Multilateral donor emphasises devaluation should help exports, reserves Opines 2012 Budget consistent with earlier plans Withholds eighth tranche of $ 2.6 b loan; mission in Jan The International Monetary Fund said on Wednesday that Sri Lanka’s devaluation of its currency was a “step

The International Monetary Fund (IMF) said yesterday that Sri Lanka's devaluation of its currency was a good step and should support the nation's export competitiveness and safeguard its reserves.

WASHINGTON, Nov 22 (Reuters) – The outlook for Pakistan’s economy for the current year ending June 2012 is “challenging,” with global investors more risk averse, the IMF said on Tuesday, adding that ongoing security concerns are likely to limit capital inflows. The country’s authorities have expressed commitment to implement reforms in an attempt to enhance ...

A Budget generally brings mixed fortunes and the latest edition seems to be no different. Following the presentation by President Mahinda Rajapaksa, there was a wide range of reactions with the most shocking coming from the currency market that froze following the announcement to depreciate the rupee by 3%. Since then the rupee has hit ...

The International Monetary Fund said on Wednesday that Sri Lanka's devaluation of its rupee currency was a good step and should support the island-nation's export competitiveness and safeguard its reserves over the medium-term.

The International Monetary Fund said on Wednesday that Sri Lanka’s devaluation of its rupee currency was a good step and should support the island-nation’s export competitiveness and safeguard its reserves over the medium-term.

The International Monetary Fund said on Wednesday that Sri Lanka's devaluation of its rupee currency was a good step and should support the island-nation's export competitiveness and safeguard its reserves...

The rupee trading froze on Monday after President Mahinda Rajapaksa announced a surprise three per cent devaluation with immediate effect in the 2012 Budget speech to help exporters and cut import costs. Central Bank Governor Ajith Nivard Cabraal said the devaluation would take effect from Tuesday, but assured that there wouldn’t be any further cut ...

Christine Lagarde, Managing Director of the International Monetary Fund (IMF) emphasised the important role of Asia, and especially China, in achieving global economic recovery. “The rise of Asia in the global economy is really the defining economic success story of modern times

Reuters: Political and economic crisis in Italy spurred fears of a split in the euro zone with borrowing costs for Europe’s third biggest economy near unsustainable levels and the bloc unable to afford a bailout. The escalating crisis prompted European Commission President Jose Manuel Barroso to issue a stern warning of the dangers of splitting ...

Reuters) – The head of the International Monetary Fund warned on Wednesday that Europe’s debt crisis risked plunging the global economy into a “lost decade” and said it was up to rich nations to shoulder the burden of restoring growth and confidence. Christine Lagarde told

HONG KONG (AFP): Asian markets were mixed on Tuesday as Italy’s deepening debt and political crisis overshadowed progress by Greece, another stricken eurozone member, towards installing a new government. Italy’s borrowing rates have soared to unsustainable levels with the yield on its 10-year government bonds hitting a record 6.676 percent on Monday, although it had ...

ST PETERSBURG, Russia, Nov 7 (Reuters) – Russia, holder of the world’s third largest foreign reserves, gave a vote of no confidence on Monday in Europe’s handling of its debt crisis as the head of the International Monetary Fund visited Moscow to seek support. Prime Minister

Following is the address delivered by Senior Minister for International Monetary Cooperation Dr. Sarath Amunugama at the fourth South Asia Economic Summit (SAES IV) Plenary Session: In the aftermath of the global economic crisis, there has been a noticeable shift in economic clout, moving from the USA and the debt-plagued countries of the Eurozone, to ...

Reuters: Euro zone leaders struck a deal with private banks and insurers on Thursday for them to accept a 50 percent loss on their Greek government bonds under a plan to lower Greece’s debt burden and try to contain the two-year-old euro zone crisis. The agreement was reached after more than eight hours of hard-nosed ...

Qatar’s economic growth is expected to drop sharply to 5.1 percent in 2012, down from a projected 15 percent for this year due to receding hydrocarbon expansion, the Gulf state’s development planning authority GSDP said on Tuesday. “The GSDP foresees a sea change in the economy’s dynamics in 2012,” the General Secretariat for Development Planning ...

