Category: Money

July 3, 2006 (LBO) – Sri Lanka does not need to raise interest rates despite galloping inflation and negative real interest rates, the island’s newly appointed Central Bank governor said Tuesday.The country’s annual inflation rate shot up to 17.7 percent, data showed last Friday, underlining the need for a rate hike. Sri Lanka’s treasury bill […]

June 21, 2006 (LBO) – Sri Lanka’s borrowing costs went up during Wednesday’s treasury bill auction, as the Central Bank bought a further 3-billion rupees worth of paper for its stock of government securities.The bank offered 7.799 billion rupees worth of bills which came up for maturity, but accepted only 2.375 billion rupees from the […]

June 21, 2006 (LBO) – Sri Lanka’s borrowing costs went up during Wednesday’s treasury bill auction, as the Central Bank bought a further 3-billion rupees worth of paper for its stock of government securities.The bank offered 7.799 billion rupees worth of bills which came up for maturity, but accepted only 2.375 billion rupees from the […]

June 20, 2006 (Dow Jones)–Sri Lanka’s central bank signaled a more hawkish stance when it increased its policy rates sooner than expected last week.Although a return to a tightening had been anticipated, Friday’s surprise 25-basis-point increase each in the repurchase and reverse repo rates highlighted the authorities’ growing concerns over rising inflation. “This month’s increase […]

June 16, 2006 (LBO) – Sri Lanka’s Central Bank unexpectedly raised key interest rates by 25 basis points after a five month lag Friday, in a bid to curb inflation amidst soaring global oil prices.The next regular statement on monetary policy is scheduled for Friday July 14. Please click here to read Central Bank’s monetary […]

June 12, 2006 (LBO) — Sri Lanka’s central bank is likely to keep its benchmark interest rates unchanged for the sixth month in a row, preferring a wait-and-see policy over the economy amid deteriorating security situation and a gradual rise in inflation. “There is at the present time no room for a Norwegian initiative in […]

June 12, 2006 (LBO) — Sri Lanka’s central bank is likely to keep its benchmark interest rates unchanged for the sixth month in a row, preferring a wait-and-see policy over the economy amid deteriorating security situation and a gradual rise in inflation. “There is at the present time no room for a Norwegian initiative in […]

June 2, 2006 (LBO) – Sri Lankan stocks closed the week on a high note, while the rupee dipped further against the dollar, as financial markets reacted sharply to news of the Central Bank governor’s sudden resignation.Colombo share prices rose 1.79 percent on a 12.9 percent rise in fuel retailer Lanka IOC, but heavy foreign […]

May 15, 2006 (LBO) – Sri Lanka’s Central Bank opt to maintain its policy rates for the fifth straight month Monday amidst a possible bottoming out of inflation, though private sector credit demand has shown little signs of abating.The repurchase rate, which drains the money from the banking system, stays at 8.75 percent, while the […]

May 14, 2006 (LBO) – Sri Lanka’s Central Bank is likely to maintain its policy rates for the fifth straight month amidst a possible bottoming out of inflation, analysts said Sunday. “The present uncertainty (in the security situation) would keep the authorities away from any downward revisions…It’s too early to look at any upward revisions […]

May 11, 2006 (LBO) – Sri Lanka Thursday launched a series of commemorative coins to celebrate the 2550 anniversary of the Buddha, the Central Bank said.The coin series comprising 2,000 rupees, 1,500 rupees and 5-rupees, were issued at the request of the Religious Affairs ministry, the bank said. The 2,000 rupee gold plated silver coin […]

Apr. 27 (LBO) – International rating agency Standard & Poor’s Thursday lowered Sri Lanka’s credit outlook to negative from stable, amid escalating violence and fears that the island may slip back to war. However, S&P warned: “The country’s external liquidity could come under pressure if war causes reduced foreign exchange inflows from tourism and tourism-related […]