Sri Lanka Equity Forum
Dear Reader,

Registration with the Sri Lanka Equity Forum would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
Sri Lanka Equity Forum

Discussion Forum for Stock Market Investors in Sri Lanka

සිංහල පරිවර්තනය
Submit a Post
Submit Post
Submit Post
Latest topics
» lOFC definitely will hit 6/-
Higher private credit growth upsets Central Bank EmptyToday at 12:35 am by Promoney

» REXP TIME TO MOVE Rs 450 why??????
Higher private credit growth upsets Central Bank EmptyYesterday at 11:30 pm by Bakka1988

» Common trading mistakes: part two
Higher private credit growth upsets Central Bank EmptyYesterday at 11:29 pm by freeforexsignals2020

» Will NEST reach 15000 one day?
Higher private credit growth upsets Central Bank EmptyYesterday at 11:16 pm by Bakka1988

» cargo boat
Higher private credit growth upsets Central Bank EmptyYesterday at 9:15 pm by abey

» what's going on in CITW?
Higher private credit growth upsets Central Bank EmptyYesterday at 9:12 pm by abey

» ARPICO INSURANSE
Higher private credit growth upsets Central Bank EmptyYesterday at 8:20 pm by wisdom79

» SOFTLOGIC LIFE INSURANCE PLC
Higher private credit growth upsets Central Bank EmptyYesterday at 8:11 pm by wisdom79

» VPEL.N Any good news..?
Higher private credit growth upsets Central Bank EmptyYesterday at 8:04 pm by wisdom79

» COLOMBO TELEGRAPH
Higher private credit growth upsets Central Bank EmptyYesterday at 6:18 pm by kumarweerarathne

» top gainers
Higher private credit growth upsets Central Bank EmptyYesterday at 6:01 pm by abey

» IT professionals lash out at Sajith for misleading public
Higher private credit growth upsets Central Bank EmptyYesterday at 2:55 pm by ChooBoy

» Survey on Stock Market Practitioners..!! (TO: Stockbrokers,advisors,practicitioners. Value your support..!!)
Higher private credit growth upsets Central Bank EmptyYesterday at 12:46 pm by gayani2018

» DIST.N0000
Higher private credit growth upsets Central Bank EmptyYesterday at 12:44 pm by Invest2018

» FORUM NEW OUTLOOK: Give your comments and suggestions
Higher private credit growth upsets Central Bank EmptyYesterday at 10:05 am by Sstar

» Teller New Pr diction
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 10:52 pm by fireshelter

» GREG - CITW- BFN - BALA - MAL- LDEV - ACME Pump and & Dump Train soon
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 10:05 pm by mahasona2

» what happend to COMB
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 7:43 pm by kumarweerarathne

» Day trading can be a very profitable venture
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 5:47 pm by Asoka Samarakone

» Rexp ලාභය සියයට 35 කින් ඉහළ යයි
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 1:58 pm by jaya

» WHY MANY CASES POSTPONE?
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 12:03 pm by Arrowrisk

»  Investing in Govt. securities today riskier than Greece bonds. Rating ‘True and Correct’
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 11:21 am by ChooBoy

» CSE from Dawn of Peace to Rebirth of Terrorism
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 11:17 am by ChooBoy

» OUR LOST DIGNITY
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 10:18 am by jaya

» Target Price Prediction
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 10:05 am by jaya

» EAST PRICE SAME
Higher private credit growth upsets Central Bank EmptySat Oct 12, 2019 8:39 am by Invest2018

» Start of a bull market
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 11:53 pm by Rare

» Royal Ceramis . RCL.N000
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 5:08 pm by ThilinaM

» THE CASE FOR A BEAR MARKET IN THE USD
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 3:26 pm by samaritan

» Positive News
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 2:47 pm by samaritan

» GREG & DPL
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 2:41 pm by Hewagak

» SCRAPS up....
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 1:05 pm by Hewagak

» Look PAP Amazing company
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 12:58 pm by roshan1039

» Citrus group and colombo land
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 12:43 pm by wbslstocks

» Access (AEL) seems to give us good return during next 05 months
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 11:50 am by EPS

» TKYO X Target prce Rs.32.50
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 7:52 am by bhanu

» REXP TIME TO MOVE Rs 450
Higher private credit growth upsets Central Bank EmptyFri Oct 11, 2019 3:51 am by Bakka1988

» KZOO . N0000 - wILL HIT TO RS. 5 LEVELS
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 11:37 pm by Cma

» FORMER CENTRAL BANK GOVERNOR UNFOLDS 12-POINT REVIVAL PLAN
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 9:47 pm by Quibit

» Please Help
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 7:47 pm by kumarweerarathne

