Category: Policy
Central Bank keeps Overnight Policy Rate unchanged
The Monetary Policy Board, at its meeting held yesterday, decided to maintain the Overnight Policy Rate (OPR) at the current level of 7.75%. The Board arrived at this decision after carefully considering evolving developments and the outlook on both domestic and global fronts. The Board is of the view that the current monetary policy stance […]
ADB approves USD100 Mn to strengthen macroeconomic resilience, transparency in Sri Lanka
The Asian Development Bank (ADB) has approved a $100 million financing package to build on Sri Lanka’s progress toward macroeconomic stability and to help achieve sustainable growth following the economic crisis. This will be done by strengthening public expenditure management, improving revenue mobilization, and fostering private sector participation. “Sri Lanka has made commendable progress in […]
Central Bank of Sri Lanka keeps Overnight Policy Rate unchanged
The Monetary Policy Board decided to maintain the Overnight Policy Rate (OPR) at the current level of 7.75% at its meeting held yesterday. The Board arrived at this decision after carefully considering both domestic and global developments. The Board is of the view that the current monetary policy stance will support steering inflation towards the […]
The Once and Future Industrial Northern Province
By Jekhan Aruliah The Chamber of Commerce and Industries of Yarlparnam, CCIY, was born in the short period of optimism in 1999. When the Sri Lankan Civil War, at that time already aflame for 16 years, seemed to be heading toward a settlement. Opposing sides were sitting at the same negotiating table. That optimism was […]
Central Bank of Sri Lanka keeps Overnight Policy Rate unchanged at 7.75-pct
The Monetary Policy Board decided to maintain the Overnight Policy Rate (OPR) at the current level of 7.75% at its meeting held yesterday. The Board arrived at this decision after carefully considering both domestic and global developments. The Board is of the view that the current monetary policy stance will help steer inflation towards the […]
Central Bank further reduces Overnight Policy Rate by 0.25-pct
The Monetary Policy Board decided to reduce the OPR by 25 bps to 7.75% at its meeting held yesterday, thereby easing monetary policy further. The Board arrived at this decision after carefully considering the developments both domestically and globally. The Board is of the view that this measured easing of monetary policy stance will support […]
CCPI in March 2025 signals easing of deflationary conditions
In line with the Central Bank’s near term projections, deflationary conditions commenced easing in March. Headline inflation, as measured by the year-on- year (Y-o-Y) change in the Colombo Consumer Price Index (CCPI, 2021=100) 1 remained in the negative territory for the seventh consecutive month, yet recorded a slower deflation of 2.6% in March 2025 compared […]
Central Bank of Sri Lanka keeps Overnight Policy Rate (OPR) unchanged
The Monetary Policy Board decided to keep the Overnight Policy Rate (OPR) at 8.00% at its meeting held yesterday. The Board arrived at this decision after carefully considering the developments both domestically and globally. The Board remains confident that the prevailing monetary policy stance will ensure that inflation will move towards the target of 5% […]
Central Bank maintains Overnight Policy Rate at the current level
The Monetary Policy Board of the Central Bank of Sri Lanka, at its meeting held on 28 January 2025, decided to maintain the Overnight Policy Rate (OPR) of the Central Bank at its current level of 8.00 per cent. The Board arrived at this decision following a careful analysis of the current and expected macroeconomic […]
Central Bank of Sri Lanka further eases its monetary policy stance
The Monetary Policy Board of the Central Bank of Sri Lanka has decided to further ease the monetary policy stance and set the newly introduced Overnight Policy Rate (OPR) at 8.00 per cent. With this change, the effective reduction in the policy interest rate would be around 50 basis points from the current level of […]
CBSL implements Single Policy Interest Rate Mechanism by Introducing Overnight Policy Rate
The Monetary Policy Board of the Central Bank of Sri Lanka has decided to implement a single policy interest rate mechanism transitioning from its dual policy interest rate mechanism, with effect from 27 November 2024. Accordingly, the Central Bank introduces the Overnight Policy Rate (OPR), as its primary monetary policy tool to signal and operationalise […]
Opinion: CB defends liquidity injections amid “Money Printing” controversy
by Dhananath Fernando A fresh controversy has erupted following reports that Sri Lanka’s Central Bank (CBSL) injected nearly 100 billion rupees into the banking system by October 25. Given that money printing was the major cause of the country’s financial crisis, this news has sparked considerable attention. CBSL has defended its actions, arguing that these […]