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Sri Lanka Equity Forum » Stock Market Talk » Central Bank will intervene if rupee moves on speculation – official

Central Bank will intervene if rupee moves on speculation – official

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DS Wijesinghe


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
@ruwan326 wrote:
@DS Wijesinghe wrote:That's the figure we are worried about and not the once in a way a day's net foreign inflow figure
Don't worry too much DS,
Wait till EPF come back.

The question is 'when' Ruwan.

In the first place this govt (sorry you might get hurt but I have to tell this) should not have stopped EPF investing in the CSE. They told the people that EPF money was used for SOME shady share deals(which is true) in the CSE and therefore stopping it

They stopped investing in CSE and instead invested in the fraudulent bonds causing massive losses to EPF

Do we need ADB to tell us to restart investing in CSE? Is this govt(sorry but have to mention) so short of some brains?

Please remember that the mandate of EPF is not to bail out the Colombo Stock market. It's mandate is to earn the best possible return to it's members. I hope they will not go and dump EPF money to buy JKH @130-140/- 

Govt should not use EPF money to bail out foreign or local investors trapped with their investments in the CSE

ruwan326


Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
@DS Wijesinghe wrote:
@ruwan326 wrote:
@DS Wijesinghe wrote:That's the figure we are worried about and not the once in a way a day's net foreign inflow figure
Don't worry too much DS,
Wait till EPF come back.

The question is 'when' Ruwan.

In the first place this govt (sorry you might get hurt but I have to tell this) should not have stopped EPF investing in the CSE. They told the people that EPF money was used for SOME shady share deals(which is true) in the CSE and therefore stopping it

They stopped investing in CSE and instead invested in the fraudulent bonds causing massive losses to EPF

Do we need ADB to tell us to restart investing in CSE? Is this govt(sorry but have to mention) so short of some brains?

Please remember that the mandate of EPF is not to bail out the Colombo Stock market. It's mandate is to earn the best possible return to it's members. I hope they will not go and dump EPF money to buy JKH @130-140/- 

Govt should not use EPF money to bail out foreign or local investors trapped with their investments in the CSE
What ever you said to present government or past government doesn't bother me. Sri lankan politics never bring us anything and we all know for last 70 years same ministers all the way changing parties and only president/prime minister change.

Day by day this country heading toward worst countries list, don't expect politicians will save us.

every one talk about corruption when they don't have power and once they got the power same shit...........

ranferdi


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics
@DS Wijesinghe wrote:
@ruwan326 wrote:
@DS Wijesinghe wrote:That's the figure we are worried about and not the once in a way a day's net foreign inflow figure
Don't worry too much DS,
Wait till EPF come back.

The question is 'when' Ruwan.

In the first place this govt (sorry you might get hurt but I have to tell this) should not have stopped EPF investing in the CSE. They told the people that EPF money was used for SOME shady share deals(which is true) in the CSE and therefore stopping it

They stopped investing in CSE and instead invested in the fraudulent bonds causing massive losses to EPF

Do we need ADB to tell us to restart investing in CSE? Is this govt(sorry but have to mention) so short of some brains?

Please remember that the mandate of EPF is not to bail out the Colombo Stock market. It's mandate is to earn the best possible return to it's members. I hope they will not go and dump EPF money to buy JKH @130-140/- 

Govt should not use EPF money to bail out foreign or local investors trapped with their investments in the CSE

Agreed.. We need an independent group of Fund Managers in EPF to manage the funds to recommend shares.

http://::::THIS EMAIL DOESNT WORK.. PLEASE CONTACT ME ON FB ACCO

Miss-Sangeetha


Moderator
Moderator
Sri Lanka Rupee hits fresh low

The Sri Lankan Rupee dropped to new record low on Friday as the selling price reached 164.37 against the US Dollar.

The Central Bank of Sri Lanka (CBSL) has recorded the buying price at 160.94.

The local currency surpassed an earlier low of 162.92, hit in the previous session.

The rupee is down 1.2 percent this month and 6.5 percent so far this year.

Source- Adaderena

Miss-Sangeetha


Moderator
Moderator
Sri Lankan rupee plunges further low

 Sri Lankan Rupee plunges further to a new low against the US Dollar as the selling pries reaches Rs 165.14, reports Central bank of Sri Lanka.

The buying price of a US Dollar is marked at Rs 161.81 and this is the 1st time Sri Lankan Rupee has surpassed these marks.

Meanwhile, on Friday (14)the selling price of a US Dollar surpassed Rs 164.

