Thursday Feb 19, 2026
Thursday Feb 19, 2026
Thursday, 22 January 2026 03:43 - - {{hitsCtrl.values.hits}}
By Wealth Trust Securities
At the weekly Treasury Bill auction held yesterday, weighted average yields declined across all maturities following four consecutive weeks of increases prior. The weighted average yield on the 91-day bill fell by 2 basis points to 7.93%, while the 182-day bill recorded a sharper decline of 8 basis points to 8.36%. The 364-day bill also eased marginally by 1 basis point to 8.47%.
Despite being marginally undersubscribed, the auction demonstrated strong investor appetite, with total bids reaching 2.81 times the offered volume.
The Public Debt Management Office successfully raised Rs. 112.48 billion, equivalent to 89.99% of the Rs. 125 billion on offer, with the full acceptance of amounts offered in both the 91-day and 182-day maturities underscoring strong demand at the short end.
The Phase II subscription across all three maturities is now open until 3 p.m. of business day prior to settlement date (i.e., 22.01.2026) at the WAYRs determined for the said ISINs at the auction.
Meanwhile, Secondary Bond market yields largely consolidated during yesterday’s trading session. Market activity and transaction volumes continued to be observed at healthy levels, reflecting sustained participation.
Market sentiment remained firmly constructive, supported by the positive outcome of the Treasury Bill auction. Buying interest remained intact, supported by the persistently strong liquidity backdrop and favourable money market conditions established over recent sessions.
In terms of the Secondary Bond market trade summary, the 01.05.27 and 15.09.27 maturities were seen trading at the rates of 8.90% and 8.95%-8.93% respectively. The 15.02.28 and 15.03.28 maturities were seen trading at the rates of 9.05% and 9.06% respectively. The 01.05.28 maturity traded within the range of 9.12%-9.11% and the 15.12.28 maturity at the rate of 9.20%. The 15.06.29, 15.10.29 and 15.12.29 maturities were seen trading 9.57%, 9.63% and 9.68%-9.65% respectively. The 01.03.30 maturity traded at the rates of 9.745% to 9.71%. The 15.03.31 maturity traded at the rates of 10.00%-9.98%. The 01.06.33 maturity traded down the range of 10.73%-10.69%. The 15.06.35 maturity traded within the range of 11.07%-11.05%.
The total secondary market Treasury Bond/Bill transacted volume for 20 January was Rs. 13.95 billion.
In money markets, the net liquidity surplus was recorded at Rs. 189.06 billion yesterday, down marginally from the day before. An amount of Rs 189.26 billion was deposited at Central Bank’s SDFR (Standing Deposit Facility Rate) of 7.25% as against an amount of Rs 0.20 billion withdrawn from the Central Bank’s SDFR (Standing Deposit Facility Rate) of 8.25%.
The weighted average rates on overnight call money and Repo stood at 7.83% and 7.89% respectively.
Forex market
In the forex market, the USD/LKR rate on spot contracts closed the day depreciating to 309.72/309.80 as against its previous day’s closing level of Rs. 309.65/309.70.
The total USD/LKR traded volume for 20 January was $ 88.70 million.
(References: Central Bank of Sri Lanka, Bloomberg E-Bond trading platform, Money broking companies)
