CB reduces credit card interest rate by 10% per annum | Daily News

CB reduces credit card interest rate by 10% per annum

The Central Bank of Sri Lanka has brought down interest rates for credit cards to 18% from 28% per annum to provide more financial concessions to the public.

Central Bank Governor Prof. W.D. Lakshman said yesterday that this will ease financial pressure for those using credit cards. He said that during the lockdown they had also observed an increase in the use of credit cards.

The Monetary Board has also decided to reduce interest rates on pawning facilities to 10% per annum. “The Board was of the view that penal interest rates need to be capped at 2% points over the regular interest rates charged on the relevant credit facility.”

The Central Bank will continue to monitor domestic and global macroeconomic and financial market developments and take further measures to support the economy to return to a higher growth path without delay, given subdued levels of inflation.

He also disclosed that a low interest housing loan too will be introduced to provide more flexible rates for the housing sector for low and middle income sector families.

He said that the bank will soon bring new laws to track down on illegal activities in the Microfinance sector.