Sri Lanka Central Bank Cuts Rates Unexpectedly

RTTNews | 372天前
Sri Lanka Central Bank Cuts Rates Unexpectedly

(RTTNews) - Sri Lanka central bank lowered its policy rates unexpectedly by 25 basis points on Wednesday as inflation is expected to remain below the target over coming months.

The Central Bank of Sri Lanka decided to reduce the Standing Deposit Facility Rate by 25 basis points to 8.25 percent and the Standing Lending Facility Rate to 9.25 percent.

The bank had reduced rates by a cumulative 625 basis points since 2023.

"The Board underscored the need to signal its desire to continue eased monetary conditions to sustain the revival of economic activity towards the full potential, in the absence of significant inflationary pressures," the bank said in a statement.

The central bank said financial institutions are expected to transmit the benefits of easing by adjusting lending rates.

The board expects inflation to remain below the target of 5 percent by a 'sizeable margin' for the next several months before aligning with the targeted level over the medium-term.

Due to the downward revisions to the electricity tariffs and fuel and gas prices and weaker demand, headline inflation fell to 1.7 percent in June. Last month, the International Monetary Fund released $336 million tranche to Sri Lanka to support its economic policies and reforms.

The executive board on completion of Article IV consultation said monetary policy should continue prioritizing price stability, supported by a sustained commitment to refrain from monetary financing and safeguard central bank independence.

read more
Sri Lanka Cuts Key Interest Rates By 50 Bps

Sri Lanka Cuts Key Interest Rates By 50 Bps

Sri Lanka's central bank unexpectedly reduced its benchmark rates on Tuesday to support the economic recovery. The Monetary Policy Board of the Central Bank of Sri Lanka, led by Governor Nandalal Weerasinghe, decided to cut the Standing Deposit Facility Rate by 50 basis points to 8.50 percent and the Standing Lending Facility Rate to 9.50 percent.
RTTNews | 492天前
Sri Lanka Central Bank Slashes Key Rates By 100 Bps

Sri Lanka Central Bank Slashes Key Rates By 100 Bps

The Central Bank of Sri Lanka lowered its benchmark rates by 100 basis points on Thursday citing faster deceleration of inflation. The Standing Deposit Facility Rate and the Standing Lending Facility Rate were reduced by 100 basis points to 10.00 percent and 11.00 percent, respectively.
RTTNews | 665天前
Sri Lanka Central Bank Keeps Rates Steady Amid Economic Crisis

Sri Lanka Central Bank Keeps Rates Steady Amid Economic Crisis

Sri Lanka's central bank kept its key interest rate unchanged on Wednesday as runaway inflation showed signs of slowdown, and amid the country's negotiations with the International Monetary Fund to secure a $2.9 billion rescue deal to get the economy back on track. The Monetary Board of the Central Bank of Sri Lanka decided to maintain the Standing Deposit Facility Rate at 14.50 percent.
RTTNews | 918天前
Swiss Market Ends Moderately Lower

Swiss Market Ends Moderately Lower

Despite a decent spell in positive territory till about an hour before noon, the Switzerland market turned weak and kept drifting lower as the session progressed on Thursday to eventually settle with a moderate loss.
RTTNews | 2小時9分鐘前
European Stocks Close Mostly Weak As Investors React To Earnings

European Stocks Close Mostly Weak As Investors React To Earnings

European markets closed mostly lower on Thursday as investors reacted to a slew of earnings announcements and digested the latest batch of economic data from the region, and also followed the developments on the trade front.
RTTNews | 2小時39分鐘前
U.S. Consumer Price Growth Matches Estimates In June

U.S. Consumer Price Growth Matches Estimates In June

A closely watched report released by the Commerce Department on Thursday showed consumer prices in the U.S. increased in line with economist estimates in the month of June. The Commerce Department said its personal consumption expenditures (PCE) price index rose by 0.3 percent in June after inching up by an upwardly revised 0.2 percent in May.
RTTNews | 5小時27分鐘前
German Unemployment Rises In July

German Unemployment Rises In July

Germany's unemployment increased less than expected in July but the overall number of people out of work remained close to the 3 million mark due to the prolonged period of economic slowdown, official data revealed on Thursday. The number of unemployed rose by less-than-expected 2,000 from June, the Federal Employment Agency said. For July, economists had forecast an increase of 15,000.
RTTNews | 6小時10分鐘前