News & market updates

Sri Lanka's rupee weakened to 316.05/15 per US dollar on Friday from 315.85/316.10 the previous day; bond yields were largely steady (e.g. 15.09.2029 quoted at 9.95/10.00%). The All Share Price Index rose 0.52% to 22,706.93 and the S&P SL20 gained 0.62% to 6,269.62.

IMF/WEO: a Middle East war-driven energy shock is raising inflation and weakening external balances in Asia; the region is projected to grow 4.4% in 2026 and 4.2% in 2027 (from 5% in 2025) under the reference forecast. Higher energy costs hit refiners, utilities, manufacturers and tourism, tightening policy space; adverse/severe scenarios could cut cumulative growth by 1–2 percentage points and lift inflation further.

Sri Lanka’s debt restructuring is nearly complete, the GSDR reported, with seven of 17 bilateral official creditor deals signed and remaining commercial creditors representing about 1.7% of the restructuring perimeter. The IMF provided Rapid Financing Instrument support in Dec 2025 and the World Bank repurposed up to US$120m for cyclone relief.

Sri Lanka’s rupee closed weaker at 315.85/316.10 per US$ on Apr 16 (from 315.55/315.65), while government bond yields mostly fell — e.g. the 01.07.2030 bond at 10.10/10.13% (down from 10.15/10.17%) and the 15.06.2034 bond at 11.05/11.12% (down from 11.12/11.17%).

Sri Lanka's rupee traded at 315.45/75 to the US dollar and government bond yields eased, with the 15.06.2029 quoted at 9.82/88% (down from 9.85/95%). The ASPI rose 0.62% as global markets rallied on diplomatic optimism and softer oil prices.

ADB economist Liliya Aleksanyan warned the central bank's depreciation of the rupee from 300 to 315 has amplified the cost of imported oil and added to monetary inflation. The ADB expects inflation could rise to 5.2% in 2026 amid excess liquidity from buy-sell swaps.

Sri Lanka's rupee closed at 315.55/65 per USD and bond yields were steady; the 15.06.2029 bond closed at 9.85/95%, 15.09.2029 at 9.90/10.00%, 01.07.2030 at 10.15/17% and 15.06.2034 at 11.12/17%.

Sri Lanka's rupee was quoted at 315.50/75 to the US dollar and bond yields opened broadly steady; government bond yields ranged about 9.90–10.75% and a 90,000 million rupee Treasury bill auction was underway.

Foreign investors sold US$2.25mn (Rs 697m) of Sri Lanka government securities in the week ended April 10, central bank data showed. This was the 11th week of net sales in the past 30 weeks and leaves foreign investment into rupee bonds at Rs 1,554m in the first 15 weeks of the year.

Sri Lanka worker remittances rose 17.5% to US$814.8 million in March 2026. Inflows were up 26.5% to US$2,294.9m in Jan–Mar and follow record 2025 remittances of US$8,076.2m, with central bank policy and a shift back to formal channels cited as drivers.

Sri Lanka's rupee closed at 315.50/60 per US dollar, little changed from 315.55/65 the previous day. Government bond yields were mostly steady — e.g., the 15.12.2026 bond at about 8.40–8.60% and longer-dated maturities around 8.90–11.18%.

Sri Lanka's rupee was quoted flat at 315.55/65 per USD in the spot market. Bond yields opened broadly steady (2029-2034 maturities around 9.90%-11.25%) and the ASPI rose 0.94% while the S&P SL20 gained 1.16%.

The Treasury raised Rs.82.09 billion of Rs.100.00 billion offered in a bond auction, with the 01.07.30 (2030) tenor issued at 10.12%, the 15.06.34 (2034) at 11.16% and the 01.07.37 (2037) at 11.19%. Money-market liquidity surplus was Rs.239.96 billion and USD/LKR closed at 315.60/315.90.

Sri Lanka's rupee weakened to 315.55/65 per US$ (from 315.30/40) and government bond yields generally rose, with the 15.12.2029 maturity at 10.00% and longer-dated yields higher (e.g., 01.10.2032 around 10.75–10.95%).

The IMF and Sri Lankan authorities reached a staff-level agreement on the combined 5th and 6th reviews of the EFF that, if approved by the Executive Board, would unlock about US$700m, conditional on restoring cost‑recovery fuel and electricity pricing, financing assurances and debt restructuring. The IMF also urged rebuilding reserves with exchange‑rate flexibility, fiscal and revenue reforms, stronger social safety nets, and progress on NPLs and governance reforms.

