Land Valuation Indicator (LVI) for Colombo District increased to 155.1 during the first half of 2021. The annual increase of 9.5 and the semi-annual increase of 6.8 of LVI, reversed the declining trend observed in the LVI increases over the last two years.
All sub-indicators of LVI, namely Residential LVI, Commercial LVI and Industrial LVI, contributed to the overall increase. Industrial LVI recorded the highest annual increase of 10.1 per cent, followed by Residential LVI and Commercial LVI.
Headline inflation, as measured by the year-onyear (Y-o-Y) change in the Colombo Consumer Price Index (CCPI, 2013=100)1 , increased to 5.7 per cent in July 2021 from 5.2 per cent in June 2021. This was driven by monthly increases of prices of items in the Non-food category. Subsequently, Food inflation (Y-o-Y) decreased to 11.0 per cent in July 2021 from 11.3 per cent in June 2021, while Non-food inflation (Y-o-Y) increased to 3.2 per cent in July 2021 from 2.5 per cent in June 2021.
The CCPI, measured on an annual average basis, increased marginally to 4.2 per cent in July 2021 from 4.1 per cent in June 2021.
Headline inflation, as measured by the year-on-year (Y-o-Y) change in the National Consumer Price Index (NCPI, 2013=100), remained unchanged at 6.1 per cent in June 2021 due to the statistical effect of the high base prevailed in June 2020. Meanwhile, Food inflation (Y-o-Y) decreased to 9.8 per cent in June 2021 from 10.3 per cent in May 2021 and Non-Food inflation (Y-o-Y) increased to 2.9 per cent in June 2021 from 2.5 per cent in May 2021.
The NCPI, measured on an annual average basis, also remained unchanged at 5.4 per cent in June 2021.
By virtue of the powers vested under Section 19 (1) read together with section 19 (2) of the Financial Transactions Reporting Act, No. 06 of 2006 (FTRA), financial penalties are imposed on Institutions for non-compliance with the provisions of the FTRA. The penalty may be prescribed taking into consideration the nature and gravity of relevant non- compliance of the Financial Institution.
Accordingly, as Sri Lanka’s regulator for Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT), the FIU imposed penalties, amounting to Rs. 3.0 million in total for the period from 1 April 2021 to 30 June 2021 to enforce compliance on Financial Institutions. The money collected as penalties were credited to the Consolidated Fund.
Following the announcement by Moody’s Investors Service on Sri Lanka’s Sovereign rating, the Ministry of Finance has issued a response, which can be found on the link below:
The Central Bank of Sri Lanka (CBSL) has published a special publication on the history of currency used in Sri Lanka, titled “The 70 Year Journey of Currency Issue and Management” co-authored by Retired Director Communications of CBSL, Ms. Shellomi H Gunawardena and Retired Senior Manager of CBSL, Mr. W M K Weerakoon.
The authors have utilized their years of experience at the Currency Department of CBSL, in compiling this publication, to be used as a reference for bankers, students, numismatists, and others who would be interested in the history pertaining to currency in Sri Lanka. The book carries attractive colour illustrations of currency notes and coins used in Sri Lanka from ancient times with historical narratives, which also provide a glimpse of the political, economic and cultural background of the country over the past 70 years.
‘Economic and Social Statistics of Sri Lanka – 2021’, an annual publication of the Central Bank of Sri Lanka, is now available for public access.
Statistics Department of the Central Bank of Sri Lanka restructured the layout of the publication last year, for ease of reference, while adding more statistics to enrich its content. Accordingly, the publication consists of statistical tables categorised under eight major areas, i.e. ‘National Accounts’, ‘Economic and Social Infrastructure’, ‘Prices, Wages and Employment’, ‘External Trade and Finance’, ‘Government Finance’, ‘Money and Capital Markets’, ‘Financial Sector’ and statistics of other countries.
Purchasing Managers' Indices for both Manufacturing and Services activities recovered in June.
Manufacturing activities recovered marginally during June 2021 from the adverse impacts of the third wave of the COVID-19 pandemic.
Services PMI returned to the growth territory in June 2021, recording an index value of 51.3, after declining for two consecutive months.
The deficit in the trade account widened on a year-on-year basis for the third consecutive month in May 2021. Both exports and imports were significantly higher in May 2021 than in May 2020, mainly due to the statistical effect of pandemic related disruptions a year ago. Earnings from exports increased, while imports declined in May 2021 compared to the previous month. During the month, workers’ remittances continued to increase, while earnings from tourism remained at minimal levels. In the financial account, foreign investment in the government securities market and the Colombo Stock Exchange (CSE) recorded marginal net outflows in May 2021. Meanwhile, the Sri Lankan rupee remained broadly stable throughout the month, and gross official reserves stood at US dollars 4.0 billion by end May 2021.
Mr Sanjeeva Jayawardena, President’s Counsel, has been re-appointed to the Monetary Board of the Central Bank of Sri Lanka (CBSL), for a fresh term of 6 years, up to June 2027, by His Excellency the President Gotabaya Rajapaksa, consequent to his nomination being approved by the Parliamentary Council.
Mr.Sanjeeva Jayawardena is the first President’s Counsel to serve on the Monetary Board of the CBSL.
He presently serves as the Chairman of the Monetary Board Level, External Debt Monitoring Committee and as the Chairman of the Board Risk Oversight Committee. He also chairs the Ethics Committee of the CBSL.
