Central Bank further eases monetary policy stance
- 5opn1
- November 27, 2024
- Banking and Financial, News
- Central Bank further eases monetary policy stance
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The Monetary Policy Board of the Central Bank of Sri Lanka, at its meeting held on 26 November 2024, decided to further ease the monetary policy stance and set the newly introduced Overnight Policy Rate (OPR) at 8.00 per cent.
It has decided to implement a single policy interest rate mechanism transitioning from its dual policy interest rate mechanism, with effect from 27 November 2024.
“This marks another significant improvement in the Flexible Inflation Targeting (FIT) framework implemented by the Central Bank,” the monetary regulator said.
With this change, the effective reduction in the policy interest rate would be around 50 basis points from the current level of the Average Weighted Call Money Rate (AWCMR), which continues to serve as the operating target of the Flexible inflation Targeting (FIT) framework.
