Sri Lanka new regime in shock parliamentary defeat over borrowing powers

First Guy wrote:
But there is no actual lending to the govt happening in the secondary market, correct?

It is all about market sentiment.Everybody knows Government has no money, So You know this is a crisis situation.Don't take things lightly because who ever is in office (UNF or SLFP) has to honer the the payments due in the future.

Low foreign reserves.Government has so far was not capable enough to raise a severing debt. Why they doubt that the issue may be failure. Because of all the drama that played with all the foreign projects.What ever the investigations should not have leaked to the media to gain political benifits, those matters should have managed internally. Because foreign investors don't care about our political issues. What they want is confidence to invest.

The difference is that Cabral is a better manager than any when it comes to managing Government debt as I see. Some may criticize, but the actual fact is that. Because Ravi from his own mouth has said that how the hell those people had managed this.

Is Printing money not an easy option ?

කිත්සිරි ද සිල්වා wrote:Is Printing money not an easy option ?

yes.That is the option government has tried here. Where they tried to get approval for 400Bn. Till the public can subscribe they can auction.If they can't at a certain point CBSL will buy the balance through printing money.

Later if a buyer is found those will be sold to him.

RPPA wrote:

stockback wrote:what do you(RPPA) think about T-Bil Rates tomorrow ?

I think it will be fall. bcz officially demand is 21Billions maximum in near future.

please explain bit more. with T-Bill rates

Surely the secondary market rates will appreciate.I'll post an update during the day.

In the Bond market the rates are equated at higher levels.The gap between buyer & seller is very wide.

Thanks RPPA for your Valuble insight.

මුදල් අච්චු ගැසීම , බැඳුම් කර පාඩුව,  බැංකු පොලිය ගැන දේශනයක් !.


ඔන්න අපිට මෙයා ගෙනුත් ඉගෙන ගන්න උනා නේ !




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පසුව ලියමි:

විලි ලැජ්ජාව වූ කලී   ...

පීබී ජයසුන් දර,  කබ් රාල්, ගොඩහේවා වැන්නවුන් විවේචනය කරමින් අපට වසර ගනනක් පම්පෝරි ගැසූ ආර්ථික ඔස්තාර් ලාට ද​, ආපු ගමන් මාකට් උඩයනවා කියන නායකයින්ට ද​, බලය ලැබී මාස 2 ක් තුල  කරමින් සිටින අමනෝඥ වැඩ නිසා හත් පොලේ ගා ගෙන  ගලේ පැහැරූ බළලුන් මෙන් පාර්ලිමේන්තුවේ ආසන වල ගල් ගැසී   විමල් වීරවංස මහාචාර්‍ය තුමාගේ ආර්ථික විද්‍යා ලෙක්චර් එකට සවන් දෙන්නට සිදුවීමය​.

mama oya arthika widdaingayagen ahanne eka prashnayai.

widimathwa mudal print karanna awashay sadaka monada kiyala?

oya speech eka katpadam karagena awilla. kata hari kiyala kuppiyak dagena awilla inne. haras prashnayak ahuwanam kora. UNP modayoth ahanne moda prashna

Exactly.
I remember once when late RP giving such talk, DR NM asked him "who wrote this for you? Was it Tilak R"?  

stockback wrote:mama oya arthika widdaingayagen ahanne eka prashnayai.
widimathwa mudal print karanna awashay sadaka monada kiyala?
oya speech eka katpadam karagena awilla. kata hari kiyala kuppiyak dagena awilla inne. haras prashnayak ahuwanam kora. UNP modayoth ahanne moda prashna

Nice script and good acting,overall a good comedy
This man doesn't have any idea about the difference between bonds and the bills,poor Anathaya.
RPPA please help him

[quote="pathfinder"]Nice script and good acting,overall a good comedy
This man doesn't have any idea about the difference between bonds and the bills,poor Anathaya.
RPPA please help him [/quote

Namuth meya kiyana ewa boru nemeine. Politicianlata hema subject ekak genama katha karanna wenawane, Bond/ T. bill gena Finance Ministerta wada meyata therena bawa nam penawa.

therena widiyata ranga panawa. game minissu owa danne nahane.

megollo kiyawana withrai aththa prashneta wisndumak kiyanne naha. prashne athi kale kauda kiyala kiyanne naha. nikan ranganawa witharai.

RPPA wrote:

RPPA wrote:

stockback wrote:what do you(RPPA) think about T-Bil Rates tomorrow ?

I think it will be fall. bcz officially demand is 21Billions maximum in near future.

please explain bit more. with T-Bill rates

Surely the secondary market rates will appreciate.I'll post an update during the day.

In the Bond market the rates are equated at higher levels.The gap between buyer & seller is very wide.

that mean primary dealers getting more money?
what is main different between T-Bill and T-Bond, I think T-Bill interest(Value*Coupon rate) get beginning. But T-Bod should be different.

T-Bond sale in primary market as T-Bond or ?
RPPA please help me to solve these thing in correct way. I have read few articles bit confuse now.

stockback wrote:

RPPA wrote:

RPPA wrote:

stockback wrote:what do you(RPPA) think about T-Bil Rates tomorrow ?

I think it will be fall. bcz officially demand is 21Billions maximum in near future.

please explain bit more. with T-Bill rates

Surely the secondary market rates will appreciate.I'll post an update during the day.

In the Bond market the rates are equated at higher levels.The gap between buyer & seller is very wide.

that mean primary dealers getting more money?
what is main different between T-Bill and T-Bond, I think T-Bill interest(Value*Coupon rate) get beginning. But T-Bod should be different.  

