Inflation ( CCPI)0.9% (May 2024)
GDP5.3% (1Q 2024)
Unemployment4.3% (4Q 2023)
3M T-Bill Rate9.39%
12M T-Bill Rate9.90%
2Y T-Bond Rate10.10%/ 10.20%
4Y T-Bond Rate11.10% / 11.25%
USD/LKR304/305
Reserves $5.4Bn (May 2024)
Cum. Trade Deficit $1,229 Mn (March 2024 cumulative)
Cum. Fiscal DeficitLKR 2,320 Bn (Dec 2023)

Benchmarked Interest rate kept at same level by CBSL 16.50% / 15.50% at Policy meeting today

Interest RatesApr 4, 2023
Benchmarked Interest rate kept at same level by CBSL 16.50% / 15.50% at Policy meeting today

Having considered the recent and expected economic developments, and macroeconomic projections on domestic and global fronts, the Board viewed the maintenance of the prevailing tight monetary policy stance as necessary.

CBSL projects, Inflation is to follow a faster disinflation path, thereby further anchoring inflation expectations. It further, estimates external sector outlook improved with the finalization of the IMF-EFF, along with further financing assistance envisaged in the period ahead.

CBSL expects the downward trend to persist in the period ahead with the falling risk premia and domestic economic activity is expected to recover gradually towards late 2023.

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.