Inflation ( CCPI)0.9% (March 2024)
GDP4.5% (4Q 2023)
Unemployment4.3% (4Q 2023)
3M T-Bill Rate9.90%
12M T-Bill Rate10.21%
2Y T-Bond Rate10.85%/ 11.00%
4Y T-Bond Rate12.10% / 12.20%
Reserves $4.951Bn (March 2024)
Cum. Trade Deficit $860 Mn (Feb 2024 cumulative)
Cum. Fiscal DeficitLKR 2,020 Bn (Nov 2023)

Average New lending rates offered by Commercial Banks fell below 10 percent in July

Interest RatesAug 24, 2020
Average New lending rates offered by Commercial Banks fell below 10 percent in July
CBSL has been adopting accommodative or expansion monetary policy as the economy is underperforming and expects to take time to recover due to COVID. In order to boost up the economic activities, CBSL flooded the market with excess money and created the environment for financial institutions to lend that money at a cheap cost for the public and enterprise. The New Deposit rate has fallen from 9.34% to 5.78% while the New lending rate fell from 12.53% to 9.85% from Jan to July 2020.


Charts represents an assessment of the market environment as of the date indicated and it is subject to change; and is not intended to be a forecast of future events or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding the funds or any issuer or security in particular. The strategies discussed are strictly for illustrative and educational purposes and should not be construed as a recommendation to purchase or sell, or an offer to sell or a solicitation of an offer to buy any security. There is no guarantee that any strategies discussed will be effective.

The information presented does not take into consideration commissions, tax implications, or other transactions costs, which may significantly affect the economic consequences of a given strategy or investment decision. This document contains general information only and does not take into account an individual’s financial circumstances. An assessment should be made as to whether the information is appropriate in individual circumstances and consideration should be given to talking to a financial advisor before making an investment decisions.