CBSL resorts to monetary financing amid wait for IMF talks

Central Bank of Sri Lanka headquarters
The Central Bank of Sri Lanka
Amithasundar

The Central Bank of Sri Lanka (CBSL) has granted the government support with its budget, in a move that could undermine progress towards a flexible inflation target.

The central bank bought 90 billion rupees ($500 million) of Treasury bills in January, saying the measure was designed to assist the government with its financing needs “due to the delay in receiving expected foreign currency financing arrangements”.

The CBSL promised the purchase would be partly reversed in February, and

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: