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New Governor stresses need for CBSL independence
The Central Bank of Sri Lanka (CBSL) had to operate independently, newly appointed Governor of the Central Bank, Dr. Nandalal Weerasinghe said yesterday, addressing the media.
Dr. Weerasinghe added that Sri Lanka’s inflation was expected to reach 25% by next month.
The Central Bank earlier increased the Deposit Facility Rate (SDFR) and the Standing Lending Facility Rate (SLFR) of the Central Bank by 700 basis points to 13.50 percent and 14.50 percent.
The new Governor added that due to increased interest rates the economic growth would be lower.
“Right now what’s important is stability. We need to apply brakes and that’s the objective. It will get worse before it gets better,” he said.
Dr. Weerasinghe added that there were many positives in increasing interest rates, including addressing balance of payment problems.
“Now, the government will be able to raise money from primary auctions,” he said.
Due to low interest rate maintained during the past few years, large companies benefited greatly, Dr. Weerasinghe said.
“Despite the pandemic issues, big corporates made historic gains. This was due to low taxes and low interest rates. People who were saving and paying taxes were funding corporates. Its time to repay.
Everything has trade-offs,” the new Governor said.
Dr. Weerasinghe said that people who were living on savings had been badly affected in the past two years. He added that he was not serving politicians.
Earlier in the day, the Central Bank of Sri Lanka increased the Deposit Facility Rate (SDFR) and the Standing Lending Facility Rate (SLFR) of the Central Bank by 700 basis points to 13.50 per cent and 14.50 per cent.
Issuing a press release the Central Bank said that the rate increase comes into effect from the close of business on 08 April 2022.
The Central Bank said that they noted that inflationary pressures that could further intensify in the period ahead.
These pressures would be driven by the build-up of aggregate demand, domestic supply disruptions, exchange rate depreciation and the elevated prices of commodities globally.
Therefore the bank was of the “view that a substantial policy response is imperative to arrest the buildup of added demand driven inflationary pressures in the economy and preempt the escalation of adverse inflationary expectations, to provide the required impetus to stabilize the exchange rate and also to correct anomalies observed in the market interest rate structure.”
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Advisory for Severe Lightning issued to the Western and Sabaragamuwa provinces and Nuwara-Eliya, Galle and Matara districts
Advisory for Severe Lightning
Issued by the Natural Hazards Early Warning Centre at 12.00 noon 19 February 2026 valid for the period until 11.00 p.m. 19 February 2026
The public are warned that thundershowers accompanied with severe lightning are likely to occur at some places in in the Western and Sabaragamuwa provinces and in Nuwara-Eliya, Galle and Matara districts after 2.00 p.m.
There may be temporary localized strong winds during thundershowers.
General public is kindly requested to take adequate precautions to minimize damages caused by lightning activity.
ACTION REQUIRED:
The Department of Meteorology advises that people should:
Seek shelter, preferably indoors and never under trees.
Avoid open areas such as paddy fields, tea plantations and open water bodies during thunderstorms.
Avoid using wired telephones and connected electric appliances during thunderstorms.
Avoid using open vehicles, such as bicycles, tractors and boats etc.
Beware of fallen trees and power lines.
For emergency assistance contact the local disaster management authorities.
News
Navy and Coast Guard seize 04 Indian fishing vessels poaching in Sri Lankan waters
During operations conducted in the dark hours of 18 Feb 26, the Sri Lanka Navy and Coast Guard seized 04 Indian fishing boats and apprehended 22 Indian fishermen, while they were poaching in Sri Lankan waters north of Mannar and off the Delft Island, Jaffna.
Recognizing the detrimental effects of poaching on marine resources and the livelihoods of local fishing communities, the Sri Lanka Navy and Coast Guard continue to conduct regular operations as proactive measures to deter such activities. These efforts underscore the collective robust approach and steadfast commitment to safeguarding the nation’s marine ecosystems while ensuring the economic security and wellbeing of its citizens.
The 02 fishing boats along with the 10 fishermen held in Mannar were handed over to the Fisheries Inspector of Mannar and the remaining 02 fishing boats intercepted off the Delft Island, together with 12 Indian fishermen were handed over to the Fisheries Inspector of Myliddy for onward legal proceedings.
News
Ambassador of Switzerland to Sri Lanka pays courtesy call on PM
The Ambassador of Switzerland to Sri Lanka Dr. Siri Walt paid a courtesy call on Prime Minister Dr. Harini Amarasuriya on the 17th of February at the Temple Trees.
Welcoming the Ambassador of Switzerland to Sri Lanka the Prime Minister briefed the Ambassador on her recent visit to Davos to participate in the World Economic Forum Annual Meeting noting that the series of high-level bilateral meetings held on the sidelines of the Forum, along with two important industry visits provided valuable insights for Sri Lanka’s economic engagement.
The discussion focused on Switzerland’s vocational education and training (VET) system, with particular interest in exploring possible cooperation and knowledge-sharing opportunities.
The Prime Minister also conveyed her appreciation for the assistance extended by the Government of Switzerland following Cyclone Ditwah. She emphasized Sri Lanka’s need for enhanced technical assistance during the ongoing rebuilding phase, especially in relation to the reconstruction of bridges and railway infrastructure.
Both sides reaffirmed their shared commitment to further strengthening bilateral relations between Sri Lanka and Switzerland, and to expanding cooperation in areas of mutual interest.
First Secretary (Political) of the Embassy of Switzerland in Colombo Ms. Justine Boillat, First Secretary (Migration) of the Embassy of Switzerland in Colombo Ms. Andrea Kienast and the Secretary to the Prime Minister, Pradeep Saputhanthri, Additional Secretary to the Prime Minister, Ms. Sagarika Bogahawatt and officials from the Ministry of Foreign Affairs , Foreign Employment, Tourism.attended the meeting.
[Prime Minister’s Media Division]
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