FINANCIAL CHRONICLE – The Sri Lankan rupee concluded trading at 309.45/60 against the US dollar in the spot market, showing minimal movement from the previous day’s rate of 309.50/60, according to market dealers. Meanwhile, bond yields experienced a decline.
Over the past year, the dollar has weakened from 293.25/75 against the Sri Lankan rupee, driven by record current account surpluses and improvements in the national budget. This trend challenges the typical explanations offered by macro-economists for currency depreciation.
Specifically, the bond maturing on December 15, 2026, closed at a yield of 8.40/70 percent, slightly lower than the previous 8.40/80 percent. Similarly, the bond maturing on February 15, 2028, ended at 9.00/10 percent, down from 9.05/20 percent.
The bond maturing on October 15, 2029, closed at 9.70/78 percent, a decrease from the earlier 9.75/85 percent. Likewise, the bond maturing on December 15, 2029, concluded at 9.75/80 percent, down from 9.75/90 percent. The bond maturing on July 1, 2030, was quoted at 9.80/85 percent, dropping from 9.85/95 percent.
Conversely, the bond maturing on October 1, 2032, closed at 10.32/40 percent, slightly up from 10.35/60 percent.
(Colombo/Jan1/2026)
