Category: Economy and Markets
Sri Lanka power utility needs reform, price revisions says IMF
Dec 03, 2007 (LBO) – The International Monetary Fund (IMF) has called for further reforms of Sri Lanka’s state electricity utility which looks set to make a 20 billion rupee loss this year. Many of the losses in the Ceylon Electricity Board (CEB) were financed by loans from state banks posing a threat to the […]
Zimbabwe inflation could be halted with new monetary regime: Steve Hanke
Dec 02, 2007 (LBO) – Zimbabwe’s rocketing prices which are starting to take almost the same path as the 1920’s German hyperinflation, could be halted by scrapping its central bank, a top economist has said. Since 1997 inflation has surged 1,030,217 percent and economic activity in the country measured by gross domestic product per capita […]
Sri Lanka to release index showing lower inflation
Dec 01, 2007 (LBO) – Sri Lanka is about to release an inflation index that shows a lower level inflation a top official said, making the island the latest country to change indices in the face of runaway inflation from money printing. Rising inflation has prompted calls for legislated inflation targeting and full independence for […]
Sri Lanka plans longer term sovereign bond
Nov 30, 2007 (LBO) – Sri Lanka want to issue longer term sovereign bonds going beyond the 5-year tenor issued in October, as part of a strategy to reduce pressure on domestic debt markets in 2008, a top official said.The government was looking at 7-10 year bonds to extend the tenor of its foreign debt […]
Sri Lanka to sell more rupee bonds to foreigners
Nov 30, 2007 (LBO) – Sri Lanka has lifted a ceiling on foreign holdings of government rupee bonds, allowing foreign investors to buy into more than 500 million dollars worth new medium term securities. The government has doubled an earlier limit of 5 percent of outstanding government bonds to 10 percent, from November 30. Sri […]
Sri Lanka warned of impending foreign debt crisis by IMF
Nov 30, 2007 (LBO) – The International Monetary Fund (IMF) has warned that Sri Lanka may be heading towards a foreign debt crisis unless the island changed its recent habit of borrowing commercial dollars to bridge high budget deficits. IMF’s executive directors in an assessment after the international monetary watchdog completed its annual Article IV […]
Sri Lanka inflation rockets 4.4-pct in November
Nov 30, 2007 (LBO) – Consumer prices in Colombo’s capital jumped 4.4 percent in November keeping 12-month inflation at a record 19.6 percent for the second month running, the government’s statistics office said.The Colombo Consumer Price Index (CCPI) gained 253.2 points to move to 5976.2 index points. The moving average of the index, averaged over […]
Sri Lanka needs spectacular fiscal gains to reach revised budget: economist
Nov 29, 2007 (LBO) – Sri Lanka’s state revenues have to grow twice as fast in the last quarter and expenses growth has to plunge to single digits for revised budget targets for 2007 to be reached, a private sector economist said. . According to disclosures under Sri Lanka’s fiscal responsibility law revenue up to […]
Sri Lanka should print less money and budget better: IMF
Nov 29, 2007 (LBO) – The International Monetary Fund (IMF) has asked Sri Lanka to print less money and have better budgets to prevent balance of payments problems and high inflation, after its annual discussions with the island. IMF’s executive board assessing Sri Lanka in the annual Article IV consultations with the island said recent […]
Sri Lanka makes progress despite war, UN says
Nov 28, 2007 (LBO) – A new report by the United Nations says that Sri Lanka is doing well according to human development indicators despite the disruption and suffering caused by a long-running ethnic war. The United Nations Development Programme’s Human Development Report for 2007 indicates that Sri Lanka is making steady progress in human […]
Sri Lanka says Iran to give 1.5 billion dollars aid
Nov 28, 2007 (AFP) – Sri Lanka’s president secured 1.5 billion dollars worth of financial aid from Iran for infrastructure projects while on a three-day visit to the country, his office said on Wednesday. President Mahinda Rajapakse concluded his trip to Iran on Tuesday by signing eight memorandums of understanding (MoUs) with his Iranian counterpart […]
Sri Lanka treasuries up 100 basis points
Nov 28, 2007 (LBO) – One year treasury yields went up 100 basis points to 19.07 percent as the central bank stayed out of the primary market and allowed rates to go towards levels needed to bridge the budget deficit.The monetary authority has been struggling to contain inflation which was running at 19.6 percent in […]