T-Bond sale in primary market as T-Bond or ?
RPPA please help me to solve these thing in correct way. I have read few articles bit confuse now.

Treasury Bill is a short term investment issued through auctions conducted by the Central Bank of Sri Lanka on behalf of the Government. Treasury Bills are issued at a discount and the face value is paid at maturity with interest paid up-front. An investor can buy Treasury Bills either directly from Commercial Bank or from primary dealers. T/Bills issues in weekly basis (normally Wednesday).

Treasury Bonds are a type of investment instrument issued by the Central Bank of Sri Lanka through primary auctions held throughout the year. These are considered to be medium and long term monetary instruments, of which the maturity period ranges from 2 to 30 years.Unlike a Treasury Bill, you as the holder of a Bond will be entitled to semi-annual periodic interest payments (coupon interest) which is paid at a pre-determined fixed rate during the life of the bond. Depending on the yield and the coupon rate, the price (per 100 rupees) of a bond, can either be more than Rs. 100 (premium) or below Rs. 100(discount).Issued only when needed.

Both are issued by way of auctions or through placements or for payments due to be payed by the Government.

In the secondary market both are getting traded.

RPPA wrote:

stockback wrote:what do you(RPPA) think about T-Bil Rates tomorrow ?

I think it will be fall. bcz officially demand is 21Billions maximum in near future.

please explain bit more. with T-Bill rates

Surely the secondary market rates will appreciate.I'll post an update during the day.

When someone desperately need money the lenders will demand.

But the Bill Auction is tricky for me as Government can ask EPF, ETF & Other Government banks to quote low. Therefore the auction can be managed. But I doubt how much of money available with those institutions after subscribing for series of Bill & Bond auctions.

This is what I feel FM should have said as Every body knows that there are large amount of dues to be paid to who ever the contractors.

We request to increase the 850Bn T/Bill sealing to 1,250Bn mainly for the purpose of settling the dues of current recurring projects, for those settlements ???? of money is needed. So government Government has come to a agreement with them that we will provide you all 1Yr T/Bills @ yield of 7%. So there will be no stress for the financial system & contractors are satisfied with what they are receiving.

But unfortunately our PM was even not that capable enough to think that way.If he had such a plane he would have said it. To frank that is how the last regime has settled most of the contractors.

In such a situation will any one vote against it.Because here nothing to hide & no double games every thing is straightforward.

RPPA wrote:

stockback wrote:

RPPA wrote:

RPPA wrote:

stockback wrote:what do you(RPPA) think about T-Bil Rates tomorrow ?

I think it will be fall. bcz officially demand is 21Billions maximum in near future.

please explain bit more. with T-Bill rates

Surely the secondary market rates will appreciate.I'll post an update during the day.

In the Bond market the rates are equated at higher levels.The gap between buyer & seller is very wide.

that mean primary dealers getting more money?
what is main different between T-Bill and T-Bond, I think T-Bill interest(Value*Coupon rate) get beginning. But T-Bod should be different.  

T-Bond sale in primary market as T-Bond or ?
RPPA please help me to solve these thing in correct way. I have read few articles bit confuse now.

Treasury Bill is a short term investment issued through auctions conducted by the Central Bank of Sri Lanka on behalf of the Government. Treasury Bills are issued at a discount and the face value is paid at maturity with interest paid up-front. An investor can buy Treasury Bills either directly from Commercial Bank or from primary dealers. T/Bills issues in weekly basis (normally Wednesday).

Treasury Bonds are a type of investment instrument issued by the Central Bank of Sri Lanka through primary auctions held throughout the year. These are considered to be medium and long term monetary instruments, of which the maturity period ranges from 2 to 30 years.Unlike a Treasury Bill, you as the holder of a Bond will be entitled to semi-annual periodic interest payments (coupon interest) which is paid at a pre-determined fixed rate during the life of the bond. Depending on the yield and the coupon rate, the price (per 100 rupees) of a bond, can either be more than Rs. 100 (premium) or below Rs. 100(discount).Issued only when needed.

Both are issued by way of auctions or through placements or for payments due to be payed by the Government.

In the secondary market both are getting traded.

Thank You very much RPPA. I feel you are in ESL then I am also in next financial report (Top 10)
I think finical market(T-bill and T-bond) up and down then very good for Primary dealers(if skill full people working on that company)

chinwi wrote:මුදල් අච්චු ගැසීම , බැඳුම් කර පාඩුව,  බැංකු පොලිය ගැන දේශනයක් !.


ඔන්න අපිට මෙයා ගෙනුත් ඉගෙන ගන්න උනා නේ !




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පසුව ලියමි:

විලි ලැජ්ජාව වූ කලී   ...

පීබී ජයසුන් දර,  කබ් රාල්, ගොඩහේවා වැන්නවුන් විවේචනය කරමින් අපට වසර ගනනක් පම්පෝරි ගැසූ ආර්ථික ඔස්තාර් ලාට ද​, ආපු ගමන් මාකට් උඩයනවා කියන නායකයින්ට ද​, බලය ලැබී මාස 2 ක් තුල  කරමින් සිටින අමනෝඥ වැඩ නිසා හත් පොලේ ගා ගෙන  ගලේ පැහැරූ බළලුන් මෙන් පාර්ලිමේන්තුවේ ආසන වල ගල් ගැසී   විමල් වීරවංස මහාචාර්‍ය තුමාගේ ආර්ථික විද්‍යා ලෙක්චර් එකට සවන් දෙන්නට සිදුවීමය​.

one more to 1000 posts. Waiting for a grand post or out of market these days?

chinwi
Top contributor
Top contributor

Posts: 999
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Join date: 2014-02-23