The Monetary Board of the Central Bank of Sri Lanka, on 03 April 2020, decided to reduce the Standing Deposit Facility Rate (SDFR) and the Standing Lending Facility Rate (SLFR) of the Central Bank by 25 basis points to 6.00 per cent and 7.00 per cent, respectively, effective from the close of business on 03 April 2020.
This decision will complement the measures taken thus far to ease market conditions, and enable the domestic financial market to provide further relief to businesses and individuals affected by the outbreak of the COVID-19 pandemic and restrictions placed to contain its spread within the country.
Meanwhile, Central Bank Governor, Professor W D Lakshman today instructed the banks and financial institutions to implement all the instructions given by the Central Bank to revive the economy in a post-COVID19 scenario.
He also warned the banks and financial institutions not to delay to implementing the instructions and guidelines, which would compel the Central Bank to take action against them in accordance with the available rules and regulations.
In a statement, he said that the Central Bank is optimistic that country would overcome the catastrophic virus epidemic and the country’s endeavour to combat COVID 19 is internationally commended as being far better than those of developed nations.
He also said that the political authority, administration, Police, Tri Forces, health sector, Central Bank etc are playing a pivotal role in this endeavour. He added that Central Bank has taken many measures to assist the Government to cope with this situation, including raising Rs 100 billion through Treasury Bills.