 

www.adaderana.lk/news/50064/sri-lankan-rupee-plunges-further-low

Miss-Sangeetha

Miss-Sangeetha
Moderator
Moderator
Sri Lankan Rupee falls to record low

The Sri Lankan has depreciated against the US Dollar, today (20), to a new record low as the selling rate closed at Rs 168.63.

Meanwhile, the buying rate of the US Dollar has reached Rs 165.08, stated Central Bank of Sri Lanka.

Source-Adaderana

jayathu


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics
Central bank not intervening means dollar is moving up on fundamentals wenna athi

TuTanKaman


Manager - Equity Analytics
Manager - Equity Analytics
US increasing rate. SL has so far not increased. thats why usd is strengthening. In contrast to previous regime cbsl is not releasing dollar reserve to the market to stabilize.
Read the economic concept of 'impossible trinity'
Previous regime forcefully made it possible. And now we are fealing the impact so high than others. Mind you populist economic policies can win election but not a sustainable economy.
I expect interest rate to go up in the future.

TuTanKaman


Manager - Equity Analytics
Manager - Equity Analytics
Currently the govt priority is to repay loans which require dollar reserves. Any default will be detrimental to the entire country since SL will fall below investment grade there by cant borrow

DS Wijesinghe


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
Govt. cannot release foreign reserves to manage rupee depreciation: Harsha


As the rupee depreciates daily to new lows, National Policies and Economic Affairs State Minister Dr. Harsha Silva yesterday defended the Government’s stance to refrain from artificially managing the value of the currency, warning of the negative impact an interference may bring.

“As a responsible government we have to come to an agreement and face reality, to ensure the continuity of a stable economic environment we can’t intervene to stabilise the rupee,” he said, speaking at a special press briefing held in Parliament.


Central Bank will intervene if rupee moves on speculation – official - Page 2 Image_be289ba93f


The rupee has depreciated by 7.4 % against the US dollar he said, highlighting that the rate was lower than most other currencies in the region including the Indian rupee.

The State Minister of National Policies and Economic Affairs stressed that even if the Government decided to release foreign reserves currently held by the Central Bank, it would not deliver the desired results due to a lack of confidence in Sri Lanka.

“If we release the $9 billion held as reserves the market will not believe that we can do it. The reason is that there is a huge loan burden as never seen before in in Sri Lanka’s history, payable in the future. We have to pay the $4billion taken as international sovereign bonds. This loan is not like earlier debt with long payment periods and low interest rates; these have bullet payments, we have to pay large sums of money and high interest rates,” he claimed.

As a responsible government we cannot release the dollars as we have to repay over $15 billion in the coming years.

The net absorption in the country has improved during the last two years, he claimed. According to him, under the new Central Bank, along with IMF reforms, Sri Lanka has retained reserves from the market as never before, recording a positive net absorption rate of $1,664 million in 2017 from the previous year’s negative $768 million and in 2016, Silva said while quoting figures. 

In 2010 the absorption rate was at a negative $ 67 million, in 2011 the absorption rate was a negative $2,840 million while in 2012 the figure remained a negative $1,166 million, which caused the IMF to raise concerns, the Deputy Minister said. In 2013 the figure turned a positive $ 436 million and continued to maintain a positive figure of $ 545million. However, the absorption rate turned a negative $3,250 million in 2015 and continued to be a negative $ 768 million in 2016, he said.  

Staunchly defending the Government’s decision not to manage the currency value through the release of foreign reserves, he accepted that there would be challenges in the cost of living and salaries which the country’s economy would have to face.

However, the State Minister explained that the worst was yet to come with upcoming elections in the United States and the trade wars US president Trump had started with economic giants such as China and Europe, but said the crisis may settle with the November elections.

The State Minister also warned that if the country did not take long-term corrective actions to increase exports, which are currently at 12% of GDP compared to 35% of GDP in 2000, the repercussions would be far worse.

“This is the fundamental issue. We can manage in the short term but if we don’t increase exports then we are not going to make a sustainable recovery,” he said, adding that engaging in cheap politics would not help in the long term.


http://www.ft.lk/front-page/Govt--cannot-release-foreign-reserves-to-manage-rupee-depreciation--Harsha/44-663276

samaritan


Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
The rate at which rupee is depreciating even 200/= cannot be ruled out by year end. Majority of the people are going to face unprecedented hardships and not Harshas & Rajithas. The move to increase public sector salaries will lead to printing currency finally leading to hyper inflation. The economy is set to crumble!
Appreciate the good job carried out by Ajit Nivard. The present Governor is not given a free hand and hence appears to be constipated.

