Foreigners sold over Rs. 1.2 Bn Government Securities in last week of July 2018

The latest data from the Central Bank of Sri Lanka points out that Foreigners had gradually exited from Sri Lanka’s Government Securities (Treasury Bills and Treasury Bonds) to the amount of over Rs. 165.6 billion in just three and a half years from December 2014. According to the Central Bank data as at 24^th December 2014 foreigners held over Rs. 453.44 billion worth Government Securities whilst as of 1^st August 2018 the value of Government Securities held by foreigners had fallen to Rs. 287.8 billion.

Data further outlines that during the week from 24^th July 2018 to 1^st August 2018 Foreigners had sold Rs. 1.2 billion worth Government securities, reducing the value Government Securities held by foreigners from Rs. 289.09 billion to Rs. 287.8 billion.

Meanwhile Sri Lankan Rupee had depreciated against the US Dollar by over 23% from December 2014 to August 2018 from Rs. 130 per US Dollar to the levels of Rs. 161 per US Dollar during the same period.

- Reporting By Devendra Francis