Rates should ease despite domestic debt restructuring fears: Central Bank chief
Says such uncertainty has already priced in and hence other factors should weigh down on rates
The Central Bank chief last week said that the prevailing uncertainty over domestic debt restructuring had already priced into the government securities yields and thereby the market rates and thus it should not be the single factor preventing the downward adjustment expected in both the yields and the rates.
The Central Bank last week said the current deposit rates and short-term lending rates are excessively high and thus have room to fall even before cutting the policy rates as inflation is easing while the deficit in the money market liquidity has sharply narrowed.
“The uncertainty factor has already been priced in, in the Treasury yields by the market. But, other factors such as the improvement in interbank liquidity and inflation are turning around.
MIRROR BUSINESS
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2022-11-28T08:00:00.0000000Z
2022-11-28T08:00:00.0000000Z
https://dailymirrorepaper.pressreader.com/article/281904482190461
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