Colombo, Sri Lanka – 11 September 2026 – The Central Bank of Sri Lanka (CBSL) today released its detailed report on Open Market Operations (OMOs) conducted on 11 September 2026, providing critical insights into the nation’s money market dynamics and the central bank’s ongoing efforts to manage systemic liquidity. The announcement, issued by the Market Operations Department, outlines key transactions across overnight markets, repo auctions, standing facilities, and CBSL’s holdings of government securities.
Overnight Money Market Transactions Reflect Stable Activity
The overnight money market saw significant activity, with both the Call Money Market and the Repo Market recording substantial gross and net amounts. The weighted average rates indicate a stable environment within the interbank lending landscape.
- Call Money Market:
- Weighted Average Rate: 8.87%
- Minimum Rate: 8.70%
- Maximum Rate: 8.90%
- Total Gross Amount: Rs. 36,295 million
- Total Net Amount: Rs. 33,745 million
- Repo Market:
- Weighted Average Rate: 8.95%
- Minimum Rate: 8.90%
- Maximum Rate: 8.99%
- Total Gross Amount: Rs. 47,598 million
- Total Net Amount: Rs. 45,898 million
Overnight Repo Auction Sees Strong Demand, Short-Term Unchanged
The CBSL’s Open Market Operations for the day included an Overnight Repo Auction, which attracted robust interest from market participants. A Short Term Repo Auction was also offered but did not receive any bids.
i. Overnight Repo Auction
The overnight repo auction, aimed at absorbing short-term excess liquidity, was successfully conducted. The CBSL offered Rs. 60,000 million and received bids exceeding this amount, indicating ample liquidity within the financial system.
- Amount Offered: Rs. 60,000 million
- Auction Date: 11 September 2026
- Date of Settlement: 11 September 2026
- Date of Maturity: 14 September 2026
- Bids Received: Rs. 70,000 million
- Amount Accepted: Rs. 60,000 million
- Weighted Average Yield: 8.65%
- Minimum Accepted Rate: 8.65%
- Maximum Accepted Rate: 8.68%
ii. Short Term Repo Auction
A Short Term Repo Auction for 7 days was also offered by the CBSL, but it saw no bids, suggesting either a lack of demand for this specific tenor or adequate liquidity already available to institutions for the given period.
- Amount Offered: Rs. 20,000 million
- Auction Date: 11 September 2026
- Date of Settlement: 11 September 2026
- Date of Maturity: 18 September 2026
- Days to Maturity: 07
- Bids Received: –
- Amount Accepted: –
- Weighted Average Yield: –
- Minimum Accepted Rate: –
- Maximum Accepted Rate: –
CBSL Standing Facilities and Treasury Holdings
Financial institutions utilized the CBSL’s Standing Facilities, reflecting the routine management of day-end liquidity. The Standing Deposit Facility (SDF) saw significant usage, indicating an overall surplus of funds parked with the central bank.
- Standing Deposit Facility (SDF): Rs. 56,171 million
- Standing Lending Facility (SLF): Rs. 60 million
Furthermore, the CBSL’s holdings of Treasury Bills and Bonds remain a substantial component of the financial market, underscoring its role in government debt management and monetary policy.
- CBSL Treasury Bill/Bonds Holdings:
- Face Value: Rs. 2,492,619.35 million
- Book Value: Rs. 1,557,156.42 million
These daily snapshots from the CBSL provide crucial data for analysts, investors, and the broader public to gauge the health and liquidity levels within Sri Lanka’s financial system, illustrating the central bank’s active role in maintaining stability and guiding monetary conditions.
Source: Read original document