» RENUKA CAPITAL PLC KZOO.N0000@2.80
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 6:51 pm by fireshelter

» CONSTRUCTION SECTOR - PORT CITY UPDATES
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 4:48 pm by sureshot

» Look APLA its trending to 98LKR
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 2:25 pm by Uaecoindubai

» ලංකාවේ economic moat Organization.
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 1:59 pm by dhaneenja

» BIL deal eka sidu nowana bawa karunikawa dannwa sitimi
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 12:54 pm by Bakka1988

» Kzoo (Renuka Capital) Hidden Gem Why?
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 12:20 pm by Trader321

» SLPP BRINGING MARKET DOWN
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 12:02 pm by sureshot

» bil is performing
Higher private credit growth upsets Central Bank EmptyThu Oct 10, 2019 11:16 am by De23

» ACCESS ENGINEERING SHARE PRICE FORECAST
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 9:37 pm by EPS

» BIL පුපුරා යාමට ආසන්නයි
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 6:01 pm by Winner123

» Sri Lanka unemployment rate edges up 2019 2Q
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 4:44 pm by God Father

» Cautionary Notice issued by the Securities and Exchange Commission of Sri Lanka (SEC)
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 4:31 pm by Uaecoindubai

» SLFP SPLIT INTO TWO
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 3:20 pm by samaritan

» AFTER LONG TIME ENTER WITH KZOO
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 2:33 pm by Trader321

» අජිත් නිවාඩ් කබ්රාල් හිටපු මහබැංකු අධිපතිවරයා ඉදිරිපත් කල ආර්ථිකය නැවත නංවාලීම සඳහා දොළොස් වැදෑරුම් සැලසුම*
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 2:05 pm by God Father

» About OVERSEAS REALTY (CEYLON) PLC (OSEA.N)
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 1:59 pm by Arrowrisk

» NEST ලාභය දෙගුණ කරගනී
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 12:41 pm by De23

» We need an economic model that works for people and the planet
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 12:26 pm by Rare

» ACAP GOOD LEVEL TO ENTER PREDICT 10 or EVEN MORE
Higher private credit growth upsets Central Bank EmptyWed Oct 09, 2019 11:23 am by NZ BOY

»  ආර්ථිකය නැවත නංවාලීම සඳහා දොළොස් වැදෑරුම් සැලසුම
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 11:47 pm by Eng Krishantha

» AEL up or down?
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 8:52 pm by EPS

» EAST WEST PROPERTIES PLC
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 3:49 pm by nuwanmja

» Lookout for RCL
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 1:32 pm by ddrperera

» REXP***REXP***REXP***REXP
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 12:59 pm by Bakka1988

» Security for Viyangoda, Thenuwara
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 12:43 pm by soileconomy

» Country needs corruption free people’s government – President
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 11:08 am by Arrowrisk

» ‘Manawa’ seeks clarification on Gota’s documents from Elec. Com.
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 10:27 am by CITIZEN

» SAJITH TO BE NAMED AS THE UNP CANDIDATE
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 9:56 am by samaritan

» EAST WEST REPORT
Higher private credit growth upsets Central Bank EmptyTue Oct 08, 2019 9:18 am by Ahcha

» Greg අශ්වයා ධාවනය වීමට නියමිතයි
Higher private credit growth upsets Central Bank EmptyMon Oct 07, 2019 12:34 pm by Bakka1988

» Beware of the Stock Market Mafia
Higher private credit growth upsets Central Bank EmptyMon Oct 07, 2019 10:53 am by soileconomy

» සජීවී තොරතුරු පෙලගැස්ම - GR Case
Higher private credit growth upsets Central Bank EmptySun Oct 06, 2019 7:02 pm by samaritan

» Gotabaya: The Same Old Wine in a New Bottle
Higher private credit growth upsets Central Bank EmptySun Oct 06, 2019 1:46 pm by samaritan

» Who is Ajith Nivard Cabraal?
Higher private credit growth upsets Central Bank EmptySun Oct 06, 2019 1:42 pm by samaritan

» How stock brokers misled investors in 2011
Higher private credit growth upsets Central Bank EmptySun Oct 06, 2019 1:35 pm by samaritan

»  ඉතිහාසයේ රනින් ලියැවෙන තීන්දුව ගනී.. ගෝටා වෙනුවෙන් පොහොට්ටුවට සහාය දෙන්න ජනපති එකග වේ… දැන් ගෝටා අත උඩ ලක්‍ෂ 65යි..
Higher private credit growth upsets Central Bank EmptySun Oct 06, 2019 12:14 am by rukshan1234

» where to get real ielts,pte india((Whatsapp:+1 (484) 416-6687))
Higher private credit growth upsets Central Bank EmptySat Oct 05, 2019 11:25 pm by agent

