Sri Lanka *market update* Credit growth slowing, new governor says

Sri Lanka‘s private-sector credit growth is slowing, after monetary tightening earlier this year, the central bank’s new governor told reporters on Tuesday. “We see credit growth coming down,” Indrajith Coomaraswamy told his first meeting with the media in Colombo. “We still haven’t seen the full effects of what has already being done. Now the slight spike in inflation is partly due to one-off things like the VAT (value added tax).” Credit growth rose to near a four-year high in April of 28.1 percent from a year earlier, accelerating from March’s 27.7 percent, despite monetary tightening measures in December and February.