Sri Lanka central bank cuts rates by 50 bps

Central Bank of Sri Lanka

Sri Lanka’s central bank cut its key interest rates on Friday, in a surprise move to boost sluggish growth after the country’s tourism sector and investments plummeted following the Easter day attacks.

The Central Bank of Sri Lanka cut both the standing deposit facility rate (SDFR) and standing lending facility rate (SLFR) by 50 basis points to 7% and 8%, respectively.

A Reuters poll had expected the central bank to keep rates steady.