Rundown of new money given to P’ment

Government confirmed in Parliament yesterday that the Central Bank had printed valid currency notes on six occasions and coins were minted on four occasions since 2015 to meet diverse requirements.

This had no bearing on the depreciation of the rupee when the foreign currency outflows from the domestic foreign currency market outpaced foreign currency inflow to the market.

The Ministry of Finance and Mass Media, in response to a question for oral answer, held that the depreciation of the rupee value in April and May 2018 was mainly due to the increased import expenditure, increased foreign debt service payments, foreign exchange outflows from the secondary market of the Colombo Stock Exchange, foreign exchange outflow from the government securities market, and the lack of conversion of foreign currencies by exports in the domestic foreign exchange market.

It was also noted that during 2018, Rs. 66,250 million worth of currency notes were printed in Rs. 5000 to Rs. 20 denomination. In 2017, the face value of the printed currency stood at Rs. 151, 950 million followed by Rs.355,900 in 2016. During 2015, Rs. 202,600 million worth of currency notes were printed and an additional order for Rs. 51,600 million and Rs. 36,000 million was added on the same year.

Apart from the currency notes, the coins ranging between denominations Rs. 10 to Rs. 1 minted in 2017/18 amounted to face value Rs. 5,440 million, Rs. 2,280 in 2016/17 and Rs. 1,400 million in 2016. (AH)