The Investor Sentiment - Equity and investments forum for Sri Lankans
Search
 
 

Display results as :
 


Rechercher Advanced Search

Latest topics
» 8000 Post Club | Celebration of a Great Milestone කිත්සිරි ද සිල්වා
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyToday at 6:19 am by The Invisible

» Dividend Announcement
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyYesterday at 1:47 pm by Rana

» JKH - 155/00 Breakout is pending
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 21, 2019 10:19 am by nisashi

» Tokyo as at 21.08.2019 Morning
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 21, 2019 10:07 am by nisashi

» Thread for News on CSE and SL Economy
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 21, 2019 5:55 am by The Invisible

» අනං මනං! #/+?.<>
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyTue Aug 20, 2019 8:18 pm by ruwan326

» Browns Investments update
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyTue Aug 20, 2019 1:46 pm by The Invisible

» What Would You Do?
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyMon Aug 19, 2019 1:02 pm by කිත්සිරි ද සිල්වා

» Back of the Legends
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyMon Aug 19, 2019 10:13 am by Topcat

» Thread for News on Local and Foreign Politics
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyMon Aug 19, 2019 6:32 am by ruwan326

» NTB.N0000 (NATIONS TRUST BANK PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySun Aug 18, 2019 10:33 pm by lanka

» Melstacorp (MELS)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySun Aug 18, 2019 8:33 pm by The Invisible

» Cargills (CARG)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySun Aug 18, 2019 8:26 pm by The Invisible

» DOCK.N0000 (COLOMBO DOCKYARD PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySun Aug 18, 2019 8:18 pm by The Invisible

» SHL.N0000 (Softlogic Holdings PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySun Aug 18, 2019 8:14 pm by The Invisible

» SAMP.N0000 (SAMPATH BANK PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySat Aug 17, 2019 12:44 pm by nuwanmja

» Hayleys MGT
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyFri Aug 16, 2019 8:55 pm by ruwan326

» CFVF - First Capital
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyFri Aug 16, 2019 9:58 am by CK

» JINS.N0000 ( Janashakthi Insurance PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 14, 2019 4:57 pm by The Invisible

» Ceylinco Insurance CINS
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 14, 2019 9:18 am by The Invisible

» HNB.N0000 ( Hatton National Bank PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 14, 2019 9:15 am by The Invisible

» NDB.N0000 (NATIONAL DEVELOPMENT BANK PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 14, 2019 9:11 am by The Invisible

» Tourism Sector
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 14, 2019 4:55 am by NIRMALSG

» LIOC.N0000 (Lanka IOC PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyMon Aug 12, 2019 2:55 pm by xmart

» HAYL.N0000 Hayleys PLC
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyMon Aug 12, 2019 1:43 pm by CK

» PABC.N0000 (Pan Asia Banking Corporation PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyMon Aug 12, 2019 1:33 pm by The Invisible

» Grain Elevators
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyMon Aug 12, 2019 1:31 pm by The Invisible

» Sri Lanka sets US$3.5bn tea export target for 2030
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyMon Aug 12, 2019 1:27 pm by The Invisible

» Tea: July 2019 national average shows gains month on month
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySun Aug 11, 2019 9:19 pm by Topcat

» OSEA .N
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySat Aug 10, 2019 6:40 pm by The Invisible

» Sri Lanka mulls reforms to punish 'errant' plantation companies
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySat Aug 10, 2019 6:33 pm by The Invisible

» JKH.N0000
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySat Aug 10, 2019 11:38 am by The Invisible

» HHL.N0000 ( Hemas Holdings PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySat Aug 10, 2019 10:42 am by The Invisible

» Nestle NEST
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySat Aug 10, 2019 10:28 am by The Invisible

» Ceylon Tobacco CTC
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptySat Aug 10, 2019 10:26 am by The Invisible

» Volkswagen කතාවේ ඇත්ත තත්ත්වය මෙහෙමයි.
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyFri Aug 09, 2019 5:37 pm by කිත්සිරි ද සිල්වා