Sri Lanka Economic Association Conference – Key takes at the inauguration By Dinali Goonewardene The Government in addition to domestic constraints faces a series of external and global constraints and the Sri Lanka Economic Association at its annual sessions from 13-14 October 2011 discussed this under the theme ‘Achieving National Economic Goals Amidst Global Challenges’. ...

BEIJING (Reuters): China urged the European Union on Monday to deal with its debt crisis as soon as possible and prevent contagion from spreading, as the country’s number four-ranked leader arrived for a visit of the continent, including Greece. “We hope that the EU countries concerned will reach a comprehensive settlement plan as soon as ...

The IMF’s recently-released Asia and Pacific Regional Economic Outlook (REO) shows the region continuing to lead global growth, though the forecast has weakened over the past few months, and risks are to the downside1. The recovery in advanced economies is more sluggish than anticipated at the time of our April 2011 REO, and the global ...

Arguably the world’s most powerful leader, Barak Obama, underscored that the Eurozone crisis is “scaring the world”. It comes as no surprise then that his Treasury Secretary Tim Geithner heads the international clamour for more action to solve the burgeoning sovereign debt problem that has dominated financial markets in recent times. George Osborne, Britain’s current ...

BERLIN (Reuters): The leaders of Germany and France promised on Sunday to unveil a new comprehensive package for solving the euro zone’s debt crisis by the end of the month, but offered no details and papered over differences on how to shore up European banks. German Chancellor Angela Merkel and French President Nicolas Sarkozy said ...

Reuters: When Paul Friedman met the rag-tag youth camped out near Wall Street to protest inequality in the American economy, he felt he was witnessing the start of a protest movement not seen in America since the 1960s. And Friedman should know. The 64-year-old was a student organizer during the anti-Vietnam War movement, protesting from ...

Revises from 8.5 pct yr/yr; still a record high growth $1 b inflow into stocks, debt expected before end-Dec Sri Lanka deals with Asia investors, not from Europe, US COLOMBO(Reuters): Sri Lanka’s Central Bank on Thursday lowered its full-year growth target to 8.3 percent from its earlier estimate of 8.5 percent due to contraction in ...

MP charges that Government is focusing only on physical infrastructure and adopting a top-down development approach instead of a more inclusive and participatory humane political futureUnited National Party Parliamentarian Eran Wickramaratne asserts that the Government is depleting the resources of the municipality on an election extravaganza. In a candid interview with the Daily FT, the ...

Reuters: Anyone hoping that recent falls in commodity prices would provide a boost to powerhouse Asian economies and help lift the developed world out of recessionary danger will be disappointed. The region’s focus remains firmly on inflation. Commodities from crude to corn have slid in the last quarter, with many showing the most dramatic losses ...

Leif Lybecker Eskesen, Chief Economist for HSBC India and ASEAN will visit Sri Lanka this week. During his visit, he will address the Bank’s corporate customers on ‘Asia’s Inflation – Growth Tango: who’s dominating the dance?’ at a special Power Breakfast, scheduled to be held on 7 October 2011, at the Cinnamon Grand Hotel. Leif ...

More inflows into service, capital, financial accounts, says CB Rupee was under pressure due to heavy imports in Aug., Sept. Currency dealers wary on rupee stability By Shihar Aneez Reuters: Pressure on Sri Lanka’s rupee currency will recede in coming months due to increasing inflows into the country’s service, capital and financial accounts, the Central ...

BRUSSELS(AFP): Caught in the shadow of a potential Greek default that has seen investors switch into risk-aversion mode, European banks are back in the hunt for funds to shore up their books. In a major U-turn, senior EU officials conceded this past week that Europe’s banks need to raise more capital to weather the storm ...

Last week’s My View talked about six popular fallacies of currency or exchange rate appreciation which both the authorities and the public have tended to harbour in themselves. Of them, the following three were discussed in detail: Fallacy One: The government can fix the external value of a currency at any level it wishes. Fallacy ...

In its march towards development, Sri Lanka is still seeking the assistance of bilateral and multilateral organisations as well as greater input from foreign investors, Governor of the World Bank Group and International Monetary Fund for Sri Lanka, Senior Minister for International Monetary