Central Bank holds firm on rates, rejects billions in T-Bill bids

In last week's government securities market, the Central Bank's Treasury bill auction revealed a cautious standoff between the authorities and investors. While there was significant investor interest, with bids totaling LKR 102 billion, the Central Bank accepted only LKR 27 billion, a fraction of the LKR 77 billion it had initially offered.

- BY SANATH NANAYAKKARE

This indicates that the Central Bank is firmly holding the line on interest rates, refusing to pay higher yields to attract more funds.