04 July 2015
Sri Lanka's central bank is likely to keep key monetary policy rates steady until Aug. 17 parliamentary polls, but there could be a significant cut later if a stable government is elected, Governor Arjuna Mahendran told Reuters on Friday.
President Maithripala Sirisena dissolved parliament on June 26 in a bid to consolidate power and push through political reforms.
"Until the elections, the rates are likely to be at the current level," Mahendran said, speaking after a news conference in the capital. "But there could be a significant rate cut after the election, if there is a stable government."
Sri Lanka's central bank kept key policy rates steady at record lows on Monday for a second straight month, as expected.