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New Governor stresses need for CBSL independence

Published

4 years ago

2022/04/9

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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Cabinet aporives recruitment of Nursing Instructors for Nursing Schools under the Ministry of Health and Mass Media on Contract Basis

Published

6 hours ago

2026/09/1

Priyan

There are 17 nursing schools under the Ministry of Health and Mass Media including the postgraduate primary nursing school.

There are 142 vacancies in the posts of Grade I / Special Grade Nursing Officer (Education) as on 31.03.2026 in those schools while 24 officers are to be promoted to the special grade on 31.12.2025 owing to the vacancies existing in the post of Special
Grade Nursing Officer (Education). Therefore, the number of vacancies is to be 166.

In addition, there are 24 vacancies in the post of Special Grade Nursing Officer (Education).

Although at present action has been taken to upgrade the nursing schools to nursing colleges and upgrade the nursing diploma course to nursing degree course, no action has been taken so far to carry out recruitment for the training relevant to the appointment for the post of Grade I / Special Grade Nursing Officer (Education).

Accordingly, the Cabinet of Ministers granted approval to the resolution furnished by the Minister of Health and Mass Media to recruit retired nursing instructors and nursing instructors who served in the nursing schools belonging to the three armed forces and are retired or have resigned legitimately from service to the post of Grade I / Special Grade Nursing Officer (Education) on contract basis.

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Signing agreement for the establishment of BIMSTEC Technology Transfer Facility in Sri Lanka

Published

6 hours ago

2026/09/1

Priyan

It has been decided to establish a BIMSTEC technology transfer facility in Sri Lanka by entering into a Host Country Agreement at the second leaders’ summit of BIMSTEC (Bay of Bengal
Initiative for Multi-Sectoral Technical and Economic Cooperation) held in New Delhi, India, in 2008, with the objective of enhancing regional cooperation.

The relevant cooperation agreement was signed by the member countries at the 5th BIMSTEC summit on 30-03-2022 in Colombo.
The prime objective of this technology transfer facility is to provide technology, capacity building, and management of intellectual property for the micro, small, and medium-scale
enterprises of the BIMSTEC member countries.

According to the cooperation agreement, an agreement should be entered into between Sri Lanka, as the host country, and BIMSTEC Secretariat for formalizing the legal status, privileges, and immunities of the technology transfer facility.

The drafted agreement has received the relevant institutional approval and legal clearance.

Accordingly, the Cabinet of Ministers has approved the resolution furnished by the Minister of Science and Technology to sign the proposed agreement.

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The cabinet approves agreement on mutual legal cooperation in criminal matters between the Republic of Sri Lanka and the Republic of Korea

Published

6 hours ago

2026/09/1

Priyan

Approval has been granted at the cabinet meeting held on 11-12-2023 to sign an agreement between the Republic of Korea and the Government of Sri Lanka regarding mutual cooperation
in criminal matters.

However, according to the aforementioned approval, the relevant agreement could not be signed between both parties.

Through this agreement, opportunities will be provided
for mutual assistance to other countries in handing over judicial documents and collecting evidence for the use of criminal case matters.

Accordingly, the Cabinet of Ministers has approved the resolution provided by the Minister of Justice and National Integration to sign an agreement between the Republic of Korea and the Government of Sri Lanka to cooperate in criminal matters.