Central Bank maintains policy interest rates at current levels
The Monetary Board of the Central Bank of Sri Lanka has decided to maintain the Standing Deposit Facility Rate (SDFR) and the Standing Lending Facility Rate (SLFR) of the Central Bank at their current levels of 11.00 per cent and 12.00 per cent, respectively. The Board arrived at this decision, at its meeting held on […]
CBSL monitoring if bank lending rates are adequately lowered
The Central Bank of Sri Lanka (CBSL) is conducting special monitoring to determine if the lending rates have been adequately reduced by licensed commercial banks, Finance State Minister Ranjith Siyambalapitiya says. The lawmaker acknowledged the fact that the banking system is faced with numerous practical issues when lowering the lending rates. In late July, the […]
CBEU raises concerns over concealment of report on irregularities in state banks
The Ceylon Bank Employees Union (CBEU) has raised concerns over the concealment of the report compiled by the committee appointed to probe the irregularities within state banks. Accordingly, CBEU Chairman Channa Dissanayake stated that as a result of the non-publication of the report, the corruption and fraud taking place within state banks remain undisclosed. He […]
Monetary policy transmission still incomplete, says Sri Lanka central bank chief
Monetary policy transmission to the real economy in Sri Lanka is still incomplete, the governor of the country’s central bank, Dr. Nandalal Weerasinghe, said at a LSEG FX Community Event on Monday (Aug 7). Weerasinghe said he would like to see private sector interest rates come down further and at a faster pace, adding that […]
Cabinet nod to obtain USD 200 mn World Bank funding for social security programs
The Cabinet of Ministers has granted approval to enter into an agreement with the International Development Association of the World Bank Group in order to obtain funding for the implementation of a project to strengthen the social security system in Sri Lanka. Earlier on May 08, 2023, the Cabinet had approved to negotiate agreements with […]
Sri Lankan Rupee ends slightly stronger against USD
The Sri Lankan Rupee registered slightly firmer against the US Dollar today (24), as per the figures of the Central Bank of Sri Lanka (CBSL). Accordingly, the buying rate of a US dollar was reported at Rs.321.10, while the selling rate was recorded at Rs.334.55.
Sri Lanka’s debt restructuring to ease insurers’ investment, liquidity pressures
The Sri Lankan government’s debt restructuring plan is likely to reduce investment and liquidity risks for domestic insurers, Fitch Ratings says. Fitch expects pressure on insurers’ investment and capital profiles to ease as the proposed plan will not have direct impact on the local-currency government debt holdings of insurers, banks and non-banking financial institutions. Nonetheless, […]
World Bank Country Director commends Sri Lanka’s reform efforts
World Bank Country Director for Maldives, Nepal and Sri Lanka Faris Hadad-Zervos has commended Sri Lanka’s efforts thus far with regards to finding solutions for the island’s economic crisis. Speaking at an event held in Colombo on Tuesday (18 July), Faris highlighted the importance of maintaining the ongoing programme, and the need for the people […]
Sri Lanka’s central bank expect inflation to drop to 7% in July
The Central Bank of Sri Lanka says inflation is expected to come down to a 7 percent level in July 2023, an official said on Thursday (06 July). “The headline inflation is expected to decline further and stabilize around mid-single-digit level or the medium term, and in July, this month, we expect inflation to return […]
Fitch downgrades Sri Lanka’s Long-Term Local-Currency IDR to ‘C’
Fitch Ratings has downgraded Sri Lanka’s Long-Term Local-Currency (LTLC) Issuer Default Rating (IDR) to ‘C’ from ‘CC’. The issue ratings on local-currency bonds have also been downgraded to ‘C’ from ‘CC’. The Long-Term Foreign-Currency (LTFC) IDR has been affirmed at ‘RD’ (Restricted Default) and the Country Ceiling at ‘B-’. The downgrade of Sri Lanka’s LTLC […]