Sri Lanka rupee weakens to 304.40/55 to US dollar, bond yields down

Wednesday October 29, 2025 6:08 pm

ECONOMYNEXT – Sri Lanka’s rupee weakened to 304.40/55 to the US dollar in the spot market Wednesday from 304.10/55 percent a day earlier, dealers said while longer term bond yields fell.

The rupee has fallen 302.55/60 from the beginning of the month.

Meanwhile longer tenor bond yields eased amid confidence on good fiscal performance.

A bond maturing on 15.12.2026 closed at 8.20/28 percent down from 8.25/30 percent yesterday.

A bond maturing on 15.09.2027 closed 8.75/83 percent down from 9.12/15 percent.

A bond maturing on 01.07.2028 closed at 9.10/17 percent from 9.18/25 percent.

A bond maturing on 15.02.2029 closed at 9.60/65 percent 9.63/68 percent.

A bond maturing on 01.07.2030 closed 9.73/78 percent from 9.75/78 percent.

A bond maturing on 13.03.2031 closed at 10.00/10 percent, from 10.05/12 percent.

A bond maturing on 15.12.2032 closed at 10.42/48 percent down from 10.50/55 percent.

A bond maturing on 01.11.2033 closed at 10.57/62 percent down from 10.65/72 percent.

(Colombo/Oct28/2025)

Wednesday October 29, 2025 7:08 pm

ECONOMYNEXT – Polish charter airline Enter Air is scheduled to launch regular charter flights from Warsaw to Colombo Bandaranaike International Airport (BIA) from Thursday (30), the government said and it will be the fourth airline to start operations to the island nation this week.

Airport and Aviation Services (Sri Lanka) (Private) Limited in statement said Enter Air will operate every ten days with flights on Thursdays and Sundays until mid-April 2026, coinciding with Sri Lanka’s peak tourism season.

Already the island nation has witnessed leading Swiss holiday airline Edelweiss, national carrier of Belarus, Belavia, and Russian airline Red Wings started operations to Sri Lanka on Tuesday.

Belavia and Red Wings will operate flights to Mattala International airport in Hambantota, while Enter Air and Edelweiss will operate to BIA.

All these flights have started operations amid peak demand from tourists to visit Sri Lanka during the upcoming Winter season from mid November to March next year. (Colombo/October 28/2025)

Wednesday October 29, 2025 5:44 pm

ECONOMYNEXT – The Colombo Stock Exchange rose on Wednesday in strong turnover with foreign investors mostly buying shares, data on its site showed.

The All Share Price Index closed up 0.39 percent, or 87.90 points, at 22,777.12, while most liquid S&P SL20 gained 0.12 percent or 7.54 points to 6,210.63.

Foreign investors bought a net 372.5 million worth shares on Wednesday, data showed.

Market turnover was 5.39 billion rupees.

Most of this came from capital goods and utility industry stocks.

Top contributors to the ASPI were Windforrce PLC (up 7.90 rupees at 52.80), Sengadagala Finance Company (up 71.75 rupees at 597.25), and Diesel and Motor Engineering Plc (up 172.50 rupees at 2,463.50).

Windforce Plc has been the lowest bidder for one 50 Megawatt wind plant in Mullikulam in the Mannar district which was offered for private developers by state-run Ceylon Electricity Board, the company said. (Colombo/October 2/2025)

Wednesday October 29, 2025 4:44 pm

ECONOMYNEXT – Sri Lanka has all offered Treasury bills at Wednesday’s auction with the 12-month yield marginally rising by 02 basis points, data from the state debt office show.

2.84 billion rupees of 3-month bills were sold at 7.52 percent, flat after offering 12 billion rupees.

37.22 billion rupees of 6-month bills were sold at 7.90 percent, up 01 basis point after offering 30 billion rupees.

15.0 billion rupees of 12-month bills were sold at 8.04 percent, up 0.02 basis points after offering 15 billion rupees.

Sri Lanka tax revenues have gone up 32 percent and current spending is growing at a slower pace and capital spending is flat.

However private credit is expanding strongly, and with the central bank not defending excess liquidity against private transactions or mopping up liquidity to build reserves, the rupee has depreciated.

However, liquidity has tightened from dollar sales to the state and banks are borrowing from the 8.25 percent window to mostly clear transactions, though some persistent borrowings has been seen in recent days. (Colombo/Oct29/2025)