CBSL Governor Advocates for Accessible Low Interest Rate Credit

COLOMBO (News 1st); Sri Lanka's Central Bank plans to collaborate closely with banks and other financial institutions to reduce the excessive interest rates still prevalent in the market.

Governor Dr. P. Nandalal Weerasinghe highlighted that while low interest rates have played a crucial role in reviving credit and improving overall business sentiment, they could also disproportionately affect savers. However, he reassured that, unlike during the high inflation episode, real returns on deposits have remained positive due to successfully reined-in inflation levels.

He emphasized that interest rates have their cycles, and the Central Bank will maneuver these rates to ensure that inflation is kept low and stable, with the ultimate goal of promoting overall public welfare.