WrongLK

Indrajit Failed in 2018

UncategorizedCentral Bank of Sri Lanka, Failure, Financial Sector Consolidation, Indrajit Coomaraswamy, Inflation, Inflation targeting, NBFI1 Comment

Both growth1 and inflation2 have fallen below the targets set by the Central Bank. GDP growth for the fourth quarter is less than 4% with all previous quarters also being below that figure. Inflation was also below 4%. The public was expecting both figures to at least touch 4% as communicated by the Central Bank. ... Read More

We Don’t Want an Executive President

UncategorizedCapital Maharaja, Constitution, Executive Presidency, Mahinda, Parliament, Ranil, Sirisena, Sri Lanka5 Comments

The executive presidency was established in 1978. Since then there has never been as much hope for its abolishment as there is right now. It however still requires many actors to come together to work towards its abolishment. The 20th amendment as brought to the house by the JVP is agreeable to all stakeholders. It will ... Read More

Election 2019

UncategorizedJanatha Vimukthi Peramuna, Mahinda Rajapaksa, Parliament, Regressive tax, Sri Lanka, Sri Lanka Freedom Party, SriLankan Airlines, Tamil National Alliance, United National Party2 Comments

This article is written in the backdrop of a constitutional coup whose long-term impact on the democratic lives on everyday Sri Lankans could be long standing. It is widely felt amongst civil society that given the media landscape the public might not fully grasp the gravity of the events that are taking place. It also ... Read More

Game Theory

UncategorizedDecision-making, Democracy, Game theory, Motivation, Numbers game, Parliament, United National Party5 Comments

What is Game Theory? Update given the recent lack of clarity of when parliament will be convened this article is invalid. The article was written hoping that both parties would agree on a scenario that helps either victor secure legitimacy both locally and internationally. The lack of a gazette is worrying in this regard. The ... Read More

Lawmakers Who Don’t Understand the Law

Uncategorized2 Comments

Apologies for the rushed manner of this post. It is difficult to play a game with someone who is willing to cheat. We saw this in 2004 when colluding with terrorists was considered a justifiable move by certain parties. It is even more difficult to play a game with players who don’t understand the rules ... Read More

Vehicles for the Rich

UncategorizedDistribution of wealth, Economic indicator, Equity (economics), Public transport, Society, Sri Lanka, Tax, Transferability, Transport, Wealth6 Comments

This piece serves as a gambit to a relatively unpopular budgetary reform that should be pushed through. In Sri Lanka as in the rest of the world the vehicle is a status symbol. It’s role as a status symbol is however more pronounced in Sri Lanka. High duty, petrol costs, and realizable value in the ... Read More

What is Inflation Targeting?

UncategorizedCentral bank, Economy, Exchange rate, Foreign-exchange reserves, Indrajit Coomaraswamy, Inflation targeting, Macroeconomics, Panda bonds, Petroleum, Sri Lanka1 Comment

“Given that Sri Lanka is a twin deficit country, in terms of budget deficit and current account deficit, the chances that Sri Lanka attracting new money at this juncture is very minimal indeed. By increasing interest rates, we will not be able to attract new money or keep the money already invested.” Indrajit Coomaraswamy 02.10.2018 ... Read More

The Rate of Exchange, Capital Flight, and the Central Bank

UncategorizedBank of Ceylon, Capital flight, Central bank, Central Bank of Sri Lanka, Economy, Exchange rate, Foreign exchange market, Inflation, Purchasing power, Reserve currency, Singapore2 Comments

The Central Bank (CBSL) exists for the sole purpose of price stability. It’s controls on the financial system and monetary policy exist to maintain price stability. As put forth many times by the Governor, the failing of the CBSL to control inflation is a fireable offence. In this light the following text aims to put ... Read More

Who We Pay for LankaPay

UncategorizedBank of Ceylon, Bank regulation, Capital Maharaja, Central bank, Cheque, Economy, Financial services, LankaClear, Money, Monopoly, Sri Lanka Customs2 Comments

Full doc.x with images at bottom. Arvind Subramaniam recently made statements in the Central Bank about rebuilding the social contract. He put forth a narrative of reform whereby he called for the building of trust in government institutions. The statements also coincided with the revelation to the general public that cheque payments had been made ... Read More

In Support of Digital Banking

Uncategorized7 Comments

The Central Bank governor at his recent statement at the Digital Banking summit stated that he felt like a charlatan when asked to speak about technology. He is right. This is not because, as he attributes it, of his recent acquisition of a smartphone but rather due to his regulatory lack of support for digital ... Read More