Pedestrians in Colombo, Sri Lanka
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Sri Lanka economy: Central bank keeps rates unchanged

Sri Lanka has kept its key interest rates unchanged amid rising consumer prices.

The central bank held the repurchase and reverse repurchase rates at 7.75% and 9.75% respectively, for a fourth straight month, the highest levels in more than two years.

The move comes at the rate of inflation hit a 42-month high of 9.8% in July, up from 9.3% a month earlier.

The BBC's Charles Haviland reports from Colombo, on the state of the economy.

  • 07 Aug 2012