» (40 more needed) Please help by filling the questionnaire on the stock market investor behavior in the Sri Lankan share market
Higher private credit growth upsets Central Bank EmptySat Oct 05, 2019 9:57 am by gayani2018

» SPEN.N0000 ? Is it okry t buy at this level?
Higher private credit growth upsets Central Bank EmptyFri Oct 04, 2019 7:08 pm by sameboy

» About DEALINGS BY DIRECTORS... Question?
Higher private credit growth upsets Central Bank EmptyFri Oct 04, 2019 12:51 pm by dhaneenja

» EAST WEST
Higher private credit growth upsets Central Bank EmptyFri Oct 04, 2019 10:09 am by CITIZEN

» EAST WEST STRONG
Higher private credit growth upsets Central Bank EmptyFri Oct 04, 2019 9:43 am by Ahcha

» NDB share price forcast
Higher private credit growth upsets Central Bank EmptyFri Oct 04, 2019 8:42 am by chandanaplus@gmail.com

» NDB share price forcast
Higher private credit growth upsets Central Bank EmptyFri Oct 04, 2019 8:18 am by chandanaplus@gmail.com

» ගෝඨාභය නඩුවෙන් නිදහස්
Higher private credit growth upsets Central Bank EmptyThu Oct 03, 2019 3:56 pm by Beta1

» SLPP SUBSTITUTE READY...
Higher private credit growth upsets Central Bank EmptyThu Oct 03, 2019 3:56 pm by Hewagak

» Presidential election vote..Who will win? POLL
Higher private credit growth upsets Central Bank EmptyThu Oct 03, 2019 11:43 am by Arrowrisk

» Invest in what you know and produce profits.
Higher private credit growth upsets Central Bank EmptyThu Oct 03, 2019 9:24 am by Asoka Samarakone

» Research And Analysis Wing and Central Intelligence Agency is not yet finalised its plan here
Higher private credit growth upsets Central Bank EmptyThu Oct 03, 2019 7:24 am by soileconomy

» Vision ,Plan,Capabilities should posses by 2020 president in SL
Higher private credit growth upsets Central Bank EmptyThu Oct 03, 2019 7:16 am by soileconomy

Advertise

You are not connected. Please login or register

Sri Lanka Equity Forum » Stock Market Talk » Higher private credit growth upsets Central Bank

Higher private credit growth upsets Central Bank

Go down  Message [Page 1 of 1]

PrasannaMani

PrasannaMani
Manager - Equity Analytics
Manager - Equity Analytics
[size=32]Higher private credit growth upsets Central Bank[/size]



The growth in private sector credit has upset the Central Bank as the recent numbers available up to October showed a disturbingly higher credit growth as the state-owned lenders remained stubborn although the private lenders showed some responsiveness to the monetary tightening measures. 
October private credit reached Rs.79 billion, the second highest for the year, and the total private credit granted during the first 10 months peaked to Rs.594 billion. Higher private credit growth upsets Central Bank Image_1483973045-6f91e4a002
According to Central Bank Governor Dr. Indrajit Coomaraswamy, although the private banks have shown some deceleration in granting credit, the state banks remained less sensitive as there have been large disbursements from the state sector lenders despite the higher rates and tight liquidity. 
“Clearly (this is) something we need to watch,” Dr. Coomaraswamy told the reporters when queried about the higher private sector credit.
However, he said the Central Bank’s provisional data showed the rate of credit growth is decelerating. 
“If you separate private banks and state banks, we can see that the private banks have responded to the tightening of monetary policy. But the state banks sometimes tend to be less sensitive to the changes in interest rates.”
He attributed this to the untidy monetary policy transmission in Sri Lanka. 
Generally it takes between 12 to 18 months for the full transmission of the monetary policy into the real economy in Sri Lanka, fairly longer than in some other developed markets. 
Sri Lanka is gradually replacing the current monetary targeting framework with flexible inflation targeting framework to achieve price stability, though partly in response to the International Monetary Fund (IMF) conditions.
The IMF in December asked the authorities to stand ready to raise the key rates if the private credit doesn’t show any deceleration. 
In October, the private sector credit growth decelerated to 22 percent on a year-on-year basis but on an absolute basis it spiked. 
The IMF and Central Bank want to bring down this growth to less than 20 percent levels but economists doubt if the monetary authority could meet its target. 
Sri Lanka’s private sector, particularly individual borrowers of late, have shown some insensitiveness towards higher rates as they have continued to borrow even at relatively higher rates for both consumption and investment.

- See more at: http://www.dailymirror.lk/article/Higher-private-credit-growth-upsets-Central-Bank-121943.html#sthash.NCpdGUwx.dpuf

Back to top  Message [Page 1 of 1]

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