Miss-Sangeetha

Miss-Sangeetha
Moderator
Moderator
Sri Lankan rupee pulls back from record low after central bank intervention
 

The Sri Lankan rupee hit a record low for an eighth straight session on Friday, but closed the session firmer following intervention by the central bank, market sources said.
The central bank will intervene aggressively to curb excess volatility in the exchange rate, Senior Deputy Governor Nandalal Weerasinghe told Reuters.
“We will not tolerate excess volatility that we have seen in the market during the last couple of days. We will intervene aggressively,” he said.
The rupee fell to an all-time low of 169.00 per dollar before closing at 168.50/70, compared with Thursday’s close of 168.65/169.00. The previous record low was 168.70 per dollar hit on Thursday.
Exporters expect the rupee to be under pressure due to continued importer dollar demand and less exporter dollar sales.
The rupee has weakened 4.5 percent so far this month after a 1.2 percent drop last month, and has declined 9.9 percent so far this year.
The dollar weakened against most of its rivals on Friday, barring the British currency, as stronger equity markets and rising bond yields fuelled a rush to buy riskier assets.
The dollar index, which tracks the dollar against a basket of six major rivals, dipped 0.18 percent to 94.371. The dollar was 0.04 percent lower against the yen at 112.25, while the euro was 0.26 percent stronger against the greenback at $1.1700.
An illiquid market for dollars, dollar buying by foreign banks to facilitate bond outflows and importer demand weighed on the currency, said the sources.
Since last week, currency dealers have been refusing to speak to the media, citing instructions from the central bank. However, central bank Governor Indrajit Coomaraswamy said that he was unaware of any such move.
The rupee will be under pressure due to year-end seasonal dollar demand from importers, dealers have said earlier.
The currency has also been hurt by recent weakness in the Indian rupee. India is Sri Lanka’s biggest trading partner and the Indian rupee, which hit a record low on Tuesday, is Asia’s worst performing currency this year.
Foreign investors sold government securities worth a net 8.8 billion rupees ($52.19 million) in the week ended Sept. 19, its highest weekly outflow since the week ended on Dec. 6. Sri Lanka has suffered a net outflow of 63.7 billion rupees in securities so far this year, central bank data showed.
Source-Adaderana & Reuters 

ruwan326

ruwan326
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
Rupee hits fresh low; CB intervention caps fall-Thursday, 27 September 2018

Reuters: The Sri Lankan rupee hit a fresh low of 169.05 on Wednesday on importer dollar demand, while intervention by the central bank limited the fall, market sources said.

Sri Lanka’s Finance Minister urged its people to buy local products and shun unnecessary imports in order to reduce the trade deficit and help stabilise a weak rupee, a day after Prime Minister Ranil Wickramasinghe said the Government would take measures to impose taxes to curb imports by up to $1 billion to face the currency crisis.

The rupee fell to an all-time low of 169.05 per dollar on Wednesday, surpassing its previous low of 169.00 hit on Friday. It closed at 169.00/169.20 per dollar, compared with Tuesday’s close of 168.90/169.00.

The Central Bank will intervene aggressively to curb excess volatility in the exchange rate, Senior Deputy Governor Nandalal Weerasinghe had told Reuters on Friday.

Exporters expect the rupee to be under pressure due to continued importer dollar demand.

The rupee has weakened 4.6% so far this month after a 1.2% drop last month, and is down 10% so far this year.

The dollar rose modestly on Wednesday before a widely anticipated Federal Reserve interest rate hike priced in by investors still on edge about a trade row between the United States and China.

Dollar buying by foreign banks to facilitate bond outflows and importer demand weighed on the currency, but the Central Bank’s intervention prevented a sharp fall in the currency, sources said.

The rupee will be under pressure due to year-end seasonal dollar demand from importers, dealers have said earlier.

The currency has also been hurt by recent weakness in the Indian rupee. India is Sri Lanka’s biggest trading partner and the Indian rupee, which hit a record low on 18 September, is Asia’s worst performing currency this year.

