The Investor Sentiment - Equity and investments forum for Sri Lankans
Search
 
 

Display results as :
 


Rechercher Advanced Search

Latest topics
» Obituary Notice.
Today at 9:16 am by කිත්සිරි ද සිල්වා

» රුපියල 161.54ට යයි
Yesterday at 10:34 pm by nihal123

» PABC.N0000 (Pan Asia Banking Corporation PLC)
Yesterday at 2:14 pm by lanka

» Dividend Announcement
Yesterday at 9:53 am by yellow knife

» අනං මනං! #/+?.<>
Wed Aug 15, 2018 12:49 pm by Ethical Trader

» ආදායම් බද්දෙන් ආසිරි තැලෙයි
Wed Aug 15, 2018 12:30 pm by Ethical Trader

» Sri Lankan listed firms told to pay dividends directly to shareholder bank accounts
Tue Aug 14, 2018 2:38 am by pjrngroup

» Sri Lanka's Hayleys group to sell assets to reduce debt
Mon Aug 13, 2018 10:05 pm by nihal123

» අපේ දුම්රිය සේවය තැබු ලෝක වර්තාව; වර්ජනයේ අරමුණ රුපියල් 11605 කින් පඩි වැඩිකර ගැනීම!
Mon Aug 13, 2018 3:05 pm by Yin-Yang

» Elsewhere vs SL : Honesty, Social responsibility , Word twisting and Decency
Sun Aug 12, 2018 9:47 am by කිත්සිරි ද සිල්වා

» "මාව පෙළඹෙව්වේ සංගක්කාර" - ඉන්දීය ක්‍රිකට් ක්‍රීඩිකා ස්ම්‍රිති මන්දනා
Sat Aug 11, 2018 5:08 pm by Ethical Trader

» Sri Lanka's Ceylon Tobacco net up 47-pct, volumes grow
Fri Aug 10, 2018 5:19 pm by Ethical Trader

» Sri Lanka's Tokyo Cement in the red, vessel sale adds to loss
Fri Aug 10, 2018 2:27 pm by The Invisible

» Sri Lanka’s Watawala Plantations June net down 57-pct
Fri Aug 10, 2018 2:26 pm by The Invisible

» Sri Lanka’s Aitken Spence Hotel June quarter losses rise 22-pct
Fri Aug 10, 2018 2:23 pm by The Invisible

» ඩොලරයේ වැඩිම විකුණුම් මිල අද වාර්තා වෙයි
Fri Aug 10, 2018 9:00 am by Ethical Trader

» BOC New Internet Banking System
Wed Aug 08, 2018 6:29 pm by Rana

» PB. N0000 (People's Bank)
Wed Aug 08, 2018 11:55 am by Ethical Trader

» දේශපාලනික වාසි උදෙසා සිදුවන ප්‍රතිපත්ති වෙනස්වීම් ගැන මහ බැංකුව මෙසේ කියයි
Wed Aug 08, 2018 11:34 am by Ethical Trader

» Amazing හෙළ වෙදකම
Wed Aug 08, 2018 11:00 am by Ethical Trader

» විදේශිකයෝ ඩොලර් මිලියන 229 ක බැඳුම්කර ආයෝජන ඉවත් කර ගනිති
Tue Aug 07, 2018 12:22 pm by Ethical Trader

» මූල්‍ය සමාගම් ඒකාබද්ධ කිරීම වක්‍රාකාරයෙන් සිදුවෙනවා – මහ බැංකු නියෝජ්‍ය අධිපති කියයි
Tue Aug 07, 2018 12:21 pm by Ethical Trader

» සිංගප්පූරු ගිවිසුමෙන් අපනයන වාසියක් නැහැ – මහ බැංකු අධිපති
Tue Aug 07, 2018 12:19 pm by Ethical Trader

» Sri Lanka to miss IMF forex reserve target; seek waiver
Mon Aug 06, 2018 10:45 am by The Invisible

» Sri Lanka targets lower forex reserves for end 2018
Mon Aug 06, 2018 10:43 am by The Invisible

» Sri Lanka economy to grow 4.0-pct in 2018
Mon Aug 06, 2018 10:42 am by The Invisible

» More curbs on cars as Central Bank battles trade gap
Mon Aug 06, 2018 10:40 am by The Invisible

» What Sri Lanka can do to improve the credibility of its dollar soft-peg
Mon Aug 06, 2018 10:39 am by The Invisible

» Sri Lanka's Hayleys Fabric back in profit in June quarter
Sun Aug 05, 2018 12:11 am by spw19721

