OPA-CFASL hosts webinar on the crisis of low interest rates
Sri Lanka’s current health crisis has become an economic and financial crisis for hundreds of thousands of savers and senior citizens. Those who have invested their life savings in fixed deposits and are living on the interest income will take a “huge hit” with the fall in bank deposit rates after the government’s move to revive the economy by bringing down interest rates.
When you borrow, low interest rates are fabulous. But if you need to live on your savings, you will be receiving far less income. The unprecedented low interest rates in place today are a boon for borrowers, but there is a dark side to falling interest rates as they will hurt those who depend on modest nest eggs for a safe income.
To discuss these issues the Organisation of Professional Associations (OPA), together with CFA Society Sri Lanka (CFASL) will hold a webinar on ‘ Financial Literacy: To survive the dark side of low interest rates’ on Thursday, July 30, from 4.30 pm to 6 pm. This is an advocacy initiative of CFA Society Sri Lanka. The keynote speaker for the webinar will be Ravi Abeysuriya, CFA, CEO/ Director, Candor Equities Ltd and Advocacy Chair, CFA Society Sri Lanka.
In his presentation, Mr. Abeysuriya will touch on areas such as post COVID-19 interest rate scenario, essential financial literacy to survive when interest rates are low, personal financial planning, how to borrow smart and repay smart and how to find the default risk of a finance institution.
The keynote address will be followed by a panel discussion with the participation of experts - W. A. Wijewardena, Former Deputy Governor Central Bank; Chanakya Dissanayake CFA, Senior Director, Country Head and Global Head of Investment Research, Acuity Knowledge Partners; and Naomal
Goonewardene CFA, Partner, Nithya Partners.
The discussion, to be moderated by Sunday Times Business Editor Feizal Samath, will deal with how long would the low interest rate environment last in Sri Lanka, how effective would be the Government’s strategy of low interest rates in reviving the economy, what are the alternative options for the government to revive the economy, what are the alternative investment options available today and their expected rates of returns and risks, current tax implications, what future taxes can be expected for the Government to generate revenue, and what recourse investors will have if they invest in unlicensed, unregulated entities etc.
The zoom web in ar participation is free of charge. Type https:// tinyurl. com/ yycp5z2h using any Internet browser to register.
When you borrow, low interest rates are fabulous. But if you need to live on your savings, you will be receiving far less income.