Hirunews Logo
Sri+Lanka+credit+ceilings+not+proposed+by+IMF+
Saturday, 28 April 2012 - 13:38
Sri Lanka credit ceilings not proposed by IMF
13

Shares
1,627

Views

According to an official, administrative controls imposed on Sri Lankan banks as part of a package of measures to combat a balance of payments crisis, were not among the preferred measures advocated by the International Monetary Fund.

The Resident Representative of IMF Koshy Mathai stated that most economists would say a price mechanism is a good way of matching demand, and that we probably would have relied more on interest rates rather than on credit ceilings.

He was questioned by a senior economist at an economic forum on whether the IMF supported an 18% credit ceiling imposed on banks for 2012.

The Resident Representative of IMF stated that that the IMF was happy at the commitment shown by authorities to tackle the balance of payments crisis overall, which was the key need.

Make a Comment
Make a Comment

DOWNLOAD HIRUNEWS APP ON ANDROID & APPLE