Jan 13 (Reuters) - Sri Lanka's main stock index fell on Tuesday after foreign investors sold shares, expecting greater clarity on economic policy from the newly-elected government led by President Maithripala Sirisena, stockbrokers said.
The main stock index, which gained 0.31 percent earlier in the day, closed down 0.22 percent, or 16.85 points lower, at 7,549.85. The index closed at its highest since March 2011 on Friday.
Foreign investors, who had bought a net 22.07 billion rupees worth of stocks last year, sold a net 404.9 million rupees worth shares on Tuesday.
"Everybody is waiting for economic policies of the (new) government," a stockbroker said.
Sirisena announced an interim cabinet on Monday and said he would carry out reforms to fight corruption in the 100 days to a parliamentary election, likely after April 23.
Ranil Wickremesinghe, the leader of the pro-business opposition United National Party, has been appointed Prime Minister, boosting investor sentiment.
Sirisena defeated former President Mahinda Rajapaksa - who contested for a third term - ending a decade of rule that critics say had become increasingly authoritarian and marred by nepotism and corruption.
Colombo Leasing and Finance Plc fell 6.25 percent, while Union Bank of Colombo Plc lost 3.11 percent, leading the overall index decline.
The day's turnover stood at 1.32 billion rupees ($10.05 million), less than last year's daily average of 1.42 billion rupees, stock exchange data showed.
The markets will be closed for a special holiday on Wednesday in view of Pope Francis' visit to Sri Lanka, while they will be shut for a Hindu religious holiday on Thursday. Normal trading will resume on Friday.
The main stock index, which gained 0.31 percent earlier in the day, closed down 0.22 percent, or 16.85 points lower, at 7,549.85. The index closed at its highest since March 2011 on Friday.
Foreign investors, who had bought a net 22.07 billion rupees worth of stocks last year, sold a net 404.9 million rupees worth shares on Tuesday.
"Everybody is waiting for economic policies of the (new) government," a stockbroker said.
Sirisena announced an interim cabinet on Monday and said he would carry out reforms to fight corruption in the 100 days to a parliamentary election, likely after April 23.
Ranil Wickremesinghe, the leader of the pro-business opposition United National Party, has been appointed Prime Minister, boosting investor sentiment.
Sirisena defeated former President Mahinda Rajapaksa - who contested for a third term - ending a decade of rule that critics say had become increasingly authoritarian and marred by nepotism and corruption.
Colombo Leasing and Finance Plc fell 6.25 percent, while Union Bank of Colombo Plc lost 3.11 percent, leading the overall index decline.
The day's turnover stood at 1.32 billion rupees ($10.05 million), less than last year's daily average of 1.42 billion rupees, stock exchange data showed.
The markets will be closed for a special holiday on Wednesday in view of Pope Francis' visit to Sri Lanka, while they will be shut for a Hindu religious holiday on Thursday. Normal trading will resume on Friday.
($1 = 131.4000 Sri Lankan rupees)
(Reporting by Shihar Aneez; Editing by Biju Dwarakanath)
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