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The benchmark Colombo All Share Index rose 40 points (0.86 percent) to 4,798.7 and the Milanka Index of liquid stocks rose 23 point (0.55 percent) to close at 4,264.7 points, according to provisional stock exchange data.
Turnover was 309 million rupees.
Sri Lanka's stocks have fallen 21 percent in 2012, as higher interest rates and a balance of payment crisis accelerated the burst of a credit fired stock bubble.
In recent weeks foreign buying had picked up. On Friday foreign purchases were 84 million rupees against sales of 75 million rupees.
Commercial Bank of Ceylon closed at 102.00 rupees up 1.80 rupees, Chevron Lubricants rose 2.10 to close at 165.10 rupees, Carsons closed at 467 rupees up 5.
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90 rupees and HNB closed flat at 145.00 rupees.
John Keells Holdings closed down 40 cents at 178.70 rupees with 340,000 shares traded.