IMF staff and Sri Lankan authorities reached staff-level agreement on the combined Fifth and Sixth Reviews of the EFF, which, if approved by the IMF Executive Board, would unlock about US$700 million in financing. Approval is contingent on restoring cost‑recovery fuel and electricity pricing and completing financing assurances and debt restructuring.

Sri Lanka's rupee weakened to 315.42/48 per USD and government bond yields were quoted higher, for example the 01.06.2033 bond at 10.95/11.05% (up from 10.90/11.00%). The ASPI was down 0.71% at 21,761.50 while the S&P SL20 was up 0.81% at 6,041.32.

Secondary Sri Lankan bond yields initially fell after the US‑Iran ceasefire and a >15% drop in Brent crude, but profit‑taking and T‑bill auction results left two‑way quotes marginally lower. Weekly T‑bill yields rose for a third week (91-day 7.95%, 182-day 8.14%, 364-day 8.45%) and a Rs.100bn T‑bond auction is scheduled today.

Rupee closed slightly stronger at 315.30/40 per USD (from 315.40/50) while government bond yields fell across maturities — e.g. the 01.07.2028 bond declined to 9.50-9.60% from 9.70-9.80%.

President Anura Kumara Dissanayake said Sri Lanka will receive about $700m from the IMF (fifth and sixth tranches) before end‑May and the ADB will provide $1.2bn within the year; the World Bank has also agreed to offer support. He said reserves may decline but these inflows should help offset the drop, and the rupee has only depreciated slightly so far.

Sri Lanka's official reserve assets fell 3.5% to US$7,019 million at end-March 2026 from US$7,270 million at end-February; foreign currency reserves dropped 3.8% to US$6,793 million while gold reserves rose 10.8% to US$222 million.

Sri Lanka's rupee strengthened to 315.10/25 per USD and government bond yields fell sharply after a US-Iran ceasefire announcement (e.g., 01.07.2028 bond quoted at 9.30-9.50% from 9.70-9.80%). The ASPI rose 4.35% and a 30,000 million rupee T-bill auction was ongoing.

Secondary bond market was dull with trades on maturities at yields of 9.75%–11.00% ahead of a Treasury Bill auction offering Rs.30 billion (down Rs.60 billion). Last week’s T‑bill weighted averages rose to 7.80%, 8.09% and 8.41%; USD/LKR traded around 315.45.

Sri Lanka's rupee closed flat at 315.40/50 to the US dollar and government bond yields were broadly steady—short and long maturities around 8.35%–11.08%—and a 30,000 million rupee Treasury bill auction is scheduled on Wednesday.

President Anura Kumara Dissanayake said Sri Lanka is aiming to reach a staff-level IMF agreement by Thursday (09) that could unlock up to $700 million and allow simultaneous release of the fifth and sixth tranches potentially before the end of May. He said talks with the visiting IMF team are ongoing and "productive."

Secondary bond yields held broadly steady, with the 01.05.27 at 8.70% and mid/long-dated maturities around 11.00%–11.135%; secondary Treasury trading volume was Rs.11.89bn. Net liquidity surplus was Rs.231.84bn as the Central Bank drained Rs.50bn via overnight repo at 7.58% and deposited Rs.181.84bn at the SDFR of 7.25%; USD/LKR ~315.45 and Brent crude remained elevated.

Sri Lanka's rupee was quoted at 315.42/50 to the US dollar while local bond yields were broadly steady (e.g., the 15.03.2028 bond at 9.45/50%). On the Colombo Stock Exchange the All Share Price Index rose 0.32% to 21,194.40 and the S&P SL20 gained 0.22% to 5,874.09.

Sri Lanka's rupee closed slightly weaker at 315.40/50 per USD on Monday, while government bond yields were broadly steady — e.g., 15.12.2026 at 8.30-8.40%, 15.03.2028 at 9.45-9.60% and 01.06.2033 around 10.95-11.05%.

Bond yields rose across the curve as Middle East tensions and oil-price swings pushed yields higher; the 91-day T-bill yield increased 16 bp to 7.80%. Foreign holdings of rupee government securities fell by Rs.4.98 billion (fifth consecutive weekly outflow) and USD/LKR closed near Rs.315.35/315.40.

Sri Lanka's rupee was quoted at 315.35/55 to the US dollar and bond yields were broadly steady (e.g. 15.03.2028 at 9.45–9.55%, 2033 around 11.00–11.10%). The All Share Price Index rose 0.25% to 21,170.69.