ECONOMYNEXT – Sri Lanka’s rupee is returning to a normal state through the operation of market forces, Deputy Finance Minister Anil Jayantha said adding that it was “incorrect to try to portray the depreciation of the rupee to society as an economic crisis”.
His comments come as opposition political parties and critics of the current President Anura Kumara Dissanayake’s government have said there could be an economic crisis with the fall of the rupee currency.
The selling rate of rupee touched a near four year low of 354 against the U.S. dollar on May 21.
“Through the operation of market forces, it is returning to its normal state. The reason for this is that since there is no economic crisis or any other underlying issue, such fluctuations can happen based on market forces,” Deputy Finance Minister Jayantha told in a recorded video circulated among media.
“It returns to equilibrium within a short period. Therefore, there is no need to panic based on incorrect or misleading information.”
The Central Bank’s rupee buying rate has been between 320 and 330 after it touched a four-year low, though it saw some depreciation this year.
“We accept that during the wartime situation in the Middle East, specifically due to the rising fuel prices and other factors, as well as the increased demand for our dollars, the dollar was subjected to some fluctuation within a short period, leading to an unnecessary increase within about a week,”
“However, proper intervention has been made to manage it correctly. At the same time, because of the influx of dollars into the economy, from our exports, tourism industry, as well as remittances, we are receiving the required amount. Nonetheless, this fluctuation occurred as a result of increased demand.”
“However, the situation raised by the opposition, claiming it would unnecessarily reach 370, 380, or 390, did not materialize.” (Colombo/June 05/2026)
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