News
CBSL: Debt servicing won’t lead to huge depreciation of rupee
By Rathindra Kuruwita
It is unlikely that the rupee will significantly depreciate following the recommencement of bilateral and commercial debt servicing, says Director of the Central Bank Economic Research Department, Dr. P. K. G. Harischandra.
Dr. Harischandra said so when he was asked by journalists yesterday whether the rupee would depreciate significantly when the country resumed the repayment of bilateral and commercial debt. He said that Sri Lanka had continued to service the debt from multilateral organisations.
“We won’t have to pay bilateral and commercial loans immediately. There will be a grace period due to debt restructuring,” he said.
Dr. Harischandra said Sri Lanka would receive funds from the IMF, the World Bank and the Asian Development Bank.
“There is no reason why we can’t manage debt restructuring,” he said.
Commenting on speculations that there would be sharp exchange rate fluctuations, Dr. Harischandra said there was also no reason to expect large fluctuations in the exchange rate in the future. Undue speculations might just hurt market players, he said.
“There have been slight ups and downs in recent months. In 2022, the rupee depreciated by over 45 percent. Such sharp fluctuations of course affect inflation. However, slight fluctuations don’t really affect inflation. If you look at inflation between 2009 and 2020, it was in single digits, but there was noticeable depreciation during that time. There is a trade gap of about 400 million U.S. dollars a month. But we get about 485 million dollars a month by way of remittances. We also get a substantial amount from tourism. There isn’t a lot of pressure from the trade gap,” he said.
Dr. Harischandra said that inflation would drop further in August and would stabilise.
Police urge motorists who intend to use the Ella – Wellawaya Road to use alternative roads as there is a severe vehicle congestion due to inclement weather condition.
The oil anointing ceremony for the Sinhala and Tamil New Year was held on April 16 at the historic Rajamaha Viharaya in Kolonnawa, with the participation of Prime Minister Dr. Harini Amarasuriya.
Following the chanting of pirith, the oil anointing ritual was carried out at the auspicious time of 9:04 a.m., by the Chief Incumbent of the temple, Venerable Kolonnawa Dhammika Thero.
Speaking after the ceremony the Prime Minister said that:
“The Sinhala and Tamil New Year is one of the most important festivities in our country. It is a celebration with our families, reflecting our traditions and customs while strengthening the ties.
This festival leads the path for renewing unity, love, and bonds stronger. These values enrich a country. Development of a country is not limited by one-dimensional; a true development includes spirituality, relationships, and connections. The reason why we uphold these customs in such ceremonies is to remind ourselves of the significance and to pass on their value to future generations.
Therefore, today marks a significant day. Throughout this week, we came together and engaged in various activities. Followed by, the next event will mark the leaving for employment at the auspicious time and we should start working collectively to rebuild the country.
I wish everyone a New Year that is prosperous, peaceful, joyful, full of strengthened relationships, and most importantly, safe for all.”
The ceremony was graced by the presence of the Maha Sangha, and attended by the Deputy Minister of Youth Affairs Eranga Gunasekara, Divisional Secretary to Kolonnawa Priyanath Perera, Municipal Secretary Nelum Kumari Gamage, and the residents of the area.
[Prime Minister’s Media Division]
Latest News
Heat Index at ‘Caution Level’ at some places in Northern, North-central, North-western, Western, Southern and Eastern provinces and in Rathnapura and Monaragala districts today [16]
Warm Weather Advisory Issued by the Natural Hazards Early Warning Centre of the Department of Meteorology for 16 April 2025
The Heat index, the temperature felt on human body is likely to increase up to ‘Caution level’ at some places in Northern, North-central, North-western, Western, Southern and Eastern provinces and in Rathnapura and Monaragala districts.
The Heat Index Forecast is calculated by using relative humidity and maximum temperature and this is the condition that is felt on your body. This is not the forecast of maximum temperature. It is generated by the Department of Meteorology for the next day period and prepared by using global numerical weather prediction model data.
Effect of the heat index on human body is mentioned in the table below and it is prepared on the advice of the Ministry of Health and Indigenous Medical Services.
ACTION REQUIRED
Job sites: Stay hydrated and takes breaks in the shade as often as possible.
Indoors: Check up on the elderly and the sick.
Vehicles: Never leave children unattended.
Outdoors: Limit strenuous outdoor activities, find shade and stay hydrated. Dress: Wear lightweight and white or light-colored clothing.
Note:
In addition, please refer to advisories issued by the Disaster Preparedness & Response Division, Ministry of Health in this regard as well. For further clarifications please contact 011-7446491.
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