Fitch Ratings has affirmed Sri Lanka a stable outlook saying that the Sri Lankan government and the Central Bank of Sri Lanka (CBSL) have taken the appropriate measures to place the economy on a more sustainable trajectory.

The global rating agency has affirmed Sri Lanka's Foreign- and Local-Currency Issuer Default Ratings (IDRs) at 'BB-'. The Outlook for both ratings remains 'Stable'.

The Country Ceiling has also been affirmed at 'BB-', and the Short-Term Foreign Currency IDR at 'B'.

Fitch Ratings, in a press release today (04 May 2012), states that the ratings reflect Fitch's view that the Government and the Central Bank of Sri Lanka (CBSL) have taken the appropriate measures to place the economy on a more sustainable trajectory.

Successful implementation and persistent application of policies adopted by the Government and the CBSL aimed at improving external liquidity, including monetary tightening, and concerted efforts to persist with fiscal consolidation are some of the factors that have been considered in affirming the Sri Lanka's ratings, Fitch said.