The Central Bank of Sri Lanka (CBSL) has indicated the potential for further reductions in market interest rates. CBSL officials have also noted that these reductions are expected to be passed on to customers by the country’s financial institutions in the near future.
During a press conference today (28th), the Governor of the Central Bank of Sri Lanka, Dr. Nandalal Weerasinghe, highlighted that although financial institutions have lowered their rates, these reductions have not mirrored the extent of the Central Bank’s own interest rate cuts.
Dr. Weerasinghe emphasized the need for a reduction in interest rates on newly issued loans. “The necessary adjustments for existing loans will be implemented soon. We are monitoring the situation closely. Additionally, we have observed instances where new loans are being issued at higher interest rates, which should not be the case. We expect these changes to occur promptly,” he stated.
