Category: Economy and Markets
Sri Lanka recent policy has crippled domestic industry: opposition
Nov 09, 2008 (LBO) – Sri Lanka’s current economic framework has crippled domestic industry and protectionist taxes announced in the 2009 budget are contradictory and are aimed simply at raising revenue, the island’s main opposition has charged.The Mahinda Chinthana economic framework while paying lip service to domestic industry, is undermining its competitive strengths, opposition United […]
Sri Lanka spends US$587mn to prop up rupee in October
Nov 08, 2008 (LBO) – Sri Lanka has spent 587 million dollars to prop up the rupee in October, pushing the total to 790 million dollars over past two months, the latest official data showed. On Thursday and Friday the rupee strengthened against the 110 rupee peg maintained by the island’s central bank with credit […]
Sri Lanka budget cuts taxes, but imposes new one
Nov 07, 2008 (LBO) – Sri Lankan accountants say the proposed cut in Value Added Tax (VAT) in the government’s 2009 budget would not provide much relief as a new tax and higher import duties would make up for the reduction. The budget presented to parliament by President Mahinda Rajapaksa proposed to reduce VAT, the […]
Sri Lanka shares slump
Nov 07, 2008 (LBO) – Sri Lankan shares Friday fell for the second day running after rising on thin volumes for several days with brokers saying small investors lacked the holding power to sustain early gains. To receive instant alerts from LBO on your Dialog mobile type ‘lbo’ and send to 678 The All Share […]
Sri Lanka budget deficit projected at 6.5-pct of economy
Nov 06, 2008 (LBO) – Sri Lanka raised trade barriers and cut neutral value added taxes in its 2009 budget which is projected to have a deficit of 336 billion rupees or 6.5 percent of gross domestic product. Revenues were estimated at an optimistic 855 billion rupees, though the island failed to meet the original […]
Sri Lanka government to spend Rs200bn for defence in 2009
Nov 06, 2008 (LBO) – Sri Lanka’s government would spend 360 billion for capital expenditure in 2009, and 200 billion for defence, the island’s president and finance minister Mahinda Rajapaksa told parliament. Of late politicians have been trying to put more emphasis on income taxes, instead of indirect taxes where their spending is also captured. […]
Sri Lanka shares fall on profit taking on thin volumes
Nov 06, 2008 (LBO) – Sri Lankan shares slumped Wednesday after several days of gains on thin volumes as investors took profits, with brokers saying the volatility could deter investors. To receive instant alerts from LBO on your Dialog mobile type ‘lbo’ and send to 678 The All Share Price Index fell 2.58 percent (50.62 […]
Sri Lanka ruling party champions fiscal prudence, as opposition scrapes bottom
Nov 06, 2008 (LBO) – Sri Lanka’s ruling party, whose fiscal profligacy caused high inflation and high interest rates while endangering the entire economy with foreign commercial borrowings, has slammed a sunshine ‘budget’ of the opposition. The main opposition United National Party which gained a name for long term budgeting that brought the country out […]
Sri Lanka 2008 economic growth 6.0 to 6.5: Central Bank
Nov 06, 2008 (LBO) – Sri Lanka’s economic growth is likely to fall to between 6.0 and 6.5 percent in 2008, the island’s central bank has said, downgrading a previous forecast of 6.5 to 7.0 percent amidst a global slowdown. In 2007 Sri Lanka’s economy expanded by 6.8 percent in 2007, according to the country’s […]
Sri Lanka proposes range of taxes and import cesses
Sri Lanka has proposed sweeping levies on imported foods, and consumer durables, jacked up a turnover based levy on international trade, trimmed value added taxes and widened income tax slabs of workers in productive sectors. Personal income tax slabs had been widened with a 300,000 rupee tax free slab remaining. The next 400,000 rupee slab […]
Sri Lanka shares up on thin volumes, plantations rally
Nov 05, 2008 (LBO) – Sri Lankan shares continued their rise, Wednesday, on thin trading volumes with plantations stocks rallying on retail investor interest, but a full recovery of the market was likely to be slow, brokers said. There was a single crossing of Chevron Lubricants Lanka of 182,500 shares done at 105 rupees. To […]
Sri Lanka bond markets tight amid foreign selling
Oct 05, 2008 (LBO) – Sri Lanka sold 2-year bonds maturing in September 2010 in an auction Tuesday at an average of 20.43 percent, a day after bonds maturing in April 2010 were traded at 22.00 percent amid foreign selling, dealers said. The September 2010 bond was last auctioned also at 20.34 percent on October […]