Ceylon Chamber calls on biz community to support CBSL independence

Ceylon Chamber of Commerce yesterday in a bold and welcome statement called on the business community to support Central Bank's independence and policy reform efforts.

It said the Monetary Policy Roadmap 2017 released by the Central Bank of Sri Lanka (CBSL) this week provides an encouraging outlook for the Sri Lankan business community. The Ceylon Chamber of Commerce is encouraged by the future plans of the CBSL with regards to monetary policy, price stability, financial system stability and institutional reforms.

The Roadmap 2017 announced a shift in monetary policy making, towards a flexible inflation-targeting framework away from the current money supply targeting framework. This will be a progressive and ambitious shift, but would need to be implemented over time.

President discusses strategic approach to national program of eradicating poverty

A special discussion on the strategic approach to the national program of eradicating poverty from Sri Lanka was held at the Presidential Secretariat under the patronage of President Maithripala Sirisena on Thursday.

Ministers Sarath Amunugama and Sajith Premadasa, MP Ven. AthuraliyeRathana Thero, Secretary to the President P.B.Abeykoon, secretaries of ministries and senior officials participated in the discussion.

The Government aims to achieve the global sustainable development goals and build a poverty-free Sri Lanka by 2030. Many programs are scheduled to be implemented next year to eradicate poverty.

Fast and confidential public service through economic digitalisation: Ravi K

The economic digitalisation process proposed in Budget 2017 will create a conducive background, giving easy access to markets and technology, Finance Minister Ravi Karunanayake said.

He also pointed out that digitalisation would help middle income countries like Sri Lanka to lay a firm foundation to improve efficiency in the public service by developing human resources and ensuring transparency in State administrations. It will also help end the age-old practice of making illegal economic gains in the sector.

New Public Enterprise Act in 1Q 2017
  • Finishing touches for legislation as documents sent to Attorney General
  • Public Enterprise Board to be established to appoint top management in all SOEs 
  • CPC highest loss-maker at Rs. 18 b, SriLankan Airlines Rs. 16.4 b, SLPA Rs. 9.5 b, SLTB Rs.4 b   

 By Chathuri Dissanayake 

As State-run strategic business entities continue to make losses the Public Enterprise Development Ministry is adding the final touches to introduce the Public Enterprises Act within three months to restructure management, reduce losses and wastage, a top Government official said.  

IMF tells Govt. to wind down forex swaps

By Uditha Jayasinghe 

The International Monetary Fund (IMF) has requested the Government to reduce reliance on currency swaps with commercial banks and grow reserves through direct foreign exchange purchases, which would also extend to maintaining a flexible exchange rate and inflation targeting to build insulation amidst growing external vulnerabilities.  

IMF staff team head Jaewoo Lee, talking to reporters after the approval of the second tranche of the $ 1.5 billion Extended Fund Facility (EFF), warned that Sri Lanka should avoid opening up a fresh front of vulnerability given its high debt and other macroeconomic challenges. 

Rate hike looms in 2017: IMF
  • SL performance under EFF broadly satisfactory, praises Govt. on revenue collection
  • Warns growing global vulnerabilities calls for readiness to tighten policy
  • Trims 2016 growth forecast to 4.5% and 2017 to 4.8%
  • Says proposed Inland Revenue Act crucial, structural reform pace slow   

By Uditha Jayasinghe

The International Monetary Fund (IMF) yesterday termed Sri Lanka’s performance under its Extended Fund Facility (EFF) “broadly satisfactory” and praised the Government for exceeding targets in revenue collection but warned increasing external vulnerabilities could affect growth targets and warrant fresh tightening of rates in 2017.  

London Stock Exchange welcomes SL financial community

Prime Minister Ranil Wickremesinghe and Finance Minister Ravi Karunanayake chat with one of the employees of the new centre of LSEG. Donald Brydon, LSEG Chairman and CEO Xavier Rolet are also present -Pic by Upul Abayasekera

  • Upbeat of “enormous potential” and offers expertise on Govt. projects LSE Group opens 
  • state-of-the-art technology facility at TRACE City in Maradana employing 400
Govt, ADB sign $ 250 m boost for capital markets

The Government on Friday entered into a loan agreement with the Asian Development Bank to obtain a loan of $ 250 m from the Ordinary Capital Resources Fund of the Asian Development Bank to implement the Capital Market Development Program in Sri Lanka.