News
B’desh gives Lanka 6 more months to repay $200m loan
The Bangladesh Bank has extended the repayment period of the $200 million loan to Sri Lanka by six months until September this year amid the recovery of the South Asian country from its devastating economic crisis.
The central bank made the decision at its board meeting on Thursday, a senior official, wishing to remain unnamed, told The Business Standard of India.The Bangladesh Bank lent $50 million to Sri Lanka for the first time in August 2021. Later, it provided another $150 million in two phases.
The debt-burdened Sri Lanka was supposed to repay the loan within March this year. Sri Lankan central bank Governor Nandalal Weerasinghe in a meeting with Bangladesh Bank Governor Abdur Rauf Talukder last October also said they would repay it on time.
Meanwhile, Thursday’s board meeting of the Bangladesh Bank also in-principal approved the monetary policy for the second half of the FY23, Bangladesh Bank Spokesperson and Executive Director Md Mezbaul Haque confirmed to TBS.
“Taming inflation and keeping liquidity supply normal are the main objectives of the monetary policy. The formulation is still in progress.”
“As the policy is not finalised yet, nothing can be said for sure. We will let everyone know [about the changes] on 15 January,” he added.
In the monetary policy for FY23, the central bank projected private sector credit growth at 14.10% until June next, which was 14.80% in the previous edition of the monetary policy.
According to the latest data by the central bank, the growth rate hovered near 14% in the first five months of the ongoing fiscal year – 13.97% in November, 13.91% in October, 13.93% in September, 14.07% in August and 13.95% in July 2022.
Besides, the net government borrowings from banks stood at Tk32,249 crore in the first six months of FY23.
The Bangladesh Bank used to announce half-yearly monetary policies before the pandemic. In FY20 and FY21, it announced the policy for a year. This year the central bank has returned to its normal way.The recently visited delegation of the International Monetary Fund also suggested the announcement of monetary policy twice a year.
Latest News
IMF Executive Board approves US$206 Million in Emergency Financial Support for Sri Lanka
The IMF Executive Board approved emergency financing under the Rapid Financing Instrument (RFI), providing Sri Lanka with immediate access to SDR 150.5 million (about US$206 million,
equivalent to 26 percent of quota) to help Sri Lanka address the urgent needs arising from the catastrophic Cyclone Ditwah and preserve macroeconomic stability.
In response to severe weather impacts, the Sri Lanka Navy conducted a diving and technical assistance operation on Friday (19 Dec 25) to clear major debris obstructing vital infrastructure.
Heavy rainfall caused a significant rise in the water level of the Mahaweli River, washed large quantities of debris, including logs and bamboo, downstream. These remain lodged in the Diyakapanathota in Gatambe, Peradeniya and Lewella bridges, obstructing the smooth flow of water.
Acting promptly upon request, a Navy diving team executed a coordinated operation in collaboration with the Road Development Authority. The team removed the accumulated debris, restoring normal water flow through the bridges.
Latest News
Landslide early warnings issued to the districts of Badulla, Kandy, Kurunegala, Matale and Nuwara-Eliya extended till 8AM on Sunday (21)
The Landslide Early Warning Centre of the National Building Research Organization (NBRO) has extended the Landslide Early Warning issued to the districts of Badulla, Kandy, Kurunegala, Matale and Nuwara-Eliya till 08:00AM on Sunday (21st December 2025)
The LEVEL III RED landslide early warnings issued to the Divisional Secetaries Divisions and surrounding areas of Medadumbara, Doluwa, Ududumbara and Minipe in the Kandy district, and Nildandahinna, Hanguranketha, Mathurata and
Walapane have been extended.
LEVEL II AMBER landslide early warnings have also been issued to the Divisional Secetaries Divisions and surrounding areas of Soranathota, Hali_Ela, Passara, Meegahakivula, Badulla, Lunugala and Kandeketiya in the Badulla district, Thumpane, Harispattuwa, Udapalatha, Kundasale, Akurana, Poojapitiya, Udunuwara, Pathadumbara, Pasbage Korale, Gangawata Korale, Hatharaliyadda, Yatinuwara, Ganga Ihala Korale, Panvila, Pathahewaheta and Deltota in the Kandy district, Rideegama in the Kurunegala district, Ukuwela, Naula, Matale, Ambanganga Korale, Rattota, Pallepola, Wilgamuwa, Yatawatta and Laggala Pallegama in the Matale district, and Nuwara-Eliya in the Nuwara-Eliya district.
LEVEL I YELLOW landslide early warnings have been issued to the Divisional Secetaries Divisions and surrounding areas of Uva Paranagama, Welimada, Haputhale, Haldummulla, Ella and
Bandarawela in the Badulla district, Alawwa, Mallawapitiya,
Polgahawela and Mawathagama in the Kurunegala district, and Kothmale East, Ambagamuwa Korale, Kothmale West, Thalawakele and Norwood in the Nuwara-Eliya district.
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IMF Executive Board approves US$206 Million in Emergency Financial Support for Sri Lanka
Navy clears major bridge obstructions in Peradeniya and Lewella
Landslide early warnings issued to the districts of Badulla, Kandy, Kurunegala, Matale and Nuwara-Eliya extended till 8AM on Sunday (21)
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