» LLUB.N0000 (CHEVRON LUBRICANTS LANKA PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyFri Aug 09, 2019 5:07 pm by Ethical Trader

» VFIN - where the journey leads it?
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyFri Aug 09, 2019 9:21 am by ruwan326

» UAL.N0000 ( UNION ASSURANCE PLC )
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyFri Aug 09, 2019 9:20 am by ruwan326

» SPEN.N0000
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyThu Aug 08, 2019 10:20 pm by The Invisible

» Lanka Tiles
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyThu Aug 08, 2019 10:15 pm by The Invisible

» Expolanka
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyThu Aug 08, 2019 8:28 pm by ruwan326

» Tile - Snapshot
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyThu Aug 08, 2019 11:37 am by mymoney

» DPL.N0000 (Dankotuwa Porcelain PLC)
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyThu Aug 08, 2019 11:31 am by mymoney

» නිරුවත
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyThu Aug 08, 2019 9:36 am by කිත්සිරි ද සිල්වා

» HAYC - Haycarb
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyThu Aug 08, 2019 7:32 am by Beta

» WATA - Watawala
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 07, 2019 12:03 pm by lanka

» Chemanex
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyWed Aug 07, 2019 6:40 am by The Invisible

» East West properties
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyTue Aug 06, 2019 8:17 am by slstock

» CSE Market Wrap - 02.08.2019
Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor EmptyTue Aug 06, 2019 6:59 am by pjrngroup

August 2019
SunMonTueWedThuFriSat
    123
45678910
11121314151617
18192021222324
25262728293031

Calendar Calendar

Disclaimer


Information posted in this forum are entirely of the respective members' personal views. The views posted on this open online forum of contributors do not constitute a recommendation buy or sell. The site nor the connected parties will be responsible for the posts posted on the forum and will take best possible action to remove any unlawful or inappropriate posts.
All rights to articles of value authored by members posted on the forum belong to the respective authors. Re-using without the consent of the authors is prohibited. Due credit with links to original source should be given when quoting content from the forum.
This is an educational portal and not one that gives recommendations. Please obtain investment advises from a Registered Investment Advisor through a stock broker

Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor

Go down

Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor Empty Sri Lanka rupee slightly undervalued, REER index below 100: CB Governor

Post by The Invisible on Fri Oct 26, 2018 10:29 am

ECONMYNEXT - Sri Lanka's rupee is now below 100 on a real effective exchange rate index after recent depreciation, Central Bank Governor Indrajit Coomaraswamy said.

"The REER is now a shade under 100," Governor Coomaraswamy told a business forum organized by Asia Securities, a Colombo-based equities brokerage, earlier this week.

"It helps exporters, and helps import substitution industries."

A falling currency mainly helps exporters by cutting real wages as salaries take time to catch up, providing a subsidy at the expense of the working class, pushing up profits of businessmen and helping them avoid innovation and capital investment that would have forced them boost labour productivity, analysts say.

Prices will move up first in exported and imported (traded) products, with raw material prices also moving up.

The profits real salary cut will remain until wages catch up and prices in non-traded sectors move up.

In countries like Sri Lanka the lack of market pricing on energy and utilities like water also gives exporters an additional subsidy at the expense of energy retailers or taxes of the state, when the currency falls.

In countries where the currency depreciates every year, there may be a residual advantage as wages may not catch up exactly with currency depreciation which will eventually lead to labour unrest and riots, especially after prices move up in non-traded areas as well, but wages do not catch up.

Coomaraswamy said the pass-through from recent depreciation on domestic prices was less than expected.

Harvests were coming in which was keeping prices competitive.

Analysts say the falling Indian rupee, produced by the Reserve Bank of India, one of the worst central banks in the region, is also helping keep some prices stable. (Colombo/Oct23/2018)
The Invisible
The Invisible

Posts : 1179
Join date : 2016-11-28
Age : 39

Back to top Go down

Back to top


 
Permissions in this forum:
You cannot reply to topics in this forum