Different parties obstructing Govt’s progress - Cabraal | Daily News

Different parties obstructing Govt’s progress - Cabraal

Money & Capital Market and State Enterprise Reforms State Minister Ajith Nivard Cabraal completely reject all the rumours circulating in the country these days about the Bank of Ceylon (BOC) and the People’s Bank.

He said that no problem has arisen in opening Letters of Credit (L/C) accounts through the BOC and the People’s Bank.

He was speaking at a SLPP press conference held at the Waters Edge in Colombo yesterday.

State Minister Cabraal said the BOC and People’s Bank were being maintained without any issue, saying that different parties were obstructing the progress of the Government in different ways at different times as they are trying to do at present.

L/C accounts can now be opened for all purposes and if any person is unable to open an account, he requested that this be brought to the notice of the authorities immediately.

He further said that when he took over as the Governor of the Central Bank of Sri Lanka (CBSL) in 2014, the Central Bank had reserves of $8.2 billion and had been planning to increase that to $15 billion by 2019. “However, after the Yahapalana Government left office, the Central Bank had only $7.6 billion in reserves.

Despite the rumours circulating and the country being in a very difficult situation, all the relevant foreign loan installments have been paid by now. Even the President and the Prime Minister have confirmed that our country has the ability to repay foreign loans,” Cabraal added.

“During the entire rule of the Yahapalana Government the daily turnover of the Colombo Stock Exchange was only Rs. 900 million. But now it has tripled. Now the daily turnover of the Stock Market is Rs.2,700 million. The All Share Price Index (ASPI) has increased from 5,800 to 7,000. The Rupee had depreciated by 6.8% per annum during the period of Yahapalana Government. The Rupee has depreciated to 2.8% by 2020 as a result of the COVID-19 pandemic. Steps are being taken to strengthen the rupee this year and to bring in direct investment in the country. We also hope to maintain the current decline in bank interest rates,” he said.