Category: Economy and Markets
Aitken Spence floats debenture to pay off loans
August 28, 2006 (LBO) – Sri Lanka’s Aitken Spence & Co Ltd secured a AA(lka) rating for its upcoming 500 million debenture, but Fitch Rating Lanka expressed concerns on the group’s exposure to the monopoly state power distributor and a worsening ethnic conflict. The bluechip conglomerate is tapping the corporate debt market with a 500 […]
Independent central bank needed for stable cost of living in Sri Lanka: economist
August 27, 2006 (LBO) – Sri Lanka should have an independent central bank which can conduct prudent monetary policy in order to have low inflation, a prominent European economist said. “You know richer people, who can get the help of good accountants good advisors can normally avoid the biggest suffering even from inflation,” says Deutche […]
Sri Lankan rupee extends gains; foreign interest boost stocks
August 24, 2006 (LBO) – The Sri Lankan rupee firmed up against the U.S. dollar Thursday, while share prices rose on foreign investors’ interest in selected bluechip stocks, dealers said. The broader All Share Price index inched up 0.48 percent to 2,138.05, while the liquid Milanka Price Index added 0.77 percent to 2,726.44 on sales […]
Treasury bond yields take a leap
August 21, 2006 (LBO) – Sri Lanka’s borrowing costs shot up Monday, when the Central Bank sold three and four year treasury bonds at higher yields.The bank offered 1.5 billion rupees worth of 4-year bonds and 1.0 billion rupees worth of 5-year bonds to the market, but accepted only 500 million rupees worth of bids […]
Sri Lanka economy booms despite bombs and bloodshed
COLOMBO, Aug 18, 2006 (AFP) – Sri Lanka is expected to record its highest annual economic growth in 28 years despite escalating violence in the decades-old separatist conflict, analysts said. Security has deteriorated since December with aerial bombings, artillery attacks, suicide bombings and fierce face-to-face confrontations that have officially claimed at least 1,500 lives. However, […]
Central bank holds Sri Lanka policy rates steady in August
August 16 (LBO) – Sri Lanka’s central bank said Wednesday it was holding rates steady, but warned that fuel subsidies were putting pressure on the balance of payments. The rate setting monetary board had decided not to raise policy interest rates but rely on open market operations to slow money supply growth, the central bank’s […]
’s US$ 5 bn investment pipeline held up due to red tape
August 14 (LBO) – Sri Lanka is sitting on a 5 billion dollar investment pipeline for development projects, held up due to red tape and other delays, the country’s Treasury Secretary said Monday. Sri Lanka is also in talks with lending agencies to promote investment guarantees to encourage companies to spend their dollars in local […]
Dollar bonds find favour in Sri Lanka as war jitters hit stocks
August 14 (LBO) – The oversubscription of a dollar bond issue was a reflection of the investor confidence in Sri Lanka government gilts, the country’s public debt office said in a statement Monday, as stocks lost ground over war jitters.The 3-year bond issue was more than twice oversubscribed when bids closed on August 11th. “The […]
Sri Lanka government raises US $ 175 million dollars
August11 (LBO) – A Sri Lankan government 3-year dollar bond issue had been more than twice oversubscribed allowing the government to raise more money than originally sought.Successful bidders will have to make payments for SLDBs on or before August 18, after a Notice of Acceptance of Application issued by the Central Bank. Investors flocked to […]
Sri Lanka looks at reviving sovereign bond issue : CB Governor
Aug 10 (LBO) – Sri Lanka is looking at reviving a sovereign bond issue, which was shelved earlier this year, to raise medium term dollars, Central Bank Governor Nivard Cabraal said. After getting a sovereign rating last year, (BB- from Fitch and B+ from S & P) Sri Lanka was planning to go to the […]
‘s treasury bill rates move up by 5-basis points
August 8, 2006 (LBO) – Sri Lanka’s borrowing costs moved up on average by 5-basis points, when the Central Bank sold 8.3 billion rupees in treasury bills on Tuesday.Yields for three month notes rose 5-basis points to 10.38 percent, six month treasuries gained 4-basis points to 10.53 percent, while one year bills gained 5-basis points […]
Sri Lanka sells 3-year bonds at 11.05%
August 7, 2006 (LBO) – Sri Lanka’s Central Bank sold three-year treasury bonds at yields of 11.05 percent on Monday, after rejecting all bids at a similar auction last week.The bank offered a billion rupees worth of bonds to the market but accepted only 850 million rupees worth of bids. Current Auction Maturity June 2009 […]