Colombo, Sri Lanka – 04 September 2026 – The Central Bank of Sri Lanka (CBSL) today released details of its Open Market Operations (OMO) conducted on 04 September 2026, providing a crucial snapshot into the nation’s liquidity conditions and the CBSL’s ongoing efforts to manage the money market. These operations are vital for maintaining price stability and supporting economic growth.
The daily update from the Market Operations Department highlights key overnight money market transactions, the outcomes of repo auctions, and the utilization of the CBSL’s Standing Facilities, alongside its latest Treasury Bill and Bond holdings. The data indicates a calculated approach by the CBSL to influence short-term interest rates and overall systemic liquidity.
Overnight Money Market Transactions Overview
On September 4th, the overnight money market saw significant activity across both the Call Money and Repo Market segments. These transactions reflect the immediate liquidity needs and surpluses within the banking system.
- Call Money Market:
- Weighted Average Rate: 8.86%
- Minimum Rate: 8.75%
- Maximum Rate: 8.91%
- Total Gross Amount: Rs. 53,056 million
- Total Net Amount: Rs. 52,976 million
- Repo Market:
- Weighted Average Rate: 8.92%
- Minimum Rate: 8.85%
- Maximum Rate: 9.02%
- Total Gross Amount: Rs. 60,022 million
- Total Net Amount: Rs. 59,950 million
CBSL Open Market Operations: Repo Auctions
To further manage systemic liquidity, the CBSL conducted two key repo auctions, offering short-term funding to financial institutions.
Overnight Repo Auction
The overnight repo auction, settling on September 4th and maturing on September 7th, aimed at addressing immediate liquidity requirements.
- Amount Offered: Rs. 30,000 million
- Bids Received: Rs. 27,500 million
- Amount Accepted: Rs. 27,500 million
- Weighted Average Yield: 8.70%
- Minimum Accepted Rate: 8.70%
- Maximum Accepted Rate: 8.74%
Short Term Repo Auction
A short-term repo auction, maturing on September 9th (5 days to maturity), was also conducted, providing slightly longer-term liquidity support.
- Amount Offered: Rs. 30,000 million
- Bids Received: Rs. 23,500 million
- Amount Accepted: Rs. 23,500 million
- Weighted Average Yield: 8.75%
- Minimum Accepted Rate: 8.75%
- Maximum Accepted Rate: 8.75%
Utilization of CBSL Standing Facilities
Financial institutions also utilized the CBSL’s Standing Deposit Facility (SDF) and Standing Lending Facility (SLF) to manage their daily liquidity positions.
- Standing Deposit Facility (SDF): Rs. 60,066 million was deposited by commercial banks with the CBSL, indicating surplus liquidity.
- Standing Lending Facility (SLF): Rs. 770 million was borrowed by commercial banks from the CBSL, reflecting short-term liquidity needs.
CBSL Treasury Bill/Bonds Holdings
The update also provided insight into the CBSL’s holdings of government securities, which play a significant role in its overall monetary policy and balance sheet management.
- Face Value of Holdings: Rs. 1,551,031.97 million
- Book Value of Holdings: Rs. 2,492,619.35 million
These figures underline the Central Bank’s active role in maintaining stability within the Sri Lankan financial system through robust Open Market Operations, ensuring adequate liquidity, and guiding short-term interest rates in line with its monetary policy objectives.
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