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All 12 analysts saw the statutory reserve ratio (SRR) remaining steady at 7.50 percent.

Sri Lanka’s new administration will likely be forced to boost credit growth ahead of polls to support the economy, analysts say.

Since the new government came in, it has reduced some taxes and fuel prices, a move analysts see as an attempt to woo voters.

The economy, whose growth rate slowed to a 16-year low of 3.3 percent in 2017, picked up to 3.7 percent in the second quarter from 3.0 percent a year ago, led by the services and agriculture sectors as industrial expansion slowed.

Previous rate increases, along with tight fiscal measures to meet conditions imposed by the International Monetary Fund for a US$1.5 billion loan, have dragged on the country’s economy.

“The rupee is more likely to be defended and an increase in the policy rates will give some space to defend the currency,” said Trisha Peries, product head at Colombo-based Frontier Research.

“Otherwise I do not see current economic reasons for the Central Bank to raise the rates.”sri Lanka has seen net outflows of Rs.110.8 billion (US$574 million) from government bonds so far this year, Central Bank data showed.