Category: Economy and Markets
Sri Lanka shares end down 0.2-pct
April 09, 2012 (LBO) – Sri Lankan shares closed slightly weaker Monday and trading slumped to a low of 132 million rupees, the lowest since May 2009, ahead of traditional new year holidays. Citrus Leisure, which revealed the ownership of a prime beach front property it bought on the east coast for 169 million rupees […]
Sri Lanka revenue crunch continues in 2012
Apr 09, 2012 (LBO) – High state spending is continuing to put pressure on the economy with billions of rupees being printed in April to meet expenses on top of earlier bank borrowings, official data shows. In countries with more stable currency pegs, such as Hong Kong or Singapore, seasonal cash demands are met, not […]
Sri Lanka to spend Rs89bn on war zones, rapid normalcy: President
Apr 09, 2012 (LBO) – Sri Lanka is planning to spend 89 billion rupees to re-build former war zones in the north and the east in 2012 to bring the areas to normalcy, President Mahinda Rajapaksa said. He said de-mining has been accomplished fast and ahead of predictions, and most displaced families were already resettled. […]
Sri Lanka Treasuries yields up after rate hike
Apr 09, 2012 (LBO) – Sri Lanka’s Treasury bill yields rose more than 50 basis points across maturities following a rate hike at Monday’s auction held two days earlier due to traditional holidays later in the week, data from the debt office showed. Higher Treasury bill yields are needed to correct an imbalance in the […]
Sri Lanka had 38-months of low inflation: CB Governor
Apr 07, 2012 (LBO) – Sri Lanka has had single digit inflation for the past 38-months and no crisis in the banking system, despite a short-term weakening of the currency, Central Bank Governor Nivard Cabraal said. “During the past 38 months inflation had been in the single digit level,” Cabraal told the LBR-LBO Ceo forum, […]
Sri Lanka has maintained confidence of bond buyers: CB Governor
Apr 06, 2012 (LBO) – Sri Lanka has retained the confidence of foreign holders of government debt by taking firm corrective steps to fix a balance of payments crisis, Central Bank Governor Nivard Cabraal said. The rupee has now strengthened to around 125 to the US dollar from a low of 131 rupees, though there […]
Sri Lanka grows 8.3-pct in 2011
Apr 05, 2012 (LBO) – Sri Lanka’s economy grew 8. 3 percent in the 2011 after growing at 8. 0 percent in 2010, with fourth quarter growth also clocked at 8.3 percent, the statistics office said. Per capita gross domestic product was estimated at 2,836 US dollars (313,511 rupees implying an exchange rate of 110.54) […]
Sri Lanka hikes policy rate by 75bp to curb credit
Apr 05, 2012 (LBO) – Sri Lanka raised its key policy rate by 75 basis points to 9. 75 percent to curb credit which was still growing at an “undesired rate”, and state borrowings were also high, the Central Bank said. Sri Lanka rupee came under pressure from high credit growth from the middle of […]
Sri Lanka stocks close up 0.4-pct
Apr 05, 2012 (LBO) – Sri Lanka stocks close up 0.41 percent Thursday ahead of the Easter weekend with both indices up and net foreign buying, brokers said. Actively traded counters include Swarnamahal Financial Services closing at 8. 50 rupees, down 20 cents, HVA Foods closing at 12. 90 rupees, down 40 cents, and Environmental […]
Sri Lanka rates up amid tight liquidity
Apr 05, 2012 (LBO) – Liquidity tightened in Sri Lanka’s money markets Thursday a day after bond yields spiked amid some foreign selling a day earlier ahead with a monetary policy announcement due later in the day. Call money was quoted as 9.25/50 percent at opening percent and gilt-backed repos were quoted 8. 25/45 dealers […]
Sri Lanka hid vital information, ran into brick wall: legislator
Apr 04, 2012 (LBO) – Sri Lanka has suppressed information, ignored warnings from independent analysts, manipulated data and markets until the economy ran into ‘brick wall’ a legislator who is an economist has said. An annual report about the Employees Provident Fund, a retirement fund of non-state workers, whose state management has become increasingly controversial, […]
Sri Lanka trade controls take IMF by surprise
Apr 04, 2012 (LBO) – Sri Lanka’s sudden hike in car taxes has taken the International Monetary Fund by surprise, and the lender would like to see tighter monetary policy than selective taxes, its resident representative said. “The issue of recent taxes on vehicles and other goods, that actually is something we did not discuss […]