COLOMBO, March 21 Sri Lanka's central bank kept
policy rates steady at multi-year lows on Friday, as expected,
and said it hopes for a rebound in private sector credit
growth, which fell 5.2 percent year-on-year in January from 7.5
percent a month ago.
"However, the Monetary Board is of the view that the
deceleration of the growth in credit to the private sector is
temporary," the central bank said in a statement.
" ... going forward, private sector credit is likely to
rebound from the second quarter of the year, supported by
declining market lending rates, sufficient liquidity levels and
increased demand for exports from the advanced economies."
The repurchase rate and reverse repurchase rate were left at
6.50 percent and 8.00 percent, respectively. A Reuters poll of
thirteen analysts had expected the central bank to keep the
monetary policy rates unchanged.
(Reporting by Shihar Aneez and Ranga Sirilal; Editing by Paul