Sri Lanka, Sept. 6 -- The Central Bank of Sri Lanka purchased 579 million US dollars in August 2026, restricting the Sri Lankan rupee to only a slight appreciation despite positive domestic and external economic shocks.

Official data indicates that the rupee was permitted to strengthen modestly from 336 to 328 against the US dollar during August, helping bolster confidence among importers and exporters. This follows heavy intervention in July 2026, when the central bank bought 348 million US dollars at 336 per dollar without allowing any currency appreciation, injecting excess liquidity into the system as foreign investors bought rupee-denominated bonds.

Currency appreciation generally triggers positive domestic developments, encouragin...