Foreign investors sold government securities worth a net Rs. 8.8 billion ($52.19 million) in the week ended 19 September, its highest weekly outflow since the week ended 6 December 2017. Sri Lanka has suffered a net outflow of Rs. 63.7 billion in securities so far this year, Central Bank data showed. 
http://www.ft.lk/front-page/Rupee-hits-fresh-low--CB-intervention-caps-fall/44-663540

Miss-Sangeetha

Miss-Sangeetha
Moderator
Moderator
Sri Lankan shares recover from near 5-yr closing low on bargain- hunting
 Sri Lankan shares recovered from their lowest close in nearly five years hit in the previous session and ended about 1 percent higher on Wednesday as investors picked up battered stocks.
The benchmark index hit a near five-year low on Tuesday on foreign selling amid a weaker rupee and government plans to curb imports hurt investor sentiment.
The Colombo stock index rose 0.92 percent to 5,887.52, pulling away from its lowest close since Dec. 18, 2013 hit on Tuesday.
“Market bounced back with buying in heavyweights like John Keells which came down over the last few days,” said Hussain Gani, deputy CEO, Softlogic Stockbrokers.
“We have seen some investors picking up value shares. But most of the investors are still waiting to see if the rupee is stabilising and the economic impact of rupee’s fall.”
Prime Minister Ranil Wickramasinghe said on Monday the government would take measures to impose taxes to curb imports by $500 million to $1 billion to face the currency crisis.
Sri Lanka’s finance minister urged its people to buy local products and shun unnecessary imports in order to reduce the trade deficit and help stabilise a rupee currency that revisited its all-time low on Wednesday.
The rupee has weakened 4.6 percent so far this month after a 1.2 percent drop last month, and has declined 10 percent so far this year.
Analysts said the acceleration in the rupee’s depreciation was creating panic among investors.
Turnover was 318.5 million rupees ($1.89 million), less than half of this year’s daily average of 790.8 million rupees.
Foreign investors sold a net 49.6 million rupees worth of shares on Wednesday, extending the year-to-date net foreign outflow to 5.7 billion rupees worth of equities.
Analysts said the recent fuel price hike also hurt investor confidence as it could hit corporate earnings. Fuel retailers raised gasoline and diesel prices earlier this month for a third time in four months due to higher global oil prices and a weaker rupee.
Investors are awaiting cues from the national budget in November.
Shares of conglomerate John Keells Holdings Plc rose 3.8 percent while Sri Lanka Telecom Plc jumped 6.5 percent and Commercial Leasing and Finance Company Plc closed 8.0 percent firmer.
 

Source- Reuter & Adaderana 

DS Wijesinghe


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
@TuTanKaman wrote:US increasing rate. SL has so far not increased. thats why usd is strengthening. In contrast to previous regime cbsl is not releasing dollar reserve to the market to stabilize.
Read the economic concept of 'impossible trinity'
Previous regime forcefully made it possible. And now we are fealing the impact so high than others. Mind you populist economic policies can win election but not a sustainable economy.
I expect interest rate to go up in the future.
Central Bank will intervene if rupee moves on speculation – official - Page 2 42582150_2091134330950396_3160150324086308864_n

Miss-Sangeetha

Miss-Sangeetha
Moderator
Moderator
Sri Lankan Rupee drops to Another new low

The Sri Lankan Rupee has further depreciated against the US Dollar as the selling price reached 171.42 - a new record low - on Thursday.

Meanwhile the buying price of the US Dollar is at Rs 167.55, according to the Central Bank of Sri Lanka (CBSL).

The Government announced several temporary measures last week to ease the pressure on the Sri Lankan rupee.

The Central Bank says it has intervened by US$ 184 million on a net basis so far this year to defend the depreciation of the Sri Lankan Rupee.

“So far we’ve had a 9.5% depreciation but on a net basis so far we have only spent US$ 184 million,” CBSL Governor Dr. Indrajit Coomaraswamy told reporters on Tuesday.
Source- Adadana

ruwan326

ruwan326
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
Central Bank will intervene if rupee moves on speculation – official - Page 2 F110
@Miss-Sangeetha wrote:Sri Lankan Rupee drops to Another new low

The Sri Lankan Rupee has further depreciated against the US Dollar as the selling price reached 171.42 - a new record low - on Thursday.

Meanwhile the buying price of the US Dollar is at Rs 167.55, according to the Central Bank of Sri Lanka (CBSL).

The Government announced several temporary measures last week to ease the pressure on the Sri Lankan rupee.

The Central Bank says it has intervened by US$ 184 million on a net basis so far this year to defend the depreciation of the Sri Lankan Rupee.

