Friday March 5, 2021
ECONOMYNEXT – Sri Lanka’s rupee quoted flat at 196.00/197.00 ranges to the US greenback within the one-week forwards market on Friday whereas bond yields remained regular, sellers mentioned.
The rupee final closed within the one- week ahead market at 196.00/197.00 to the greenback on Thursday.
Sri Lanka expects the GDP to develop between 3.0 to three.5 per cent within the first quarter of 2021 with the speedy vaccination marketing campaign rolled out giving folks extra confidence.
Sri Lanka’s Central Financial institution on Thursday determined to maintain the curiosity at present ranges. It mentioned it’ll hold the rate of interest low.
“…Additional, the Board noticed the latest uptick in sure market rates of interest, and reemphasised its dedication to proceed the low-interest fee construction till the economic system exhibits indicators of sustained revival, within the context of the low inflation surroundings,” CBSL mentioned.
The central financial institution is maintaining the speed at which cash is injected at 5.50 per cent and the speed at which extra money is withdrawn at 4.50 per cent.
In apply, it has been injecting (printing) cash at beneath 5.10 per cent by putting a ceiling yield on Treasury auctions.
Within the secondary market bond yields remained regular whereas the general market is uninteresting, sellers mentioned.
Shorter tenor maturities barely eased whereas the longer tenor maturities held regular.
A bond maturing on 15.12.2022 was quoted at 5.70/75 per cent on Friday, down from 5.75/78 per cent at Thursday’s finish.
A bond maturing on 15.11.2023 was quoted at 6.20/30 per cent on Friday, down from 6.23/28 per cent at Thursday’s finish.
A bond maturing on 01.12.2024 was quoted at 6.65/73 per cent on Friday, regular from 6.65/75 per cent at Thursday’s finish.
A bond maturing on 01.05.2025 was quoted at 6.75/90 per cent on Friday, regular from 6.75/85 per cent at Thursday’s finish.
A bond maturing on 15.02.2026 quoted flat at 7.05/15 per cent from the day prior to this’s finish.
A bond maturing on 15.08.2027 was quoted at 7.35/45 per cent on Friday, down from 7.45/48 per cent at the day prior to this’s shut.
A bond maturing on 15.05.2030 was quoted at 8.10/50 per cent, up from 7.90/8.15 per cent at Thursday’s finish. (Colombo/March 05/2021)