CB raises $ 116 m to
part settle $ 125 m
maturing foreign debt

* Says big draw for Development Bonds at competitive rates reflects the growing investor confidence
* Foreign investments in rupee denominated Treasury bonds and Treasury bills rise by $ 190 million during the past 10 weeks

The Central Bank last week raised US$ 116 million via two year Development Bonds at what it described as “competitive rates” to part settle US$ 125 million of maturing foreign borrowing as of June 15.
On behalf of the Government, the Central Bank offered Sri Lanka Development Bonds (SLDBs) to eligible investor categories for subscription at a rate of US dollar 6 month LIBOR plus a margin to be determined through competitive bidding. The offer was opened on June 15, 2009 with the settlement on June 29 ,2009. The Bonds on offer amounted to $ 50 million for a 2 year maturity period.

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