📈 Sri Lanka Bond Market Yields Continue Uptrend as Trading Activity Moderates

• Secondary Bond Market: Yields extended their upward movement amid a prevailing bearish tone, leading to lower trading activity and transaction volumes. • 2029 maturities: 15.10.29 traded at 10.45%. • 2030 maturities: 01.08.30 at 10.80%, 15.10.30 at 10.80%–10.85%. • 2031 maturities: 01.02.31 at 10.90%–10.92%, 01.12.31 at 11.05%–11.10%. • 2032–2036 maturities: 01.10.32 at 11.10%–11.15%, 01.06.33 at 11.50%, 01.11.33 at 11.65%, 15.10.34 at 11.80%, and 15.08.36 at 11.90%–11.91%. • Money Market Liquidity: Net surplus stood at Rs. 93.64 Bn. • Rs. 63.59 Bn was deposited at the Central Bank’s SDFR (8.25%), while Rs. 2.45 Bn was drawn from the SLFR (9.25%). • CBSL absorbed Rs. 32.50 Bn via repo auctions (Rs. 22.50 Bn overnight at 8.73% and Rs. 10 Bn 2-day term at 8.75%). • Weighted average call money and repo rates recorded at 8.86% and 8.93% respectively. • Forex Market: The Rupee held steady with spot USD/LKR closing at Rs. 328.25/328.35 (compared to Rs. 328.22/328.30 previously). Total traded volume reached $ 83.20 Mn on 4 September.