Inflation ( CCPI)1.5% (April 2024)
GDP4.5% (4Q 2023)
Unemployment4.3% (4Q 2023)
3M T-Bill Rate8.76%
12M T-Bill Rate9.29%
2Y T-Bond Rate10.00%/ 10.05%
4Y T-Bond Rate10.70% / 10.80%
Reserves $5.438Bn (April 2024)
Cum. Trade Deficit $1,229 Mn (March 2024 cumulative)
Cum. Fiscal DeficitLKR 2,320 Bn (Dec 2023)

Interest rate under massive correction as 2Y bond rates hit 14.41% at primary auction

Interest RatesMar 13, 2022
Interest rate under massive correction as 2Y bond rates hit 14.41% at primary auction

After multiple external and internal shocks, the interest rates are also preparing for a massive correction. Two-year T-bond ( 01-08-2024 Maturity) hit 14.41% while slightly above Five years to maturing bond went up to 14.70%, interestingly 10 years maturing bond hit as high as 15.42% at a primary auction held at CBSL today.

This increase of the rates suggests the 364Days Bill rates be around 13.5%, which is another 2% increase in T-bills in near future.


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