Category: Economy
Rs 12Tn loss to EPF is a misrepresentation of opportunity loss: CB Governor
Sri Lanka’s Central Bank chief on Thursday disputed the claim that the Employees’ Provident Fund (EPF) would lose a staggering 12 trillion rupees (USD39 billion) by 2038. The EPF would suffer a loss of Rs 12 trillion, Opposition Leader Sajith Premadasa told Parliament yesterday.He said that an independent think tank had assessed that even based […]
‘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-‘. Fitch typically does not assign Outlooks […]
CA Sri Lanka calls on all stakeholders to support Domestic Debt Optimization
The Institute of Chartered Accountants of Sri Lanka (CA Sri Lanka), in its proud standing as the National Body of Accountants, has played a significant role in strengthening the country’s financial landscape since inception, in addition to fostering growth and assisting the country in achieving its economic objectives. Sri Lanka is today at a crucial […]
World Bank Group Adopts Country Partnership Framework for SL to Help Reset Economy
The World Bank Group’s Board of Executive Directors today discussed the new Country Partnership Framework for Sri Lanka, which aims to help restore economic and financial sector stability and build a strong foundation for a green, resilient, and inclusive recovery. This CPF comes at a time when the country is navigating a severe economic crisis that […]
CB Governor gives firm assurance that safety of 57mn bank deposits will be upheld; EPF would not be touched
During a special press briefing held at the Presidential Media Centre on Domestic Debt Optimization (DDO), Dr. Nandalal Weerasinghe, the Governor of the Central Bank, emphasized the importance of relieving the burden on the banking system caused by the already excessive 50% taxes. This measure aims to safeguard the treasury, strengthen the economy, and ensure […]
Banks welcome CBSL Governor’s assurances on anticipated Govt. announcement on DDR or DDO
The Sri Lanka Banks’ Association (SLBA) has welcomed the assurance by the Governor of the Central Bank of Sri Lanka (CBSL) Dr Nandalal Weerasinghe that financial sector stability will be maintained, and the clarifications provided by the Governor on the relevant process in this regard. In a statement, the SLBA noted that the Dr Weerasinghe’s […]
Harsha calls for legislative amendment to protect holders of domestic debt in a possible restructure
Opposition Parties Stand United for Careful Domestic Debt Restructuring In a press conference held at the Leader of the Opposition’s office, MP Harsha de Silva, expressed his thoughts and suggestions regarding the upcoming domestic debt-restructuring plan in Sri Lanka. He divulged that opposition parties, while cautious about the potential consequences, would discuss the need for […]
Ceylon Chamber calls for political and public support for debt restructuring process
The Ceylon Chamber of Commerce stresses the importance of patience and trust in the domestic debt restructuring process. As emphasized by the Central Bank of Sri Lanka, priority focus will be on maintaining financial system stability and ensuring that depositors will not be adversely impacted. It is vital that we collectively allow for comprehensive and […]
3 ways to make social protection work for Sri Lanka’s poor and vulnerable: WB
One-fourth of Sri Lankans are living in poverty, yet more than 50% are not covered by social protection schemes Fragmentation and poor governance have resulted in an inefficient social protection system Increased transparency, inclusion, adaptability, and accountability mechanisms such as citizen engagement are essential for building a better social protection system The COVID-19 pandemic and […]
SLBA calls for government engagement to facilitate debt recovery process
The Sri Lanka Banks Association (SLBA) has urged policymakers to engage with commercial banks via the Central Bank of Sri Lanka (CBSL) to ensure a comprehensive and well-coordinated approach to alleviating the stress felt by the industrialists in loan default, following the COVID-19 pandemic and the economic crisis. The Association, which represents all Licensed Banks […]
Role of alternative financing mechanisms to address Sri Lanka’s debt overhang
By Imesha Dissanayake The common path followed by almost all IMF member countries in response to sovereign debt crises in recent decades, is to enter into an IMF supported stabilisation and structural adjustment programme. Sri Lanka has been a country that has followed this trend repetitively, having entered into 16 economic stabilisation programmes during 1965-2020, […]
Eran submits VAT amendment bill to restore Parliamentary powers on public finance
Opposition MP Eran Wickramaratne submitted a private members Bill to amend the Value Added Tax (VAT) Act, No 14 of 2002 to transfer the powers vested in the Minister of Finance to Parliament, Friday. The new bill proposes that any order made by the Minister of Finance shall come into force only upon the approval […]