaeent A/ ouea pute Reoluton lat ate anaeent oot Auton eae uln oeral ouent Retraton ater anaeent ntate eelopent ono Reear nolee raner eon an orop 10 Annual Report 2019/20 FINANCIAL HIGHLIGHTS SUMMARY FINANCIALS - STATEMENT OF FINANCIAL POSITION As at 31 March FY 2016 FY 2017 FY 2018 FY 2019 FY 2020 Currency LKR Assets Non-current assets Property, plant and equipment 54,100,402 68,906,271 62,248,343 55,107,435 69,068,561 Intangible assets 1,422,422 950,735 4,678,617 3,538,479 6,045,546 Investment in subsidiaries 100,000 100,000 100,000 - - Deferred tax assets 26,607 441,191 835,848 Long term investments 27,400,211 26,957,258 27,260,606 17,128,967 12,474,389 83,023,035 96,914,264 94,314,173 76,216,072 88,424,344 Current assets Inventories 929,243 1,079,296 1,174,072 1,479,483 1,454,830 Receivables 14,303,018 17,235,115 18,929,315 22,813,784 25,065,910 Amount due from subsidiary