Thursday, September 17 2026
Thursday, September 17 2026
MONETABRIEF – Sri Lanka rupee was quoted at 331.80/332.25 levels to the US dollar Thursday amid intervention slowing a rapid slide in recent days, shortly after one sided purchases that prevented appreciation.
There were some interventions this week after trades as far as 333 to the US dollar on Wednesday.
Sri Lanka operates pegged exchange rate with one-sided interventions by the central bank, with a depreciation bias, where appreciation is blocked and depreciation is accelerated, under flexible inflation targeting, critics have shown.
In 2026, the rupee collapsed, with a budget surplus, denying the main scapegoat, inflationists used in the past for balance of payments trouble. Instead rising oil prices (external shock) was blamed.
However in 2015/16 the rupee was collapsed and an IMF program was started when oil prices fell steeply.
To reduce chances for the central bank to print money through dollar purchases and dishonor the note issue and depreciating the rupee there have been calls for the Treasury to buy dollars.
Sri Lanka's central bank is the worst in South Asia having depreciated the currency from 4.77 to the US dollar and Bhutan is the best, through its anchor is inflationist. Maldives with a better anchor has drawn foreign investments with a peg to a better anchor.
Bond yields also stabilized in intra day trade after steep rise in recent days.
A bond maturing in 15/03/2028 was quoted at 10.60/70 percent from yesterday's close of 10.30/10.50 percent
A bond maturing in 15/12/2029 was quoted at 11.05/15 percent from yesterdays close of 11.05/11.20 percent
A bond maturing in 01/07/2030 was quoted at 11.35/40 percent from yesterdays close of 11.35/11.50 percent
A bond maturing in 15/05/2031 was quoted at 11.60/70 percent from yesterdays close of 11.70/11.85 percent
A bond maturing in 15/12/2032 was quoted at 11.75/85 percent from yesterdays close of 11.85/12.00 percent
A bond maturing in 15/06/2034 was quoted at 12.00/10 percent from yesterdays close of 12.10/12.15 percent. (Colombo/Sept17/2026)
| 3 month bill | 9.22% | 22bp ▼ |
| 12-m bill | 9.91% | 10bp ▼ |
| Gold (Ounce) | $4602 | - - |
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