Sri Lanka claims economic growth will be good

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The Central Bank of Sri Lanka has resisted pressure to cut interest rates, despite slower economic growth and falling exports.

In its latest assessment of the island nation's economy the Bank admitted the growth of credit in the private sector has moderated.

The economy has been hit by the fallout of the debt crisis in Europe, Sri Lanka's top destination for exports.

The BBC's Charles Haviland reports from the capital Colombo.

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