Inflation ( CCPI)1.5% (Oct 2023)
GDP-3.1% (2Q 2023)
Unemployment5.2% (2Q 2023)
3M T-Bill Rate15.29%
12M T-Bill Rate12.94%
2Y T-Bond Rate14.45%/ 14.50%
4Y T-Bond Rate14.70% / 14.80%
Reserves $3.56Bn (Oct 2023)
Cum. Trade Deficit $3,307 Mn (Sep 2023 cumulative)
Cum. Fiscal DeficitLKR 1,614 Bn (Sep 2023)

The majority expect USD/LKR to hold above the Rs. 350 despite the sudden appreciation

Opinion pollsMar 2, 2023
The majority expect USD/LKR to hold above the Rs. 350 despite the sudden appreciation

Improved worker remittances, reduction of trade deficit, low import volumes along with the extension of external debt repayment suspension, have created a surplus of foreign exchange among commercial banks. Also, the expectation of reaching the IMF rescue package by March has caused the LKR appreciate.

Poll was conducted during the two-day rally while LKR appreciated from 360 to 346 per USD. The majority expected USD /LKR to settle between 350 to 370 by end of March. But this momentum has broken the phycological barrier of Rs. 350. CBSL’s middle rate guidance was LKR 353 but allowed LKR to appreciate further by LKR 7.50 against USD.


Charts represents an assessment of the market environment as of the date indicated and it is subject to change; and is not intended to be a forecast of future events or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding the funds or any issuer or security in particular. The strategies discussed are strictly for illustrative and educational purposes and should not be construed as a recommendation to purchase or sell, or an offer to sell or a solicitation of an offer to buy any security. There is no guarantee that any strategies discussed will be effective.

The information presented does not take into consideration commissions, tax implications, or other transactions costs, which may significantly affect the economic consequences of a given strategy or investment decision. This document contains general information only and does not take into account an individual’s financial circumstances. An assessment should be made as to whether the information is appropriate in individual circumstances and consideration should be given to talking to a financial advisor before making an investment decisions.