COLOMBO Feb 8 The Sri Lankan rupee rose for the
first time in a week on Wednesday as exporter dollar sales
surpassed the demand for the U.S. currency from banks to
facilitate continuous exit of foreign investors from government
securities, dealers said.
Rupee forwards were active, with two-week forwards
ending at 151.20/25 per dollar, compared with Tuesday's close of
"Exporter conversions came in to the market at the latter
part of the day," said a currency dealers asking not to be
The central bank kept its key rates steady on Tuesday for a
sixth straight month, but flagged possible "corrective measures"
in the months ahead in a sign further tightening might be on the
cards to temper inflation pressures and safeguard a fragile
The rupee has weakened 0.6 percent so far this year and has
been under pressure due to rising imports and net selling of
government securities by foreign investors, while the central
bank said defending the currency with foreign exchange reserves
did not "seem sensible".
Foreign investors net sold 26.6 billion rupees ($177.10
million) worth of government securities in the four weeks to
Feb. 1, according to the latest central bank data.
($1 = 150.5000 Sri Lankan rupees)
(Reporting by Ranga Sirilal and Shihar Aneez; Editing by