Central Bank seen keeping policy rates on hold

Sri Lanka’s Central Bank is expected to keep interest rates steady for a seventh straight month today, a Reuters poll showed, and may join other banks in Asia to loosen monetary conditions only after inflation eases early next year.

Mixed reactions to tea concessions

Budget proposals concerning the tea sector have met with a mixed reception from industry stakeholders, who welcomed the direction of policies whilst questioning the relevance and adequacy of concessions and monetary allocations for subsidies.

Long term T-bill yields edges up

Long term Treasury bill yields edged higher at today’s bill auction with short term bill yields edging lower, the data released by the Public Debt Department of the Central Bank showed.

IATA projects rapid growth in APAC air traffic

Barring drastic fuel price hikes, the aviation industry is expected to enjoy increased profitability over 2013, riding on a new wave of intraregional traffic in the Asia Pacific (APAC) region, according to Chief Economist, International Air Transport Association, Brian Pearce.

Stockbrokers praise govt. for Budget 2013

The Colombo Stock Brokers Association (CSBA), representing 23 stock broking companies today praised the government for the unprecedented policy initiatives proposed to develop the capital market Budget 2013.

Import tax makes vehicles unaffordable for middle class

The government’s decision to maintain a 200% tax on vehicle imports represents a policy failure in terms of meeting the needs of middle-income citizens seeking to affordably purchase a vehicle, according to Co-President of the Vehicle Importers Association of Lanka (VIAL), K. Deekiriwewa.

Plantation sector boosts Sunshine Holdings profits

Sunshine Holdings PLC, backed by the plantation sector performance, posted a profit of Rs 98.3 million for the quarter ended 30th September 2012, improving drastically over a loss of Rs 5.57 million during the same period last year.

Budget 2013 eyes growth, tariffs to protect industry

Sri Lanka is aiming to accelerate the pace of economic expansion to 7 percent with its 2013 budget, government officials said, by pumping in money for post-war infrastructure projects, while raising import tariffs to protect local industries.

Foreign firms operated during wartime to be honoured

Global Commerce Excellence Awards 2012, which is to be held shortly, will honour the international businesses that helped to run the Sri Lankan economy and create jobs against all odds, during the terror period of the LTTE.

Long term T-bill yields up

Treasuries yields rose on long term bills during today's auction while yields on short term bills remain flat, the Public Debt Department of the Central Bank said.

September trade gap narrows significantly

Sri Lanka’s September trade gap narrowed as significantly as 43.3 percent yearon-year (YoY) to US$ 513.1 million, while the cumulative trade gap for the period from January to September narrowed 0.3 percent to US$ 6.7 billion.

SLTPB participates in World Travel Mart

World Travel Market (WTM), the leading global event of Travel and Tourism Trade, is scheduled to kick off today (November 5) at the Excel Exhibition Hall, London.

Tea industry in doldrums

The Planters Association of Ceylon (PA) yesterday said that the cost of production in Sri Lanka’s historic tea industry has sky rocketed with labour costs accounting for the largest component in the production process.

Economy to grow 6-6.5% next 10 years - RAM

Sri Lanka’s economy has been forecast to grow at 6.0%-6.5% on average for the remainder of this decade, according to a report from RAM Ratings (Lanka) Ltd.

Ceypetco seeks more oil barrels

Sri Lanka’s Ceylon Petroleum Corp (Ceypetco) is seeking 870,000 barrels of oil products for delivery in November, as the country’s sole refinery is shut after exhausting its supply of mainly Iranian crude oil, industry sources said yesterday.

September tea output up 11.9 percent on improved weather

Sri Lanka’s tea production rose in September for a second straight months on improved weather, data from the state-run Tea Board showed, after output dropped for six straight months from February as an extended drought hit output of the island nation’s top agricultural export commodity.

Cinnamon export earnings to target $1bn by 2020

Sri Lanka's sole export market monopoly commodity, cinnamon, aspires to generate value added export earnings of US$ 1 billion by 2020, The Spice Council (TSC) Chairman Sarada De Silva stated.

Wijeya Newspapers – Digital Media Webcasts via Lanka Bell

Wijeya Newspapers has signed up Lanka Bell as its Internet partner / bandwidth provider for streaming all LIVE Webcast events of the group.

GSP+ loss tops US$ 1bn

The loss of Sri Lanka’s GSP+ facility to the European Union may have cost the country’s garment industry as much as US$ 1 billion, according to former Secretary General of the Joint Apparel Association Forum, Rohan Masakorala.

Borrowings high, should boost exports: Dr. Mathai

Sri Lanka must take steps to boost export competitiveness in order to maintain sustainable debt to GDP levels over the medium-long term, according to International Monetary Fund (IMF) Resident Representative, Dr Koshy Mathai.

Sri Lanka plans 26% rise in defence, urban development spending

Sri Lanka plans to increase spending on defence and urban development by 25.9 percent to Rs.289.5 billion ($2.26 billion) in 2013, a budget appropriation bill presented to parliament showed yesterday.

Lankan exports now feeling GSP+ pinch

The removal of the GSP+ facility is one of the main causes of the current downward trend in Sri Lanka’s export sector performance, according to economist and former Director of Economic Affairs at the Commonwealth Secretariat, Dr. Indrajith Coomaraswamy.

Lanka imposes tax hikes on fags to cut deficit

Sri Lanka last Saturday increased taxes on tobacco products with a view of bridging the looming budget deficit.

August tea output up marginally

Tea production in the month of August increased by 0.1% year-on-year to 25.4 million kg in the midst of the most severe drought conditions in the country since 1992.

Severe drought slashes tea production; high grown output dips 11.6% during January - August

The Planters’ Association of Ceylon highlighted the plight of the Regional Plantation Companies (RPCs), which are facing a drastic drop in crop intake due to the severe drought, with high grown output coming down by 11.6 percent during January to August this year.

Budget deficit fears loom

Despite an increase in government revenue during the first seven months of 2012, the current expenditure of the government rose significantly compared with the previous year, signalling that the government may not be able to meet its budget deficit target of 6.2 percent of the Gross Domestic Product (GDP).

Emerging Asian economies need structural reforms - Top economist

Emerging economies in Asia will require deep reaching structural reforms in order to avoid stagnation and promote a second wave of growth, according to visiting associate professor from the Lee Kuan Yew School of Public Policy at the National University of Singapore, Razeen Sally.

Rupee gains on bank, exporter dollar sales

The Sri Lankan rupee strengthened yesterday as banks sold dollars on stock related inflows, dealers said.

ADB lends $130 mn to upgrade power supply

The Asian Development Bank (ADB) is lending $130 million to help Sri Lanka expand the reach and quality of its electricity supply, with a focus on former conflict areas in the north and east of the country. It will also improve transmission and distribution network efficiency and develop renewable energy in other parts of the country.

FDIs hit US$ 450mn in first 6 months

Sri Lanka has been able to attract US$ 452 million as foreign direct investments (FDIs) by the end of June this year, as opposed to US$ 413 million in the first six months of 2011, a government minister said.