Category: Economy and Markets
Sri Lanka will not curb imports to maintain peg: CB Governor
Feb 01, 2012 (LBO) – Sri Lanka will not curb imports to stabilize the exchange rate, Central Bank Governor Nivard Cabraal said as a peg with the US dollar came under pressure from strong credit growth. “There has been an exponential growth in imports such as vehicles and gold and this is a reflection of […]
Sri Lanka shares end down 1.1-pct
Jan 31, 2012 (LBO) – Sri Lankan shares closed weaker Tuesday after rising sharply at the opening, as profit-taking came in with turnover also slumping, , brokers said. The main All Share Price Index closed down 1.12 percent (64.22 points) at 5,691.34, while the more liquid Milanka index fell 1.02 percent (50.94 points) to close […]
Sri Lanka central bank clarifies IMF interest rates
Jan 31, 2012 (LBO) – Sri Lanka’s central bank said it would only have to pay a higher interest rate for International Monetary Fund loans exceeding 300 percent of the country quota, and lower balances would only attract a rate of a little over 1.0 percent. The IMF has effectively suspended its 2.6 billion US […]
Sri Lanka January inflation slows to 3.8-pct
Jan 31, 2012 (LBO) – Consumer prices in Sri Lanka’s capital rose 3.8 percent in January 2012 from a year earlier, slowing from 4.9 percent in December 2011, the state statistics office said. Prices measured by the Colombo Consumer Price Index rose 0.3 percent in January 2012 after rising 1.2 percent during December 2011. Annual […]
Sri Lanka shares close up 0.5-pct
Jan 30, 2012 (LBO) – Sri Lankan closed higher Monday, on the back of Friday’s gains but a strong rally at the opening petered out towards the end as investors booked profit, brokers said. “Foreign participation stood at 18.3 percent of the total market activity and at the end of the day foreign investors were […]
Sri Lanka sells long bonds
Jan 30, 2012 (LBO) – Sri Lanka has sold 10-year bonds to yield 10. 25 percent and 20-year bonds to yield 11. 0 percent at an auction Monday, the state debt office said. The debt office said 1,000 million rupees of 2022 bonds and 1,026 million rupees of 2032 bonds were sold. Dealers said a […]
Sri Lanka may not need IMF money: economic minister
Jan 30, 2012 (LBO) – Sri Lanka may not need the remaining 800 million dollars of International Monetary Fund money since reserves are still high, economic development minister Basil Rajapaksa said. “When we borrow the money it goes into monetary reserves and they have to be invested in another country, for a small difference in […]
Sri Lanka shares end up 2.4-pct
Jan 27, 2012 (LBO) – Sri Lankan closed sharply higher Friday recovering more ground after recent heavy losses with turnover also high and investors buying into fundamentally strong companies, brokers said. Capital Alliance Finance was also among the top gainers, closing at 36.30 rupees, up seven. Newly listed Asia Asset Finance was the most actively […]
Sri Lanka contracts to China queried by legislator
Jan 27, 2012 (LBO) – A series of construction contracts given to Chinese firms mostly with borrowed money from China which will have to re-paid by Sri Lanka, should have been awarded by open tender, a legislator has said. Harsha de Silva, a legislator representing Sri Lanka’s main opposition United National Party, said the commercial […]
Sri Lanka needs to grow food to stabilize exchange rate: Treasury secretary
Jan 26, 2012 (LBO) – Sri Lanka has to grow more food to reduce imports which will help strengthen the exchange rate, Treasury Secretary P B Jayasundera said, as the country lost almost a quarter of its foreign reserves defending a dollar peg. “There is no economic justification to import any longer the kind of […]
Sri Lanka must not intervene excessively to maintain peg: economic minister
Jan 26, 2012 (LBO) – Sri Lanka should not intervene excessively to maintain a peg with the US dollar, economic development minister Basil Rajapaksa said as reserve losses mounted in a bid to keep the rupee at 113. 90 to the US dollar in the spot market. “I feel there must be a realistic value […]
Sri Lanka stocks recover losses
Jan 26, 2012 (LBO) – Sri Lanka’s stock closed up 0.65 percent Thursday recovering losses for the second day, with turnover rising, and index heavy John Keells Holdings reported higher profits for the quarter. The benchmark Colombo All Share Index rose 36 points to close at 5,592. 4 points and the Milanka Index of more […]