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Credit expansion gathers pace, CB Governor says, 'No Overheating'
The Island
|October 27, 2025
Sri Lanka's private sector credit is expanding, but Central Bank Governor Dr. Nandalal Weerasinghe firmly dismissed concerns that the growth could be overheating, stating, "No, not at all.
Central Bank Governor Dr. Nandalal Weerasinghe
Speaking at the press briefing for the 2025 Financial Stability Review (FSR), the Governor directly addressed a key warning in the report. The FSR, which confirmed improved financial sector resilience, also noted that a 'widening private sector Credit-to-GDP Gap' suggests a need for continuous monitoring of any buildup of systemic risk.
When questioned by a journalist on this potential risk, Dr. Weerasinghe provided a detailed context, arguing that the headline figure, when analysed, is not a cause for alarm.
Esta historia es de la edición October 27, 2025 de The Island.
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