» Sri Lanka keeps rates unchanged
Fri Aug 03, 2018 6:10 pm by Ethical Trader

» Sri Lankan shares end up 0.1-pct, foreigners buy NTB
Fri Aug 03, 2018 6:08 pm by Ethical Trader

» Sri Lanka sharply raises tax on small hybrid cars
Fri Aug 03, 2018 6:03 pm by Ethical Trader

» Sri Lanka inflation accelerates to 5.4-pct in July
Fri Aug 03, 2018 5:54 pm by Ethical Trader

» බදු ඉහළට. Wagon R, Japan Alto, Spacia ඇතුළු පොඩි කාර් මිල වැඩිවෙන්නේ මෙහෙමයි
Fri Aug 03, 2018 1:28 pm by කිත්සිරි ද සිල්වා

» India police hunt eight men after sex attack on goat
Wed Aug 01, 2018 1:04 pm by slstock

» Yes, we Khan!
Wed Aug 01, 2018 1:03 pm by කිත්සිරි ද සිල්වා

» ඡන්ද කටේ ,කුලියාපිටියේ ඇදෙන Volkswagen කතාවේ ඇත්ත තත්ත්වය මෙහෙමයි
Wed Aug 01, 2018 7:46 am by serene

» Should CSE be like this? Whose FAULT is it?
Tue Jul 31, 2018 8:24 pm by spw19721

» ලෝකය යා කරන චීන ඉදිකිරීම් වේගවත් කරන යෝධ යන්ත්‍ර
Tue Jul 31, 2018 6:08 pm by Ethical Trader

» 'කාලතුවක්කු උණ්ඩ ගස': "ඉන්දියාවේ තබා ආසියානු කලාපයේ ශාකයක් නොවෙයි"
Tue Jul 31, 2018 5:49 pm by Ethical Trader

» Happy Birthday
Mon Jul 30, 2018 10:27 pm by serene

» Whats ailing Sri Lanka ? Why we are what we are!
Mon Jul 30, 2018 5:48 pm by Ethical Trader

» Lunar Eclipse
Sun Jul 29, 2018 10:56 am by Ethical Trader

» ගුවන් යානා තුළ මකුණන් සිටීමට හේතුව කාලගුණය බව 'එයාර් ඉන්දියා' සමාගම පවසයි
Sun Jul 29, 2018 10:54 am by Ethical Trader

»  Woman finds frog parts in her packet of 'kottu'
Sun Jul 29, 2018 8:42 am by කිත්සිරි ද සිල්වා

» අඟහරු ග්‍රහයා මත ද්‍රවීය ජලය ඇති 'විලක්' ඇතැයි හෙළිවේ
Thu Jul 26, 2018 5:02 pm by Ethical Trader

» තායිලන්ත ලෙනෙන් මුදවාගත් දරුවන් තාවකාලික පැවිදි දිවියට
Wed Jul 25, 2018 10:08 am by Ethical Trader

» ආබාධිත තත්වයක් නිසා හොඬයේ ආධාරයෙන් ඇවිදින අලි පැටවෙකු මත්තල දී හමුවෙයි
Tue Jul 24, 2018 9:59 am by Ethical Trader

» කැනඩාවේ ටොරොන්ටෝ වෙඩි තැබීම: කාන්තාවක් මරුට, දැරියකට අසාධ්‍යයි
Tue Jul 24, 2018 7:58 am by කිත්සිරි ද සිල්වා

» Quick Checklist for Selecting a Stock
Tue Jul 24, 2018 7:46 am by serene

August 2018
SunMonTueWedThuFriSat
   1234
567891011
12131415161718
19202122232425
262728293031 

Calendar Calendar

Disclaimer


Information posted in this forum are entirely of the respective members' personal views. The views posted on this open online forum of contributors do not constitute a recommendation buy or sell. The site nor the connected parties will be responsible for the posts posted on the forum and will take best possible action to remove any unlawful or inappropriate posts.
All rights to articles of value authored by members posted on the forum belong to the respective authors. Re-using without the consent of the authors is prohibited. Due credit with links to original source should be given when quoting content from the forum.
This is an educational portal and not one that gives recommendations. Please obtain investment advises from a Registered Investment Advisor through a stock broker

Sri Lanka, IMF reach deal for next six months; fuel pricing key

Go down

Sri Lanka, IMF reach deal for next six months; fuel pricing key

Post by The Invisible on Sun Apr 22, 2018 10:19 pm

ECONOMYNEXT - The International Monetary Fund said had reached preliminary agreement for the next phase of the reform program, with the current review to be completed after implementing a fuel pricing formula.

