Category: Economy and Markets
‘s central bank battles inflation expectations
Nov 11, 2009 (LBO) – Sri Lanka’s central bank is in a battle to dampen high public inflation expectations after capping price rises in the island’s capital Colombo to low single digits for more than a year.In 2009 the Central Bank is hoping to end the year with inflation at 3.5 percent after seeing only […]
Sri Lanka rupee opens stronger
Nov 10, 2009 (LBO) – Sri Lanka’s rupee traded stronger against the US dollar moving up to 114.45/50, with a state bank that usually acts for the monetary authority signaling the new rate, dealers said. The rupee moved up to 114.65 against the US dollar from its long-standing peg at 114.80 levels on Monday. Central […]
Sri Lanka IMF country report released
Nov 10, 2009 (LBO) – The International Monetary Fund (IMF) has released country report and staff papers covering the background and economic analysis leading up to a stand by loan to the island in July.Sri Lanka’s economic management has improved in recent months with both inflation and interest rates coming down, but external borrowings have […]
Sri Lanka agriculture, fishing revive in former war zone
Nov 10, 2009 (LBO) – Farmers and fishermen have been among the main borrowers under a Sri Lankan government loan scheme to revive economic activity in the former northern war zone, the Central Bank said. It said in a statement that a total of 1,875 loans valued at 264 million rupees has been disbursed under […]
Sri Lanka at “moderate risk” of external debt distress: IMF
Nov 10, 2009 (LBO) – Sri Lanka has a “moderate risk” of external debt distress over the 2009-14 period, an International Monetary Fund staff analysis has said. “All debt indicators are projected to remain below indicative thresholds under the program baseline scenario,” the IMF said. “This conclusion rests heavily on the satisfactory implementation of the […]
Sri Lanka trade unions reject government pay hike
Nov 10, 2009 (LBO) – Labour unions in several key state-owned utilities have rejected a government offer of a pay hike and said they would start a ‘work-to-rule’ from Wednesday that could slowdown economic activity. The joint trade unions of state refiner, Ceylon Petroleum Corporation (CPC), National Water Board, Ceylon Electricity Board (CEB) and port […]
Sri Lankan stocks slide on forced selling
Nov 10, 2009 (LBO) – Sri Lankan shares closed down Tuesday mainly on forced selling by retail investors trying to meet settlement commitments and minimize losses in margin trading on borrowed funds, brokers said. Political uncertainties generated by talk of elections and continued media coverage of alleged insider dealing by US hedge fund manager Raj […]
South Asian broadband stuck in international bottleneck: study
CHENNAI, Nov 09, 2009 (LBO) – South Asian surfers get slower and less reliable broadband internet connections for every dollar spent despite compared to users in developed countries, despite ‘cheaper’ packages, researchers have found. “The US and Canada packages that we have tested are not too different to pricing to our ones but the difference […]
”: CB governor
Nov 09, 2009 (LBO) – The Sri Lanka rupee strengthened Monday at a time when the US dollar is weakening against most other currencies, and an ‘exact peg’ with the greenback may no longer be maintained, the Central Bank said. The rupee broke its customary 114.80 peg to the US dollar Monday when state banks […]
Sri Lanka to keep lid on defence spending in 2010
Nov 09, 2009 (LBO) – Sri Lanka is planning to keep defence spending for 2010 at 2009 levels in rupee terms, and divert money spent on military activities to reconstruction, the government had told the International Monetary Fund. In a revised program document given to the IMF following the approval of a 329.4 million US […]
Sri Lanka needs stable foreign reserves: IMF
Nov 09, 2009 (LBO) – Sri Lanka needs stable foreign reserves collected from current account transactions as ‘borrowed reserves’ flowing into Treasuries markets can flow out quickly, an International Monetary Fund official said.“Money has rolled right in and reserves are at a comfortable position,” IMF resident representative Koshi Mathai said. “There is a difference between […]
Gold price hits record high as dollar wanes
LONDON, November 9, 2009 (AFP) – Gold prices hit a record above 1,100 dollars on Monday with the dollar weakening after a pledge by G20 countries to keep economic recovery pumped up with easy money.In morning trading here, gold struck an all-time peak of 1,109.50 dollars an ounce as the euro rose to 1.50 dollars […]