March 2017 Week 3 Financial Events Round Up
· In secondary bond markets yields were seen seesawing during the week as continued selling interest during early part of the week saw yields increasing on the liquid maturities of 01.07.2019,15.12.21 , the two 2024’s (i.e.01.01.24 and 01.08.24), the two 2025’s (i.e.15.03.25 and 01.08.25) and the two 2026’s (i.e.01.06.26 and 01.08.26) to intranet highs of 12.40% , 13.05% ,13.30% each, 13.35% each and 13.30 each respectively
· The dollar rupee rate on active two weeks forward contracts closed the week mostly unchanged at Rs.152.55/65 as activity moderated during the week and markets were at equilibrium.
· Sri Lanka expects to get a reform program with the International Monetary Fund back on track by April with executive board approval to release the next tranche in June 2017, a central bank official said.
· Sri Lanka’s Central Bank Governor Indrajit Coomaraswamy said he expects foreign exchange reserves to grow to US$7.5 billion by end- 2017, helped by inflows from syndicated loans.
· Sri Lanka raised policy rates 25 basis points to 8.75 percent as inflation rose to 6.8 percent in the capital Colombo on February and nation-wide inflation rose 8.2 percent, after loosening policy in November and January.