Inflation ( CCPI)6.4% (Jan 2024)
GDP1.6% (3Q 2023)
Unemployment5.2% (2Q 2023)
3M T-Bill Rate9.79%
12M T-Bill Rate10.02%
2Y T-Bond Rate11.05%/ 11.10%
4Y T-Bond Rate12.20% / 12.30%
USD/LKR313/314
Reserves $4.5Bn (Jan 2024)
Cum. Trade Deficit $4,866 Mn (Dec 2023 cumulative)
Cum. Fiscal DeficitLKR 2,020 Bn (Nov 2023)

Public expect no change in the interest rates at January Monetary Policy

Opinion pollsJan 15, 2021
Public expect no change in the interest rates at January Monetary Policy
The opinion poll: stance of interest rate decision at January Monetary Policy - 73% of the people expect the rates will be remain same, while 23% of the people expect at least 0.25% rate cut. Fewer people expect there will be rate hike at the monetary policy statement on 19th Tuesday. Current SDFR 4.5% , SLFR 5.5% are historically lowest. CBSL reduced the interest rates to keep the borrowing cost at lower level. That has enabled investors and public to start new business and continue same level of consumption. The ultimate objective of loosening monetary policy or expansion monetary is to boot the economy.

Disclaimer

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.