Category: Economy
PM awaits proposals from Central Bank and EPF on EPF, ETF merger
Dec 01, 2015 (LBO) – Sri Lanka’s Prime Minister Ranil Wickramasinghe told Parliament Tuesday that they have decided to obtain proposals from Central Bank governor and superintendent of EPF with regard to the management of EPF. “During the discussions, unions said it is appropriate to maintain these two funds separately. They also said the EPF […]
Single party owns 95 pct of govt securities available to foreign investors
Dec 01, 2015 (LBO) – A single foreign party owns 95 percent of Sri Lanka’s government securities available to foreign investors, raising questions about risk-management practices of the Central Bank.Funds of Franklin Templeton held around 290 billion rupees in government securities, out of 304 billion rupees of securities available to foreign investors, according to published […]
Colombo inflation accelerates to 3.1-pct in November
Nov 30, 2015 (LBO) – Consumer prices in Sri Lanka’s capital Colombo rose 3.1 percent in November 2015 from a year earlier, up from 1.7 percent in October with the inflation index rising 1.4 percent in the month, the state statistics office said. Year on year inflation of Food Group has increased from 2.7 percent […]
Sri Lanka’s continued high fiscal deficits are credit negative: Moody’s
Nov 30, 2015 (LBO) – Sri Lanka’s fiscal consolidation would further delay if the government increases spending on education, health and infrastructure and add to the government’s already high debt, a credit negative, Moody’s credit out look said. However, if the perception of greater openness to foreign direct investment translates into actual increases in investment, […]
“Serious concerns” in Sri Lanka budget 2016: Former President
Nov 30, 2015 (LBO) – Sri Lanka’s former President Mahinda Rajapakse in a recent speech said that the new government’s maiden budget seeks to make certain radical changes which raise serious concerns. Rajapakse said that the gross fiscal irresponsibility displayed in the mini-budget earlier this year has continued in this budget as well and went […]
China stocks fall 5.4 pct on brokerage probes
Nov 27, 2015 (LBO) – China equities closed down 5.4 percent on Friday on the back of investigations by China’s securities regulatory body into brokerages for breaking regulations.The Shanghai Composite closed 5.48 percent lower. Chinese brokerages plunged with Citic Securities, Founder Securities, and China Merchants closing 10.1, 10, and 9.98 percent lower on news of […]
Sri Lanka removes casino entrance fee, but taxes tightened
Nov 27, 2015 (LBO) – Sri Lanka is to remove the casino entrance fee imposed in the last budget and plans to increase the annual levy imposed on the business of gaming, other than rujino, to 400 million rupees. “I also propose to amend the Finance Act to make directors and shareholders personally liable for […]
Colombo International Financial Centre requires right talent: experts
Nov 27, 2015 (LBO) – Sri Lanka’s plans to set up an international financial district bodes well for financial sector development and should be set up with the right talent in place, experts said. “We have talked about this for many years, but this is a budget where we have heard for the first time […]
Interest rates unchanged after monetary policy meeting
Nov 24, 2015 (LBO) – Sri Lanka’s Monetary Board held interest rates unchanged after a monthly policy meeting citing low inflation and a lack of necessity to change rates given loose monetary policy in the region. The Standing Deposit Facility Rate (SDFR) was held at 6.00 percent, the Standing Lending Facility Rate (SLFR) at 7.50 […]
Major thrust of budget is formalizing economy: Ravi K
Nov 24, 2015 (LBO) – A major thrust of Sri Lanka’s budget for 2016 is formalizing the economy to bring in sectors that do not use formal banking channels, the finance minister said. “What we want to ensure is that the economy is made more formal,” Finance Minister Ravi Karunanayake said speaking at a post-budget […]
No need to raise interest rates, seek IMF funding: CB Governor
Nov 24, 2015 (LBO) – Sri Lanka has no need to raise interest rates at the moment given the loose monetary policy being followed in regional countries such as India, Central Bank Governor Arjun Mahendran said.He was speaking at a post-budget forum organized by HSBC. Although credit growth to the private sector was high it […]
Sri Lanka inflation at 3.0-pct in October
Nov 23, 2015 (LBO) – Sri Lanka’s consumer prices rose 3.0 percent in the 12-months to October from a year earlier, from the 1.9 percent a month earlier, data from the state statistics office showed. Year on year inflation of Food Group has increased from 1.1 percent in September 2015 to 2.3 percent in October […]