fbpx
  • About us
  • Advertise
  • Contact
  • Nominate
  • Client’s Voice
  • Login
  • Register
📖 Magazine
The Global Economics
  • Home
  • Banking
  • Non Banking
  • Markets
  • Infrastructure
  • Lifestyle
  • FeatureNew
  • Awards
No Result
View All Result
  • Home
  • Banking
  • Non Banking
  • Markets
  • Infrastructure
  • Lifestyle
  • FeatureNew
  • Awards
No Result
View All Result
The Global Economics
No Result
View All Result
Home Banking Central

Ajith Nivard Cabraal will govern the Central Bank to increase 🇱🇰Sri Lanka’s forex reserves

The Sri Lankan economy has received a major blow in forex reserves owing to the devastating effects of the pandemic

Sakshi K S by Sakshi K S
September 16, 2021
in Central, Forex, The Global Economics, Top Stories, Wealth & Asset Management
Reading Time: 2 mins read
0
Ajith Nivard Cabraal as the Governor of the Central Bank will uplift Sri Lanka's forex reserves

Ajith Nivard Cabraal as the Governor of the Central Bank will uplift Sri Lanka's forex reserves

840
SHARES
4.7k
VIEWS
FacebookTwitterRedditWhatsAppLinkedInShare Link

Sri Lanka is seeking the aid of a veteran central banker, Ajith Nivard Cabraal, as the country’s devices plan to uplift its depleting foreign exchange reserves and debt without depending on an international financial bailout.

The former junior minister managing capital markets led the Central Bank of Sri Lanka for a tenure of 9 years from 2006. Ajith Nivard Cabraal will return to the Central Bank of Sri Lanka as governor. Cabraal stated that he will first be brainstorming methods to solidify the Sri Lankan economy and then seek growth measures.

Ajith Nivard Cabraal will uplift the depleting forex reserves in Sri Lanka

The yield on Sri Lanka’s 2024-dollar bonds saw a surge of 43 basis points in the last two sessions. However, it fell to 25.3% (a decrease of 4 basis points) on 14th September 2021. Ajith Nivard Cabraal, during his previous governor tenure, drove inflation to as low as single-digit units and minimized interest rates when the forex reserves grew. The Sri Lankan economy witnessed these silver linings owing to a resurrection of the tourism sector which boosted the economic growth at the end of the island nation’s civil war.

Ajith Nivard Cabraal now has to deal with the country’s depletion of forex reserves, owing to a crashing tourism sector, born from the aftermaths of the devastating COVID19 pandemic.

Momentarily, the Central Bank of Sri Lanka has reduced the number of foreign currencies exiting the country. The bank has also imposed stringent import rules to discourage the purchases of commodities like wines, chocolates, electronics, and cosmetics.

According to the investors of Sri Lanka’s dollar bonds, the depleted reserves could result in more stringent impositions on the nation’s monetary policies and even an international bailout from the IMF.

Ajith Nivard Cabraal has stated that the country will not need any help from the IMF and will not be the cause of any discomfort to its investors and lenders.

Ajith Nivard Cabraal will replace Weligamage Don Lakshman, who stepped down on 14th September 2021. The latter revealed his early retirement on 10th September 2021 and stated that authorities had to aid the country with resources as the pandemic had left devastating effects on the country’s economy. Lakshman said that the Sri Lankan economy was facing a very sensitive period and that the creation of an excessive money supply could easily be reversed.

In August 2021, the Central Bank increased its policy rate which resulted in the broadening of the trade deficit. The rate surge was also to prevent the accumulation of any extra inflationary pressures.

The country’s foreign exchange reserves saw a surge of 26% to USD 3.55 billion in August. The Sri Lankan forex reserves had decreased to USD 2.8 billion in July 2021 after it utilized a part of the reserve to clear a USD 1 billion debt.

Via: Short URL
Tags: Ajith Nivard CabraalCentral bank of Sri Lankafinancial aidforex reservesSri Lankan economy
Sakshi K S

Sakshi K S

Sakshi is a professional content writer engaging readers with gripping business news stories.

Related Posts

Lebanon currency devaluation
Economy

Lebanon to Devalue Its Currency By 90%

by Anuj Singh
February 1, 2023
A Western Oil Milestone: Exxon Sets Historic High with Record $56 Billion Profit
Ultility

A Western Oil Milestone: Exxon Sets Historic High with Record $56 Billion Profit

by Riya Thomas
February 1, 2023
investment
The Global Economics

Adani Enterprises To Get $400 mn From Abu Dhabi’s IHC

by Marifur Rahman
January 31, 2023
Oil storage tank
Islamic

Saudi Arabia Lowers Crude Prices For Asia, Not For the US

by Anuj Singh
January 31, 2023
Adani Group shares plunged, resulting in the erasure of $72 billion after three-day selloffs
Funds

72 Billion Wiped Out: Adani Group Shares Plunge After Three-Day Selloffs

by Riya Thomas
January 30, 2023
Facebook Twitter Instagram Youtube LinkedIn Soundcloud
The Global Economics

The Global Economics Limited is a UK based financial publication and a quarterly business magazine giving thoughtful insights into the financial sectors on various industries across the world. Our highlight is the prestigious country specific Annual Global Economics awards program where the best performers in various financial sectors are identified worldwide and honoured.

DMCA.com Protection Status

  • Privacy
  • Legal
  • Terms of Use
  • Client’s Voice
  • Server Status

norton verified - the global economics

Latest Posts

Lebanon currency devaluation

Lebanon to Devalue Its Currency By 90%

February 1, 2023
A Western Oil Milestone: Exxon Sets Historic High with Record $56 Billion Profit

A Western Oil Milestone: Exxon Sets Historic High with Record $56 Billion Profit

February 1, 2023
China To Boost Oil Demand By Up To 500,000 BPD PC: Reuters

Oil Cools Off on a Weak Dollar

February 1, 2023
Download The Global Economics PWA to your mobile or Desktop
PWA App Download
Download The Global Economics Android App to your mobile or Desktop
Android App
Download The Global Economics IOS App to your mobile or Desktop
IOS App

All Rights Reserved © 2020 | 🇬🇧 The Global Economics, Business Finance Publication - www.theglobaleconomics.uk 🌏

No Result
View All Result
  • About us
  • Awards
  • Magazine
  • Client’s Voice
  • Exclusive Coverage
  • Nominate
  • Login
  • Sign Up

All Rights Reserved © 2020 | 🇬🇧 The Global Economics, Business Finance Publication - www.theglobaleconomics.uk 🌏

Welcome Back!

Sign In with Facebook
Sign In with Linked In
OR

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Sign Up with Facebook
Sign Up with Linked In
OR

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Receive the latest news

Subscribe To Our Weekly Newsletter

Get notified about new articles, delivered right into your email inbox.

-
00:00
00:00

Queue

Update Required Flash plugin
-
00:00
00:00
Go to mobile version