"Subject to cabinet approval of an automatic fuel pricing mechanism—consistent with the EFF-supported program, the Board is expected to consider Sri Lanka’s request for completion of the fourth review in June 2018," IMF mission chief Manuela Goretti said.

"The measure would represent a major step towards completing energy pricing reforms in 2018."

Sri Lanka has met all end-December performance targets involving deficits, forex reserve collection though inflation went up, and has since fallen, the IMF said.

Sri Lanka had the emerging Asia's highest inflation in 2017 after Mongolia, even without fuel prices being raised with the rupee steadily falling under a real effective exchange rate targeting policy.

However Sri Lanka was behind on some structural benchmarks.

"The authorities are taking actions to implement all the pending structural benchmarks for this review, despite some delays," the statement said.

The price formula for fuel is becoming increasingly important as oil prices rise.

In the past rising oil prices which then push up state enterprises or government borrowing to subsidize them had made the central bank print money to keep interest rates down.

This had led to a weakening rupee and higher inflation.

The full statement is reproduced below:

Further revenue mobilization can make space for social spending while reducing public debt. Reforms of state-owned enterprises are critical to minimize fiscal risks.

Greater exchange rate flexibility and reserve buffers would strengthen resilience against external shocks.

Strengthening institutions and accelerating structural reforms is key to lay the foundation for more sustainable and inclusive growth in Sri Lanka.

After constructive discussions with the authorities in Colombo and during the Spring Meetings in Washington DC, Manuela Goretti, the IMF mission chief for Sri Lanka, issued the following statement:

“The IMF team reached a staff-level agreement with the Sri Lankan authorities on the fourth review under an economic reform program supported by athree-year Extended Fund Facility (EFF) arrangement. All the end-December quantitative performance criteria under the program were met, as the authorities have successfully advanced fiscal consolidation and strengthened international reserves. Due to a weather-related spike in food prices, inflation exceeded the upper limit for the inner band for December, but has since fallen back within the inner band. The authorities are taking actions to implement all the pending structural benchmarks for this review, despite some delays.”

“Following subdued growth in 2017 due to the lingering effects of weather-related shocks, a recovery is underway as agriculture has started to rebound and food prices decelerated. Real GDP growth is expected to reach 4 percent and inflation to remain below 5 percent in 2018. Exports are also recovering and the recent sovereign bond issuance was successfully oversubscribed. However, the economy remains vulnerable to adverse shocks given the still sizable public debt, large refinancing needs, and low external buffers.”

“Subject to cabinet approval of an automatic fuel pricing mechanism—consistent with the EFF-supported program, the Board is expected to consider Sri Lanka’s request for completion of the fourth review in June 2018. The measure would represent a major step towards completing energy pricing reforms in 2018. Further efforts remain needed to strengthen governance and mitigate fiscal risks from state-owned enterprises (SOEs). Progress in implementing the Inland Revenue Act (IRA) and other revenue measures in the 2018 budget remains essential for meeting social goals and improving debt dynamics. The central bank should continue to remain vigilant in guarding against inflationary pressures, while continuing to build reserves and supporting greater exchange rate flexibility."

“Under the EFF-supported program, sustaining the reform momentum is critical to strengthen the resilience of the economy to shocks and promoting inclusive and strong growth. The authorities should push ahead with their Vision 2025 objectives, by further advancing fiscal consolidation through stronger fiscal rules and SOE governance; modernizing monetary and exchange rate frameworks; accelerating their inclusive growth reform agenda, through trade liberalization, climate, and gender budgeting; as well as better-targeted social protection programs.”
avatar
The Invisible

Posts : 291
Join date : 2016-11-28
Age : 38

Back to top Go down

Re: Sri Lanka, IMF reach deal for next six months; fuel pricing key

Post by nihal123 on Sun Apr 22, 2018 10:51 pm

Thanks Invisible
avatar
nihal123
Top contributor
Top contributor

Posts : 4679
Join date : 2014-02-24
Age : 52
Location : Waga

Back to top Go down

Re: Sri Lanka, IMF reach deal for next six months; fuel pricing key

Post by The Invisible on Mon Apr 23, 2018 7:19 am

You are well come nihal. Now it seems that Government has no option but to increase fuel prices through the formula. So what are the chances for LIOC? It will be like gold once the formula is in place.
avatar
The Invisible

Posts : 291
Join date : 2016-11-28
Age : 38

Back to top Go down

Back to top


 
Permissions in this forum:
You cannot reply to topics in this forum