Category: Economy
ComBank launches LankaPay cards in Sri Lanka
Sri Lanka’s payment cards domain took a giant leap today when the Commercial Bank of Ceylon in collaboration with LankaPay launched a national credit and debit card with international acceptance. This National Card Scheme is an initiative implemented by LankaPay in partnership JCB International Co. Ltd, the Japan-based international card, with over 150 million cardholders […]
Domestic debt optimization to be conducted on a voluntary basis based on consultations with major Bondholders
The Authorities are exploring options for a domestic debt optimization (DDO) operation aimed at liquidity relief while preserving financial stability to avoid further eroding of Sri Lanka’s repayment capacity and it is envisaged that this DDO will be conducted on a voluntary basis and be based on the consultations with major T-Bonds holders, the Central […]
‘s government should make sure that wealthy pay their fair share: Human Rights Watch
The government of Sri Lanka should ensure that policies to enhance revenues do not further erode economic and social rights and that anti-corruption reforms provide accountability, Human Rights Watch said today. On March 20, 2023, the International Monetary Fund (IMF) approved a US$3 billion loan to Sri Lanka to help resolve the spiraling economic crisis […]
Sri Lanka’s exports decreased by 8-pct to USD 1Bn in Feb 2023 compared to Feb 2022
Sri Lanka’s merchandise exports decreased by 8.06 % to US$ 1,005.2 Million in February 2023 compared to February 2022 as per the data released by Sri Lanka Customs. However, it is a 5.62% increase when compared to February 2021. Table 1: Merchandise Export Performance Values in US$ Mns Exports of Goods Jan-Feb 2022 […]
Govt increasing tax burden on poor and working people on IMF conditions but not taxing capitalists: Eran
Oppositions MP Eran Wikramaratne has alleged that there is a bizarre situation in the implementation of the agreement with the International Monetary Fund, as the tax burden on the poor and working people was imposed even before the implementation of the IMF conditions. According to the report, the taxation of capitalists has been delayed until […]
Sri Lanka to announce parameters of external & domestic debt operations before end-April
Sri Lankan authorities are currently exploring options for a domestic debt operation which is aimed at providing substantial liquidity relief to the government, the Letter of Intent sent to the IMF Managing Director showed. This will be carried out in line with the program parameters while preserving financial stability to avoid further eroding Sri Lanka’s […]
People’s Bank of China to consider renewing swap arrangement with CBSL for another 3 years: report
People’s Bank of China (PBoC) has indicated that it will consider renewing its swap arrangement with the CBSL in 2024 for another three years if there is no significant situation change, the IMF Staff Report highlighted. However, the PBOC swap ($1.4bn in 2022) will become usable once Gross international reserves (GIR) rise above 3 months […]
Ceylon Chamber congratulates Govt on securing IMF Program; stresses continued implementation of reforms
The Ceylon Chamber of Commerce congratulates the Government on securing the Extended Fund Facility (EFF) with the IMF. Full Statement We appreciate the efforts of the Government led by the President, the Governor of the Central Bank of Sri Lanka, Secretary to the Treasury, other key officials and independent experts who have assisted in this […]
Wealth transfer tax & inheritance tax to be introduced in Sri Lanka
To reach a primary fiscal surplus of 2.3 percent of GDP by 2025, Sri Lanka will revamp the property tax system and introduce a wealth transfer tax. In particular, Sri Lanka will introduce a nationwide real property tax, and adjust the system of transfers between the central and provincial governments. “Wealth tax is part of […]
IMF starts an in-depth governance diagnostic exercise on Sri Lanka, a first in Asia
The IMF is conducting an in-depth governance diagnostic exercise, which will assess corruption and governance vulnerabilities in Sri Lanka and provide prioritized and sequenced recommendations. Sri Lanka will be the first country in Asia to undergo a governance diagnostic exercise by the IMF. “We look forward to further engagement and collaboration with stakeholders and civil […]
IMF Executive Board Approves USD3 Bn Under the Extended Fund Facility (EFF) Arrangement
The Executive Board of the International Monetary Fund (IMF) approved today a 48‑month extended arrangement under the Extended Fund Facility (EFF) with an amount of SDR 2.286 billion (395 percent of quota or about US$3 billion). Sri Lanka has been hit hard by a catastrophic economic and humanitarian crisis.The economy is facing significant challenges stemming […]
Opinion: IMF Programme #17, Takes two to tango
By Daniel Alphonsus Countries never learn from others’ mistakes, they only learn from their own. Sri Lanka is an exception: we don’t even learn from our folly. Apparently neither does the IMF. Sri Lanka’s 17th IMF programme is set to be approved on March 20th. Is it welcome? Yes. Will it break Sri Lanka’s reform-regress-run […]