Rupee edges up on foreign bank dollar sales

27 April 2017 12:01 am - 0     - {{hitsCtrl.values.hits}}

A A A

REUTERS: The Sri Lankan rupee strengthened yesterday as a foreign bank sold the dollar, while investors awaited the International Monetary Fund’s approval for the disbursement of a loan as well as a proposed sovereign bond sale, dealers said.
Rupee forwards were active, with two-week forwards closing at 153.10/30 per dollar, compared with Tuesday’s close of 153.25/30. “A foreign bank was selling the dollar and state banks were buying the dollar,” a currency dealer said, asking not to be named.

Dealers said a government decision announced yesterday to double the borrowing limit of development bonds to US $ 3 billion would increase the dollar liquidity in the market and could reduce the pressure on the currency.
After the government’s announcement, yields in local T-bill slipped nine basis points at a weekly auction.
Dealers said the market was also keen on inflows from an around US $ 1.5 billion borrowing through a proposed sovereign bond issue.
Sri Lanka has seen a surge in foreign inflows into equities and government securities since early this month.
Foreign investors bought equities worth a net Rs.12.3 billion in 24 consecutive sessions through Tuesday.
They have also been net buyers of government securities worth Rs.4.17 billion in the week ended April 19. However, they have been net sellers to the tune of Rs.58 billion worth of government bonds so far this year. 

 

  Comments - 0


Add comment

Comments will be edited (grammar, spelling and slang) and authorized at the discretion of Daily Mirror online. The website also has the right not to publish selected comments.

Reply To:

Name - Reply Comment




The 20th Amendment Bill Lest We Forget

Strident calls were repeatedly made from many quarters for the 19th Amendment

Public transport 'side-laned'?

“Miss, mantheeru neethiya nisa api bus passen yanna one. Ithin drop eka par

Land acquisitions in Hanthana and Knuckles Mountain ranges

Sri Lankans will soon lose their opportunity to boast about the rich biodiver

Wanathawilluwa forest clearance: Whodunit?

Days after the Anawilundawa Ramsar Wetland, situated in Puttalam District, ma