“So far we’ve had a 9.5% depreciation but on a net basis so far we have only spent US$ 184 million,” CBSL Governor Dr. Indrajit Coomaraswamy told reporters on Tuesday.
Source- Adadana

samaritan


Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
President or PM is not at all concerned about rupee depreciation. Their focus is on competing to secure their vote base in the North & East for the next election. In the mean time i go Norway, you go Seychelles and let the rupee go to Timbuktu!

Yahapalanaya

Yahapalanaya
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
@samaritan wrote:President or PM is not at all concerned about rupee depreciation. Their focus is on competing to secure their vote base in the North & East for the next election. In the mean time i go Norway, you go Seychelles and let the rupee go to Timbuktu!
Isn't North & East in Srilanka!!!!!

samaritan


Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
@Yahapalanaya wrote:
@samaritan wrote:President or PM is not at all concerned about rupee depreciation. Their focus is on competing to secure their vote base in the North & East for the next election. In the mean time i go Norway, you go Seychelles and let the rupee go to Timbuktu!
Isn't North & East in Srilanka!!!!!
Did it take 4 years for President to know that North & East is in SL?????

It can be clearly seen that President & PM are outdoing each other targeting votes in the North. Now PM will come back and make an order to release all political prisoners (Minister of justice differs in the nomenclature). This may probably take place when President is in Seychelles.

The Govt is in the process of delaying elections b'cos they are very very well aware about the humiliating defeat staring at them.

Miss-Sangeetha

Miss-Sangeetha
Moderator
Moderator
Sri Lankan rupee rises on exporter dollar sales; stocks extend falls
The Sri Lankan rupee strengthened 0.5 percent on Friday, as inward remittances and exporters dollar sales surpassed mild importer demand for the greenback, while stocks declined for a fourth straight session and posted their lowest close in more than one week.
The rupee ended at 169.40/70 per dollar, compared with the previous close of 171.20/40. The rupee fell to an all-time low of 171.60 per dollar on Wednesday, surpassing the previous low of 171.00 hit on Tuesday due to foreign selling in government securities and exporter greenback sales, market sources said. The central bank surprised financial markets on Oct. 2 by leaving its key policy rates unchanged, despite heavy pressure on the rupee and foreign outflows from government securities. The central bank said on Oct. 2 it purchased 4 million dollars from the market in the previous day, but it has sold a net 184 million dollars in the market so far this year to defend the currency.
The rupee has weakened 0.3 percent so far this month after a 4.7 percent drop in September against the dollar. It has declined 10.5 percent so far this year.
The Colombo stock index fell 0.4 percent to 5,815.03, its lowest close since Oct. 3. It fell 3.6 percent last month and is down 8.7 percent so far this year.
Data from the central bank showed foreign investors sold government securities worth a net 1.8 billion rupees ($10.58 million) in the week ended Oct. 3. Sri Lanka has seen a net outflow of 74.3 billion rupees in securities so far this year.
Stock market turnover was 408.9 million rupees ($2.41 million) on Friday, more than half of this year’s daily average of 765 million rupees.
Foreign investors were net sellers of 311.5 million rupees worth of shares on Friday, extending the year to date net foreign outflow to 6.6 billion rupees worth of equities. 
Source-Adaderana& Reuters



Last edited by Miss-Sangeetha on Sun Oct 14, 2018 9:32 am; edited 1 time in total

Miss-Sangeetha

Miss-Sangeetha
Moderator
Moderator
US$ 184 Million spent to defend Rupee CBSL Governor
Source- Adaderana

ruwan326

ruwan326
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
@Miss-Sangeetha wrote:
US$ 184 Million spent to defend Rupee CBSL Governor
Source- Adaderana
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Yahapalanaya

Yahapalanaya
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
[size=48]Sri Lankan currency fears are overblown, Mangala tells Nikkei
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Comments / Central Bank will intervene if rupee moves on speculation – official - Page 2 V-icon4  435 Views / Monday, 15 October 2018 01:09
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  • Says depreciation promotes goal of an export-led economy



[size=17]Nusa Dua, Indonesia (asia.nikkei.com): The sharp decline of Sri Lanka’s currency is “not as catastrophic as people make it out to be,” Finance Minister Mangala Samaraweera said in an interview this week, as the country looks to transform itself into an export-powered economy.

The Sri Lankan rupee has fallen by over 10% against the dollar this year, making it one of the worst performing currencies in emerging Asia. Central Bank will intervene if rupee moves on speculation – official - Page 2 Image_d05567667d



The country has imposed restrictions on vehicle imports, often the cause of balance of payments trouble for Colombo. Yet, Samaraweera said the currency depreciation - brought on by the Fed’s interest rate hikes and investor concerns about emerging market assets amid the US-China trade war - is a potential positive for his country.

