SRI LANKA, April 14 -- The Monetary Board will hold its key rates at current levels as maintaining price stability came in as the top item in the agenda ahead of providing a stimulus to revive the hobbling economy.
In its second meeting last week, the executive board decided to leave the Standing Deposit Facility Rate or the rate at which the excess liquidity is mopped up, at 8.00 percent and the Standing Lending Facility Rate or the rate at which the liquidity is injected into the banking system, at 9.00 percent, only a month after the same board decided to cut the banks' reserve ratio by 100 basis points to release liquidity to the money market.
Analysts and economists were divided over the possible action ahead of last week's decision ...