Category: Economy and Markets
Sri Lanka’s inflation rate climbs to 13.2% in May
May 31, 2006 (LBO) – Sri Lanka’s inflation rate for May rose as short supplies of consumer eatables like cream cracker biscuits, rice, bread, red onions, milk tea, fresh milk and dried chillies pushed prices up, the Census & Statistics Dept. said Wednesday. On a point-to-point basis inflation for May rose 13.2 percent over 9.2 […]
Sri Lanka ships more goods in April; trade deficit widens
May 30, 2006 (LBO) – Sri Lanka’s trade deficit – the broadest measure of international trade – expanded during the four-months to April to 1,057 million dollars, on costly oil import bill, the Central Bank said Tuesday. However, the deficit was somewhat contained as Sri Lankans residing abroad sent home 221 million dollars – up […]
Sri Lanka to raise import tariffs for wheat to prop up rice prices
May 30, 2006 (LBO) – Sri Lanka plans to raise import tariffs on wheat to encourage paddy sales and shore up prices, treasury secretary P B Jayasundara said Tuesday. The government recently slapped a 15 percent import duty on wheat flour and six-percent duty on imports of wheat grain. “We are planning a further upward […]
‘s Lanka Orix Leasing gets A (lka) rating
May 29, 2006 (LBO) – Sri Lanka’s pioneering leasing firm Lanka Orix Leasing Company has secured an ‘A (lka)’ credit rating from Fitch Ratings Lanka. Part Japanese owned, LOLCs credit outlook is stable, the rating agency said Monday. “The rating takes into account the less diversified funding sources available to specialised leasing companies such as […]
Continuing violence slowing down aid projects: World Bank
May 19, 2006 (LBO) – An upsurge in violence in the north east part of Sri Lanka could slow down progress post-conflict development projects, a top World Bank official said Friday. The bank, which lends around 80-100 million dollars to Sri Lanka each year, has a few medium-term projects in the north east. “We are […]
U.S. gives million dollars to spruce up tsunami shelters
May 18, 2006 (LBO) – The United States Thursday gave Sri Lanka a one million dollar grant to upgrade and improve the living conditions in 40,000 transitional shelters built after the December 2004 tsunami. Nearly 20,000 people still live in transitional shelters, of which around 40 percent are in need of upgrades, the U.S. said […]
Sri Lanka joins ADB initiative to combat corruption
May 17, 2006 (LBO) – Sri Lanka Wednesday joined an Asian Development Bank- Organisation for Economic Co-operation and Development initiative to develop an action plan to combat corruption. “Knowledge – Commitment – Action against Corruption in Asia-Pacific”, a book that explores innovative reforms discussed at the ADB OECD 5th Regional Anti-Corruption Conference for Asia-Pacific in […]
War fears batter investor confidence in Sri Lanka
COLOMBO, May 16, 2006 (AFP) – Fears Sri Lanka could return to civil war have punched a hole in investor confidence and wiped millions of dollars off the value of local shares, analysts said Tuesday The tiny Colombo Stock Exchange has shed nearly 53 billion rupees (5.3 million dollars) of its value since the crisis […]
Foreign loans, overseas remittances, keep Sri Lanka floating
May 15 (LBO) – Sri Lanka’s balance of payments (BOP) has recorded a 150 million dollar surplus for the three months to March, the Central Bank said Monday as it maintained key interest rates for the fifth straight month. The balance of payments is a record of the island’s total payments to foreign countries, including […]
Sri Lanka leaves interest rates at current levels for fifth straight month
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 […]
Sri Lanka likely to maintain key interest rates, despite deteriorating security situation
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 […]
Violence, oil cast shadow on Sri Lanka
May 11 (Dow Jones)–The course of Sri Lanka’s peace process has become crucial to the country’s economy, as high oil prices threaten double-digit inflation. High oil prices may also force the central bank to hold back an anticipated cut in interest rates, which could have spurred the economy and offset some of the pressure caused […]