Thursday Sep 04, 2025
Thursday Sep 04, 2025
Thursday, 28 August 2025 02:50 - - {{hitsCtrl.values.hits}}
By Wealth Trust Securities
The weekly Treasury Bill auction conducted yesterday only raised 62.37% or Rs. 51.14 billion in successful bids out of the total offered amount of Rs. 82.00 billion at the first phase in competitive bidding.
The weighted average yields held broadly steady, as the rate on the 182-day and 364-day maturities remained unchanged at 7.89% and 8.03% week-on-week respectively. However, the weighted average yield rate on the 91-day maturity registered a marginal decline of 01 basis point week-on-week. Notably, this marked the fourth consecutive week where the weighted average yield on at least one tenor recorded a decline.
Interestingly, the 182-day maturity raised more than its respective offered amount, while the 91-day and 364-day maturities raised less than their respective offered amounts.
The Phase II of subscription across all three maturities is now open until 3 p.m. of business day prior to settlement date (i.e., 28.08.2025) at the WAYRs determined for the said ISINs at the auction.
The Secondary Bond market remained mostly quiet for a third straight day. Trading was confined to a handful of transactions across limited maturities, leaving overall participation thin. The market was at a virtual standstill for much of the day, with yields holding broadly steady as market consolidation continued.
The 15.12.26 and 15.01.27 maturities traded at the rate of 8.18%. The 15.12.29 maturity traded at the rate of 9.43% and the 15.12.32 at the rate of 10.30%.
In the Secondary Bills market, trades were observed in November to December 2025. Maturities were seen trading at the rates of 7.65%-7.71%. January to early March 2026 maturities at the rate of 7.88%-7.95%. Late March 2026 maturities were seen trading at the rates of 7.99%-8.00%.
In money markets, the weighted average rates on overnight call money and Repo stood at 7.86% and 7.87% respectively.
The net liquidity surplus was recorded at Rs. 134.86 billion yesterday. An amount of Rs. 0.22 billion was withdrawn from the Central Bank’s SLFR (Standing Lending Facility Rate) of 8.25%, while an amount of Rs. 135.08 billion was deposited at Central Bank’s SDFR (Standard Deposit Facility Rate) of 7.25%.
Forex market
In the Forex market, the USD/LKR rate on spot contracts to closed depreciating to Rs. 302.42/302.52 as against its previous day’s closing level of Rs. 302.25/302.33.
The total USD/LKR traded volume for 26 August was $ 88.95 million.
(References: Central Bank of Sri Lanka, Bloomberg E-Bond trading platform, Money broking companies)
