Category: Economy and Markets
‘s finances need fixing: Central Bank
March 30, 2007 (LBO) – Sri Lanka’s central bank called for better government budgets to avoid money printing, changes in badly run state firms, more private sector involvement in infrastructure to reduce further build-ups in government debt, in it annual report Friday. Last year the GDP deflator, the broadest measure of inflation at 10.5 percent […]
Sri Lanka grows by a blistering 7.7 percent in 2006
March 29, 2007 (LBO) – Sri Lanka grew by a blistering 7.7 percent in 2006, which is the highest on record, the country’s statistics office said Thursday. The Department of Census and Statistics said agriculture grew by 6.1 percent, industry by 8.4 percent and services by 7.8 percent. “We are encouraged to see that all […]
Sri Lankan money rates ease, stocks start slow
March 29, 2007 (LBO) – Sri Lankan money market rates eased further with more liquidity in the market and dealers saying they believe the rates should stabilize at lower levels and be less volatile.Thin trading was seen on the Colombo tock Exchange as it opened with brokers saying the market was likely to remain inactive […]
Sri Lanka money rates fall from record highs
March 27, 2007 (LBO) – The inter-bank call market call rates eased to 35 percent Wednesday, a day after rates hit a record 50 percent, dealer said. “Liquidity is a little bit tight but over the next couple of days might money ease,†a dealer said. The Central Bank is expected to inject cash on […]
‘s state investment promotion body says industrial parks safe
March 27, 2007 (LBO) – Sri Lanka’s state investment promotion body which runs industrial parks said they were not affected by a Tamil Tiger air raid, including one near the targeted air base. The Board of Investment (BOI) runs two large industrial parks in Katunayake near the airport and in Biyagama as well as a […]
Sri Lanka needs more fiscal, monetary tightening; growth 6.1% in 2007 – ADB
March 27, 2007 (LBO) – Sri Lanka needs more monetary tightening and a smaller budget deficit to improve its economic fundamentals and bring inflation down, the Asian Development Bank (ADB) said Tuesday. We do think monetary policy would have to be tightened further, ADB Country Economist Johanna Boestel said. The Central Bank can succeed in […]
Sri Lanka offers bonus for kids to return coins in their piggy banks
March 27, 2007 (LBO) – Sri Lanka would offer an immediate 20 percent bonus in stationary for kids who break their piggy banks and deposit the coins in the banking system, officials said. “If children break their piggy banks and bring the coins back to circulation we will give exercise books, pens and rulers to […]
‘s call rates hit 50% in new 12-year high
March 27, 2007 (LBO) – Sri Lanka’s Interbank call rates rocketed to a new 12-year high of 50 percent Tuesday with state banks on the borrowing side, dealers said. Interbank call rates hit 38 percent Monday with the Central Bank keeping cash tight in a bid to dampen raging inflation brought on by excessive money […]
Sri Lanka scrambles to boost confidence after air raid
March 27, 2007 (AFP) – Sri Lankan authorities are struggling to restore investor confidence a day after Tamil Tiger rebels launched an audacious air attack that stunned the defence establishment, officials said. The two sides agreed to a Norwegian-arranged truce in 2002, but successive talks broke down. Tamil Tiger rebels carried out their first air […]
‘s balance sheet
March 26, 2007 (AFP) – The first ever air attack by Tamil Tiger rebels is a psychological setback to Sri Lanka’s military but could cause an even bigger blow to the island’s economy, analysts said Monday.In the daring strike, the Liberation Tigers of Tamil Eelam (LTTE) used two light fixed-wing aircraft against the Katunayake airbase, […]
Japan gives 320 million dollar loan to Sri Lanka
March 23, 2007 (AFP) – Japan gave Sri Lanka a 320-million-dollar loan Friday to build roads and improve drinking water supply in key cities, the Japanese embassy here said.More than 4,000 people have died since December 2005 in fighting between Tamil rebels and government forces despite a Norwegian-brokered truce that has been in place since […]
Sri Lanka and India in trade talks in Colombo next week
March 22 (LBO) – Sri Lanka and India will hold another round of trade talks in Colombo next week on liberalizing professional services, investments and trade in goods. The talks on a Comprehensive Economic Partnership Agreement or CEPA, has been ongoing for three years, to widen trade to include areas like professional services. The two […]