Rupee ends volatile week stronger

Saturday, 13 June 2026 07:04 - - {{hitsCtrl.values.hits}}

The rupee ended a volatile week stronger against the US dollar yesterday, supported by a Central Bank move to tighten rules governing the conversion of export earnings.

The USD/LKR spot rate closed at Rs. 335.50/336.00 yesterday, down from Thursday’s close of Rs. 336.00/337.00.

The currency had staged a sharp recovery on Wednesday after the Central Bank of Sri Lanka (CBSL) reduced the period within which exporters must convert their export proceeds into rupees to 30 days from the previous 90 days.

Following the announcement, the rupee strengthened significantly to close at Rs. 332.25/333.00 on Wednesday from Tuesday’s close of Rs. 337.00/337.75.

The move came after the local currency had come under pressure earlier in the week amid increased demand for foreign exchange. On Monday, the USD/LKR spot rate closed at Rs. 335.75/336.25.

Market participants said the tighter conversion requirement is expected to improve the supply of foreign exchange to the market by bringing export proceeds into the banking system more quickly.

Although the rupee gave up part of its midweek gains over the following two sessions, it ended the week firmer than the levels seen during the sharp depreciation earlier in the week.