Notable
The high nominal interest rate which is a function of monetary instability and destruction of domestic capital
In one case matters 15 years old were raised. He ultimately simplified his affairs, and retreated from active business
More closely the single policy rate is targeted the, the bigger the crisis Sri Lanka will have
Sri Lanka is facing external and domestic monetary headwinds in 2026
Qatar and Dubai protected their money from macro-economists in 1966
The current account surplus allowed a part of the capex to be financed with taxes for the first time since 1987
True undated securities may be too ambitions but a start could be made with 5 to 10 year securities
Sri Lanka does not actually have a single policy rate like the Bank of England now
By the 1950s academics in US and UK had rejected economics of Hume, Ricardo and Smith, becoming branches without a tree
There are several red flags and one green one
There are quick fixes and numerous longer term reforms that can fundamentally change the country
The 4Q events were a dress rehearsal of what would happen later when private credit picks up
There no political policy rate, single or otherwise during periods of stability and growth when good money was provided
Food prices go up due to a combination of government controls and also money printing
Trade cannot cause monetary troubles. Monetary troubles are caused by flawed 'monetary policy'.
Sri Lanka can cut or remove policy floor but should not print money for a mid corridor or single rate
| Latest | Last | |
|---|---|---|
| US Dollar | 331.7485 | 330.8514 |
| UK Pound | 443.7468 | 438.3450 |
| Euro | 372.5204 | 371.0168 |
| Yen | 2.0969 | 2.0916 |
| Aus Dollar | 233.0533 | 231.1659 |
| Latest | Last | |
|---|---|---|
| Indian Rupee | 3.4948 | 3.4202 |
| Korean Won | 0.2499 | 0.2479 |
| Oman Rial | 861.6397 | 859.3320 |
| Saudi Riyal | 88.4403 | 88.0955 |
| UAE Dirham | 90.3209 | 90.0766 |
| pts | % | |
|---|---|---|
| S&P SL20 | 5,656.91 | -0.43% |
| CSE All Share | 19,927.30 | -0.28% |
| Turnover Rs | 1457.79 million | 1193.67 million |
| Latest | Last | |
|---|---|---|
| 3-m bill | 7.61 | 7.84 |
| 6-m bill | 7.91 | 8.26 |
| 12-m bill | 8.23 | 8.3 |
| 3-yr bond | 9.24 | 9.25 |
| 5-yr bond | 9.82 | 9.56 |
| 8-yr bond | 10.50 | 10.48 |
| today | yesterday | |
|---|---|---|
| Overnight Money | 7.70 | 7.69 |
| Gilt Repo | 7.74 | 7.72 |
| I-m SLIBOR | - | - |
Cutting VAT without changing the law to display tax separately may lead to them from being pocketed by businesses
A central bank with 'instrument independence' can print money at will
Dedollarization and monetary policy modernization could turn the latest export powerhouse, Cambodia into a Sri Lanka
Sri Lanka's inflation was the same as the US, before IMF's Second Amendment misled macroeconomists into bad anchors
Exchange controls and depreciation, is sad indictment of a knowledge gap in the 'age of inflation'.
The tragedy of the ungovernable third world with unsound money
In Sri Lanka and pegged countries, rate cuts also trigger outmigration as currencies collapse
Deeper haircuts are not a guarantee against future defaults
Outlawing central bank swaps should be a key measure in preventing a second default
Stabilization provide fertile grounds to elect the fringe
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