A net outflow of foreign investment amounting to US$ 20 million was recorded in the rupee denominated government securities market in October 2020, increasing the cumulative net outflow to US$ 532 million during the period from January to October 2020, the Central Bank said yesterday (14).

This net outflow in October 2020 was a result of a gross inflow of US$ 1 million and a gross outflow of US$ 21 million. The total outstanding exposure of foreign investment in the rupee denominated government securities market remained relatively small at US$ 56 million by end October 2020.

Meanwhile, the CSE recorded foreign investments, on a net basis, while foreign loans to the Government increased in October 2020.

When considering both the primary market and the secondary market, the CSE recorded a net inflow of US$ 21 million in October 2020.

This inflow was a result of a large inflow of US$ 50 million to the primary market while the secondary market recorded a net outflow of US$ 29 million during the month.

On a cumulative basis, the CSE recorded a net outflow of US$ 194 million during the ten months ending October 2020. Meanwhile, long term loans to the Government recorded a net inflow of US$ 185 million in October 2020.