Business News Asia
The Bank of Sri Lanka (CBSL) left the key interest rate unchanged today, as expected. It said the central bank’s monetary policy is currently very tight after several major rate hikes this year.
CBSL has decided to keep the standing loan facility rate at 15.50% and the standing deposit facility rate at 14.50%.
On September 1, the International Monetary Fund (IMF) reached a preliminary agreement with the Sri Lankan government under which the IMF will provide Sri Lanka with a loan of $2.9 billion for a period of 48 months. This is intended to stabilize Sri Lanka’s economy, which is currently in a severe crisis.
The loan is being provided under the IMF’s Extended Fund Facility, a program established by the IMF to help countries address balance of payments or cash flow problems.