“We have been trying to drive Sri Lanka toward an export-oriented economy,” said the finance minister, who was attending the International Monetary Fund and World Bank annual meetings in Bali. “And this crisis, in a way, makes people realise the need to do so even more vigorously. I don’t consider it a crisis at all.”



Samaraweera said the country’s underlying economic fundamentals are solid, with stable inflation and a primary balance surplus for 2017 - the first in 63 years. “The exports, last year, the numbers were record breaking. The FDIs are flowing in. If you actually look at the numbers, our growth rate ... [for] the last quarter has come up to 3.7%, we are just about to go 4% this year.”

While currency depreciation may be a blessing in disguise for Sri Lanka, Samaraweera, who chairs the G-24 - a group of developing nations from Africa, Asia, and Latin America and the Caribbean - said volatility stirred up by the trade war poses a risk to the emerging world.

For now, he stressed, “there is certainly not yet fear” among G-24 members that recent capital outflows from emerging markets will turn into full-blown capital flight. But he said developing nations need to “face this challenge together.”



“Emerging economies had to face several serious challenges because of the external volatility, and many countries are basically battling it alone,” Samaraweera said. “We feel if the crisis is going to get worse ... then I think we have to have a coalition of the willing, who will work out these strategies to meet these challenges.”

Sri Lanka has been in the news recently because US Vice President Mike Pence cited it as an example of China’s so-called “debt trap” diplomacy. Sri Lanka “took on massive debt to let Chinese state companies build a port with questionable commercial value,” Pence said, pointing to the port of Hambantota. Saddled with debt payments on Chinese loans extended under the Belt and Road Initiative, Colombo leased the port to a Chinese state-owned company for 99 years.

Samaraweera noted that when the current government took power in 2015, it renegotiated clauses in the original infrastructure deals with China that were “inimical to the interests” of Sri Lanka.



“Sri Lanka is more or less in control of all these projects and to now call these a Chinese debt trap is a bit unfair. We are very much on top,” the finance minister said.

“You have the Darwin harbour in Australia, which has been more or less given over to the Chinese. So many harbours and ports in Europe that the Chinese have invested in, but no one is calling them Chinese debt traps. Why is that word only being used on Sri Lanka? That gives a false image of the country.”

(Source: https://asia.nikkei.com/Editor-s-Picks/Interview/Sri-Lankan-currency-fears-are-overblown-finance-minister-argues)
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soileconomy

soileconomy
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Central Bank will intervene if rupee moves on speculation – official - Page 2 Empty Re: Meka Mahinda Rajapaksege Wadak  on Fri Jan 15, 2016 2:11 am

Yahapalanaya

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"Royal" billions in Dubai Bank unraveled







Local
Sandasen MARASINGHE
Central Bank will intervene if rupee moves on speculation – official - Page 2 Z_p01-royal
Appropriate legal measures will be taken in connection with the massive amounts of US dollars deposited in a Dubai Bank by a member of "royal" family during the previous regime soon after the details of the transactions of those accounts is provided by the Federal Reserves in the United States, said Cabinet Spokesman and Health Minister Dr. Rajitha Senaratne. He said that according to reliable details available so far USD 1.086 billion are lying in one account which is owned by one member of the previous government's VVIP family. He made this observation yesterday at the cabinet briefing held at the Information Department auditorium.
"In the account of another close associate of the same VVIP family, who was also a businessman a sum of USD 500 million has been deposited while a joint account of a Ministry Secretary of the previous regime and another person had USD 1.8 billion", Minister Rajith Senaratne said.
"All these monies are in the accounts of Dubai Banks and the money has been earned by illegal means. However every dollar that is transacted is recorded in the Federal Reserve". He said the government has requested details of these accounts from the Federal Reserve to support the investigations. He added that the Federal Reserve in the US has asked for a considerable time period to find out the details of the US dollars that had been transacted through those accounts as billions of US dollars are being transacted daily.
The Minister made these remarks when a media personnel queried a statement by Chathura Senarate that said he saw the money earned illegally by the VVIPs of the previous government. The Minister said that Chathura said he saw the documents pertaining to those illegal transactions. Mass Media and Parliamentary Affairs Minister Gayantha Karunathilake, Justice and Buddhasasana Minister Wijedasa Rajapaksa. and Army Spokesman Brigadier Jayantha Jayaweera also spoke at the occasion

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