Sri Lanka deficit to move down with lower rates, PPPs: CB Governor

Aug 06, 2013 (LBO) - Sri Lanka's budget deficit will narrow and debt will slow with falling domestic interest rates and public private partnerships in infrastructure, Central Bank Governor Nivard Cabraal said.
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"We will see a huge reduction in interest costs," Cabraal told a sovereign and banking forum organized by Fitch.

In 2014 the budget deficit is likely to be about 5.

2 percent of gross domestic product, he said.

Private investments in infrastructure would also increase, he said.

The Colombo port has already seen an investment by a port company.

Public Private Partnerships will also increase in the future, especially in roads.

Chinese firms have been given Sri Lanka's largest toll road project.