Sri Lanka Holds Rates to Spur Economic Growth, Cool Inflation

Tuesday, 16 April 2013 - 12:49



Sri Lanka left interest rates unchanged for a fourth month to support economic growth and contain inflation.

The Central Bank of Sri Lanka kept its reverse repurchase rate at 9.5 percent and the repurchase rate at 7.5 percent.

Six of eight economists in a Bloomberg News survey predicted no change.

Two forecast a 0.25 percentage-point reduction in both benchmarks.

Governor Ajith Nivard Cabraal joins Asian counterparts such as Pakistan in holding rates to aid domestic spending, as Europe’s debt crisis clouds the prospects for a recovery in exports.