Category: Economy
President says no truth in the report that the CBSL Governor was asked to step down
With reference to news reports that CBSL Governor was asked to step down, President Gotabaya Rajapaksa today said, “The news stories that Central Bank Governor Ajith Nivard Cabraal has been requested to step down is completely false. Governor Cabraal enjoys my fullest confidence and trust and has been a tower of strength in responding to […]
Meeting held between President and IMF representatives
Several representatives of the International Monetary Fund (IMF) met President Gotabaya Rajapaksa at the Presidential Secretariat this morning (15). The IMF delegation comprised of its Asia Pacific Department Director Dr. Changyong Rhee, Deputy Director Dr.Anne-Marie Gulde-Wolf and IMF Resident Representative for Sri Lanka and Maldives Dr. Tubagus Feridhanusetyawan. Central Bank Governor Ajith Nivard Cabraal, Secretary […]
Cabinet approval to initiate discussions with IMF for technical assistance
Cabinet approval has been granted to initiate a discussion with the International Monetary Fund (IMF) for technical assistance, Co-Cabinet Spokesman, Plantation Minister Dr. Ramesh Pathirana said. “Cabinet approval has been given to the finance minister to go ahead and discuss with the IMF and their representatives are already in Sri Lanka. We are getting their […]
Advisory committee appointed to advise National Economic Council
The cabinet nod has been received to appoint an advisory committee to advise the National Economic Council after the council came under fire for the absence of expert economists and business leaders. The 16-member advisory committee comprises Prof. H D Karunaratne, Prof. Shirantha Heenkenda, Dr. Dushni Weerakoon, Dhammika Perera, Krishan Balendra, Ashroff Omar, Dr. Hans […]
Central Bank issues new rules on repatriation of export proceeds into Sri Lanka
The Monetary Board of the Central Bank has issued new rules in respect of the receipt of export proceeds into Sri Lanka and the conversion of such export proceeds into Sri Lanka rupees.
Will continuously support Sri Lanka’s development: ADB President
Asian Development Bank (ADB) President Masatsugu Asakawa and Sri Lanka President Gotabaya Rajapaksa met Thursday (10th) in Colombo and it was reaffirmed by the Bank leadership that it would continue to support the islands recovery path from the coronavirus disease (COVID-19) pandemic. Asakawa commended the government’s rapid vaccination drive, which has been critical to […]
Bond yields to extend further surge; rate hike expectations for 2022E increased: FCR
In light of the weaker economic conditions, First Capital Research believes that the CBSL will maintain the momentum on tightening policy rates resulting in yields to further surge at an accelerated pace, and expect it to move further over upcoming months. Sri Lanka’s foreign reserves were recorded at USD 2.3Bn in Feb 22 and due […]
Joint Chambers urge govt to resolve forex shortage; commence foreign debt restructuring & pursue IMF support
The Joint Chambers of Commerce met on March 3rd, 2022 and deliberated on the on-going forex crisis in the country and its impact on business activity and the economy. Consequent to this meeting, 9 Chambers (whose logos are shown above the text) have agreed to unanimously release the following statement. The on-going forex crisis has […]
& electricity tariffs; postpone non-urgent projects
As the Economic and Financial Advisor of the government, the Central Bank advises the Government to diligently consider a number of measures to overcome the challenging economic circumstances faced by the country. a) introducing measures to discourage non-essential and non-urgent imports urgently based on the previous recommendation made by the Central Bank b) increasing fuel […]
IMF wants Sri Lanka to raise income tax, VAT rates, minimize exemptions & adopt cost-recovery energy pricing
IMF Executive Board encourages Sri Lankan authorities to reform state-owned enterprises and adopt cost-recovery energy pricing while raising income tax and VAT rates and minimizing exemptions, complemented with revenue administration reform. Concluding the 2021 Article IV Consultation with Sri Lanka, the Executive Directors agreed that a tighter monetary policy stance is needed to contain rising […]
Ceylon Chamber seeks urgent action to restore electricity and fuel supply to avoid economic standstill
The Ceylon Chamber of Commerce notes with serious concern the adverse effects brought on its members and all sectors of the economy in general as a result of the ongoing interruptions to the supply of electricity coupled with frequent disruptions to the availability of fuel. The Chamber is of the view that these issues are […]
Sri Lanka’s exports increased by 13-pct in January 2022
Sri Lanka’s merchandise exports increased by 13% to US$ 1,062.63 Million in January 2022 compared to January 2021 as per the data released by the Sri Lanka Customs. Further, it is a 5.7% increase when compared to January 2020. Table 1: Merchandise Export Performance Values in US$ Mns Exports of Goods Jan 2020 […]