Domestic private savings in 2006 has now been projected to increase to 19.4 as a percentage of GDP. National savings are also projected to increase, resulting from increased savings by non-resident Sri Lankans as evidenced by the high growth in migrant worker remittances. The Investment to GDP ratio is also expected to improve from 26.5 per cent in 2005 to 29.0 per cent in 2006, and Private sector investment, which accounts for about 87 per cent of total investment, is estimated to increase by 31.4 per cent. Public sector investment too is projected to rise by 7.5 per cent as a result of growing construction activity in highways, roads, infrastructure facilities, community development projects, and tsunami related reconstruction and rehabilitation projects. The performance in the External sector improved with the continued expansion in international trade and growing global demand. During the first ten months of 2006, exports grew by 6.5 per cent and Imports by 15.8 per cent with a higher growth in intermediate and investment goods. The outlay for petroleum imports increased by 29.6 per cent during this period due to the soaring oil prices. For the year as a whole, export growth is projected at 7 per cent and import growth at 15.4 per cent. An aspect of the economy which caused some concern in the year was that the trade deficit widened to US dollars 2,955 million. As the result, the Current Account also recorded a deficit of US dollars 1,038 million in the first nine months of 2006.
The achievement of such a target will be facilitated by continued economic growth resulting from high public and private investment and savings, improving competitiveness, gradually rationalised expenditure which leaves sufficient funds for development work, and reducing the budget deficit resulting in low demand pressure. Needless to say, the Central Bank will actively support strategies that ensure such outcomes. In addition, transparency of monetary policy decisions and operations will be maintained to enhance the policy effectiveness and during the year we will also seek the views and advise of experts in the field of economics and on macroeconomic management in order to benefit by their expertise in our monetary policy decision making process. Further, as done in the past, the policy announcements will continue to be made according to an advance announcement calendar, and the Calendar for 2007 is set out below. Table 3 Monetary policy announcements for 2007  10  Month  Date of Monetary Policy Announcement  January  18 Thursday  February  15 Thursday  March  16 Friday  April  11 Wednesday  May  16 Wednesday  June  15 Friday  July  18 Wednesday  August  16 Thursday  September  14 Friday  October  17 Wednesday  November  16 Friday  December  14 Friday  BIS Review 8/2007  6.