Category: Markets
Fiscal stimulus will boost demand in short-run but create instability in long-run: ICRA
Dec 11, 2019 (LBO) – The Government of Sri Lanka (GoSL) reduced variety of taxes substantially in an attempt to revive the economy, which could possibly cost over LKR 500 Bn according to government’s own estimates. Whilst acknowledging the potential boost to the aggregate demand and corporate profitability from the fiscal stimulus in the short-run, […]
Sri Lanka official reserves down to USD7.5bn by end November
Dec 06, 2019 (LBO) – Sri Lanka’s gross official reserves were 7.5 billion US dollars (USD7,520.9mn) by the end of November, down from 7.8 billion US dollars in October, the latest Central Bank data showed. By the end of November, the foreign currency reserves were 6,530.3 million dollars while the reserve position in the IMF […]
Central Bank to introduce new law regulating moneylenders
Dec 06, 2019 (LBO) – Sri Lanka’s Central Bank with the Ministry of Finance is currently in the process of drafting a new law for licensing, regulation and supervision of moneylenders and protection of customers. The Central Bank said in a statement that the said law is currently in the drafting process and is expected […]
Investor Dr. Mark Mobius in Colombo next week
Dec 03, 2019 (LBO) – Colombo’s upcoming major mixed development, Cinnamon Life announced the visit of the legendary emerging markets investment pioneer, Dr. Mark Mobius for an exclusive breakfast forum hosted by the premier lifestyle brand. The latest in a series of high-profile engagements by Cinnamon Life, the interactive forum is set to take place […]
‘s new tax regime
Dec 02, 2019 (LBO) – Sri Lanka’s Finance Ministry says that the recent tax reforms constitute a much-needed transformation in the country’s tax system to address the numerous problems stemming from its extreme complexity with the multiplicity of taxes. The Finance Ministry said that these policy measures will be implemented within a coherent policy framework, […]
‘s Central Bank to remain unchanged
Nov 29, 2019 (LBO) – The Monetary Board of the Central Bank of Sri Lanka has decided to maintain its accommodative monetary policy stance. Accordingly, the Standing Deposit Facility Rate (SDFR) and the Standing Lending Facility Rate (SLFR) will remain at their current levels of 7.00 percent and 8.00 percent, respectively. The Board said it […]
CSE comes alive with Rs2.8bn turnover but foreigners keep selling
November 28, 2019 (LBO) – The Colombo Stock Exchange (CSE) finished a busy day today with trading activity that has been rarely seen in recent years. The stock market registered trading turnover of Rs2.8bn (US$15mn) with the indices finishing up roughly 1.5% on the day. There was broad based trading activity across many stocks. The […]
Colombo stocks surge on Rajapaksa tax cut bonanza
November 28, 2019 (LBO) – The stock market in Sri Lanka started the day in rally mode with most of the major indices up approximately 1.5%. The sharp rise comes on the back of large tax cuts enacted by new Finance Minister Mahinda Rajapaksa in order to stimulate a sputtering economy. The tax cuts equate […]
Sri Lanka announces tax reliefs; cuts VAT to 8-pct, removes PAYE, WHT & Capital Gains Tax
Nov 27, 2019 (LBO) – Sri Lanka’s new Cabinet of Ministers has given its approval to reduce Value Added Tax (VAT) and various other taxes, Co-Cabinet Spokesperson Minister Bandula Gunawardana said. “Required amendments and gazette notifications are currently being prepared,” Gunawardana told reporters. “This will be a stimulus to all areas of the economy and […]
Central Bank expresses its strong objection to statement released by Fitch Ratings
Nov 21, 2019 (LBO) – Sri Lanka’s Central Bank says that it strongly objects to the statement released by Fitch Ratings today as it depicts the complete opposite of the realised positive market response, followed by the assumption of duties by the President. Releasing a statement, the Central Bank said the domestic foreign exchange market, […]
Sri Lanka election result increases policy uncertainty: Fitch Ratings
Nov 21, 2019 (LBO) – Sri Lanka’s presidential election significantly increases policy uncertainty and could prompt loosening that exacerbates fiscal weaknesses and a rollback of reforms, Fitch Ratings says. However, whether these risks materialise remains to be seen as a clear policy direction may only start to emerge after parliamentary elections. Gotabaya Rajapaksa of the […]
‘s stocks move up, but foreigners sell Rs1.5bn ahead of Presidential election
November 13, 2019 (LBO) – Sri Lanka’s stock market was strong ahead of Sri Lanka’s impending Presidential election to be held on Saturday November 16th. The Colombo Stock Exchange (CSE) major indices were up roughly .5% on relatively heavy turnover of Rs2bn (US$11mn). However, despite what appeared to be positive sentiments, foreigners took the other […]