COLOMBO, Sept 9 The Sri Lankan rupee traded
weaker on Friday as importer dollar demand surpassed inward
remittances of the U.S. currency amid a lack of exporter
conversions, dealers said.
The spot rupee was at 145.10/15 per dollar at 0721
GMT, compared with Thursday's close of 145.00/15. One-week
forwards were at 145.25/35, compared with the previous
day's close of 145.15/30.
The spot rupee is usually managed by the central bank, and
market participants use the forward market levels for guidance
on the currency.
"The importer demand improved after the rupee strengthened,"
a currency dealer said, asking not to be named.
The rupee strengthened 0.28 percent on Thursday on inward
remittances ahead of Eid al-Adha. The Muslims in Sri Lanka will
celebrate Eid al-Adha on Monday.
Dealers said seasonal importer demand would pick up from
Central bank Governor Indrajith Coomaraswamy said last week
that the currency was not under upward pressure as capital
inflows had not been of sufficient magnitude to exert such
The central bank has largely not intervened to defend the
rupee ever since a dual-tenure sovereign bond issue raised $1.5
billion in July.
Sri Lankan shares edged down, with the benchmark Colombo
stock index down 0.15 percent at 6,493.09 as of 0725 GMT.
Turnover was at 199.2 million rupees ($1.37 million).
($1 = 145.1000 Sri Lankan rupees)
(Reporting by Ranga Sirilal and Shihar Aneez; Editing by