Srilanka, Jan. 28 -- Despite the current stretch of deflation offers some space for the Central Bank to follow through another rate cut at its upcoming meeting this week, there is a bigger chance for the rate setting committee to stay the monetary policy at the current level.
This is given the sizable cut in the policy rate back in last November, when it set the overnight policy rate (OPR) at 8.00 percent, First Capital Research (FCR) said.
Releasing the customary pre-policy analysis just days ahead of the policy meeting, the first for the year, FCR assigned an 80 percent probability for the Monetary Policy Board to leave its newly introduced OPR at its current level, considering the developments in the broader economy, which is respondi...