That the transmission of financial policies to the real economy of this country has not been properly implemented so far, and that interest rates in the private sector should further decrease.
It is reported that Central Bank Governor Acharya Nandalal Weerasinghe made the announcement while participating in a ceremony held yesterday (07).
Also, the central bank governor has indicated that more attention has been paid to the restructuring of domestic debt and that there is an opportunity to further relax the policy rates according to the falling inflation rate.
The Governor of the Central Bank further stated that in order to curb the inflation and monetary pressure caused by the economic crisis in Sri Lanka, steps were taken to raise the interest rates to a record, and in the last two months, the policy rates were able to be reduced by about 450 basis points, and the 3 predicted by the International Monetary Fund. Sri Lanka will be able to achieve a strong performance of the economy rather than a contraction of %.
He has further mentioned that the central bank’s goal is to reach a value between 4% and 6%.