COLOMBO: Sri Lanka’s central bank has kept its benchmark interest rate steady for the second straight meeting to steer inflation toward the target while bolstering an economic recovery.
The Central Bank of Sri Lanka held the overnight policy rate at 8% yesterday.
Six of eight economists surveyed by Bloomberg had predicted the move, while the rest forecast a cut.
“The board remains confident that the prevailing monetary policy stance will ensure that inflation will move towards the target of 5% while supporting the growth of the domestic economy,” the central bank said in a statement on its website.
Sri Lanka’s economy expanded 5% last year, bouncing from a contraction of 2.3% in 2023, and is expected to sustain the pace in the current year. — Bloomberg
