Inflation ( CCPI)50.6% (Feb 2023)
GDP-12.4% (4Q 2022)
Unemployment5.0% (3Q 2022)
3M T-Bill Rate25.99%
12M T-Bill Rate24.31%
5Y T-Bond Rate27.00%/ 27.25%
10Y T-Bond Rate22.00% / 23.00%
USD/LKR335/341
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Reserves $2.22Bn (Feb 2023)
Cum. Trade Deficit $449Mn (Feb 2023)
Cum. Fiscal DeficitLKR 1,601Bn (Nov 2022)

Banks new deposit rate fell first time after 10 months of continuous rise

Interest RatesFeb 6, 2023
Banks new deposit rate fell first time after 10 months of continuous rise
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Bank deposit rates increased in response to the rising inflation, increase in government dependency on domestic finance, and the possibility of domestic debt restructuring. Bank’s new deposit & lending rates increased by 16.5% to 17.5% during the last twelve months while the T-Bill rate increased by 21%.

After 364Days T-Bill stabilized since mid of 2022, the bank’s deposit rate was also forced to slow down, and the effect visible at end of 2022 as the bank’s deposit rate fell marginally in December from where it was in November.

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