The Central Bank (CB) has issued a special circular ordering that the average lending interest rates of licensed commercial banks and financial institutions should be lowered immediately. The Central Bank states that the licensed state banks and financial institutions should maintain the lending interest rate at 13.5 percent or less. The Central Bank of Sri Lanka has informed that licensed commercial banks should maintain mortgage interest rates at 18 percent and credit card interest rates at 28 percent. The Central Bank Governor expressed confidence that the commercial banks will reduce the interest rates to the maximum for lending as per the circular issued by the Central Bank. Dr. Weerasinghe pointed out that the commercial banks have already reduced the interest rates and further adjustments will be implemented starting this week.

Source: Sunday Observer August 28, 2023 14:59 UTC