• Governing Board of the Central Bank of Sri Lanka

    The newly established Governing Board of the Central Bank of Sri Lanka, constituted under the provisions of the recently promulgated Central Bank Act No. 16 of 2023, was held today, the 21st of September 2023, at the Board Room of the Central Bank of Sri Lanka.

    The Newly established Governing Board, succeeds the Monetary Board that functioned previously, under the provisions of the Monetary Law Act (MLA).

    Today’s meeting of the new Governing Board of the Central Bank, was held, with the participation of the following members :-

  • Publication of Financial Soundness Indicators – Banks and Licensed Finance Companies

    The Central Bank has released ‘Financial Soundness Indicators’ as a key tool for communicating the performance of banks and finance companies supervised by the Central Bank. The publication includes key ratios and financials used in policy analyses for identifying strengths and vulnerabilities in the financial system.

    The publication presents sectoral financial information such as assets, liabilities, earnings, profits and capital whilst providing key ratios associated with each category. This publication will be a useful and reliable source of reference for those who are interested in the performance of major financial institutions in Sri Lanka.

  • Sri Lanka Purchasing Managers’ Index (Manufacturing and Services) - August 2023

    Purchasing Managers Indices in August 2023 indicated an expansion in Services activities and a softening of the contraction in Manufacturing activities.

    Manufacturing PMI recorded an index value of 49.3 in August 2023, reaching closer to the neutral threshold, indicating signs of a recovery in manufacturing activities compared to previous months. Considering the sub-indices, New Orders and Suppliers' Delivery Time increased during the month, while Production and Employment remained contracted.

  • Asia Pacific Group on Money Laundering Visit to Sri Lanka – Mutual Evaluation Preparation Briefing and Workshop (6th to 8th September 2023)

    In response to an invitation from the Financial Intelligence Unit of Sri Lanka, a high-level delegation from the Asia Pacific Group on Money Laundering (APG) visited Sri Lanka to engage with local authorities and provide them with crucial insights regarding the upcoming mutual evaluation of Sri Lanka’s Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) Framework. The international delegation included:

  • Settlement of Exchange of Accepted Eligible Treasury Bonds for Twelve (12) New Step-Down Fixed Coupon Treasury Bonds pursuant to the Domestic Debt Optimisation Programme (DDO)

    The Treasury bond Exchange Memorandum dated 04 July 2023 (the "Exchange Memorandum") was published by the Ministry of Finance, Economic Stabilization and National Policies with subsequent announcement of the results of the Invitation to Exchange Treasury bonds on 12 September 2023 (terms used herein but otherwise not defined have the meanings given to such terms in the Exchange Memorandum).

    Accordingly, outstanding Eligible Bonds for which valid Offers were accepted by the Republic were converted by reference to the Exchange Consideration Ratio into twelve (12) new step-down fixed coupon* Treasury bonds and settled on 14 September 2023 as follows:

  • Participation of the Employees’ Provident Fund in the Domestic Debt Optimisation Programme

    The Employees’ Provident Fund (EPF/the Fund) wishes to inform its members that as an eligible participant and with the approval of the Monetary Board of the Central Bank of Sri Lanka, it has submitted an offer to exchange the portfolio of Treasury Bonds of the EPF under the Domestic Debt Optimization (DDO) programme in terms of the invitation made by the Ministry of Finance, Economic Stabilisation and National Policies (MOF) following a Resolution adopted by Parliament.

  • The Financial Intelligence Unit of Sri Lanka Releases the Sanitized Report of the Second National Risk Assessment on Money Laundering and Terrorism Financing

    The Financial Intelligence Unit of Sri Lanka (FIU) published the sanitized report of the 2021/22 National Risk Assessment (NRA) on Money Laundering and Terrorist Financing (ML/TF), which was developed based on the assessment conducted by the FIU of the Central Bank of Sri Lanka (CBSL) together with public and private sector stakeholders. This assessment was aimed at identifying the ML/TF risks in the country. The assessment highlights the most significant ML/TF threats, vulnerabilities, and risks faced by Sri Lanka.  

  • Bimputh Finance PLC-Cancellation of Licence issued under the Finance Business Act, No. 42 of 2011

    Bimputh Finance PLC (BFP), a Licensed Finance Company under the Finance Business Act, No. 42 of 2011 (FBA) has continuously been violating/contravening provisions of the FBA, several general Directions and Rules that have been issued with the view to achieve the overall objective of financial system stability and also specific directions issued to BFP in order to address the critical financial position of the company. Consequently, the financial condition of BFP had been deteriorating due to deficient capital level, poor asset quality and continuous losses.

  • CCPI based headline inflation experienced a further slowdown in August 2023

    Headline inflation, as measured by the year-on-year (Y-o-Y) change in the Colombo Consumer Price Index (CCPI, 2021=100)1 decreased to 4.0% in August 2023 from 6.3% in July 2023. The decline in the headline inflation is mostly in line with the projections envisaged by the Central Bank of Sri Lanka (CBSL) in July 2023.

    The Food deflation (Y-o-Y) continued for the second consecutive month recording 4.8% in August 2023 from 1.4% in July 2023. Meanwhile, the Non-Food inflation (Y-o-Y) decreased further to 8.7% in August 2023 from 10.5% in July 2023. Monthly change of CCPI recorded at -0.02% in August 2023 due to the combined effect of price decreases of -0.41% observed in the items of Food category and price increases of 0.39% recorded in the items of Non-Food category. The core inflation (Y-o-Y), which reflects the underlying inflation in the economy, decreased to 4.6% in August 2023 from 5.9%* in July 2023.

    As a result of the policy measures taken thus far, and well anchored inflation expectations, inflation is expected to stabilise around mid-single digit levels over the medium term.

  • External Sector Performance - July 2023

    Merchandise trade deficit widened in July 2023 due to the combined impact of relatively low export earnings and high import expenditure, compared to July 2022. However, cumulative trade deficit during January-July 2023 remained significantly low, compared to the corresponding period in 2022.

    Workers’ remittances increased notably and earnings from tourism continued to improve in July 2023, over the same period last year.  

    Foreign investment in the government securities market recorded a net outflow, while the Colombo Stock Exchange recorded net foreign inflows during July 2023. 

    Gross official reserve level (GOR) recorded at US dollars 3.8 billion by end July 2023.

    The Sri Lanka rupee experienced some volatility against the US dollar in July 2023.

Pages

more

About

More Services

Useful Sites

Follow Us