Colombo, Sri Lanka – 23 September 2026 – The Central Bank of Sri Lanka (CBSL) today released its daily update on Open Market Operations (OMO), detailing the prevailing conditions in the money market and the outcomes of its various liquidity management interventions. The data for 23 September 2026 provides a snapshot of the market’s liquidity position and the CBSL’s efforts to steer short-term interest rates.
Overnight Money Market Overview
The overnight money market transactions on 23 September 2026 showcased continued activity. The weighted average rate in the Call Money Market stood at 8.92 percent, with rates ranging from a minimum of 8.85 percent to a maximum of 8.97 percent. The total gross amount transacted in the Call Money Market was Rs. 47,670 million, with a net amount of Rs. 46,920 million.
In the Repo Market, the weighted average rate was slightly higher at 8.98 percent, with transactions occurring between 8.95 percent and 9.03 percent. The total gross amount in the Repo Market reached Rs. 72,688 million, mirroring the net amount.
Central Bank’s Repo Auctions Detail Interventions
The CBSL conducted three distinct repo auctions today, designed to manage market liquidity across various tenors. All settlements for these auctions were scheduled for 23 September 2026, with the exception of the Long Term Repo.
Overnight Repo Auction
The Overnight Repo Auction, with a maturity date of 24 September 2026, saw the CBSL offer Rs. 50,000 million to the market. Bids received amounted to Rs. 22,500 million, all of which were accepted. The weighted average yield for this auction was 8.74 percent, with accepted rates holding between 8.74 percent and 8.75 percent.
Short Term Repo Auction
For a slightly longer tenor, the Short Term Repo Auction offered Rs. 50,000 million for 7 days, maturing on 30 September 2026. This auction attracted bids totalling Rs. 38,000 million, all of which were accepted by the CBSL. The weighted average yield was 8.75 percent, with the minimum and maximum accepted rates also at 8.75 percent.
Long Term Repo Auction
The Long Term Repo Auction, with a maturity date of 23 October 2026 (29 days), was offered with an amount of Rs. 20,000 million. This auction saw a higher demand, receiving bids of Rs. 31,000 million. The CBSL accepted the full offered amount of Rs. 20,000 million. The weighted average yield for this longer-term facility was 9.18 percent, with all accepted rates at this level. The settlement for this particular auction is set for 24 September 2026.
Utilisation of Standing Facilities
Market participants also utilised the CBSL’s Standing Facilities, reflecting the banking system’s day-end liquidity position. The Standing Deposit Facility (SDF) saw a significant uptake, with Rs. 90,103 million parked with the Central Bank. Conversely, the Standing Lending Facility (SLF) recorded a usage of Rs. 1,730 million, indicating a modest need for overnight liquidity from the CBSL by some institutions.
CBSL’s Treasury Bill/Bonds Holdings
The Central Bank’s holdings of Treasury Bills and Bonds remain a key component of its balance sheet and overall monetary policy framework. As of 23 September 2026, the face value of these holdings stood at Rs. 2,492,619.35 million, with a book value of Rs. 1,525,298.06 million.
These figures collectively illustrate the CBSL’s ongoing active role in managing systemic liquidity and influencing short-term interest rates through its daily Open Market Operations, a critical function for maintaining financial stability in the Sri Lankan economy.
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