Business

Rupee depreciated by over 1% last week

The Sri Lankan rupee (LKR) recorded a significant drop of 1.2% last week alone, hitting Rs. 189.25 against the US dollar on Friday (27), compared to Rs. 187 last Monday (23).

Since 1 January this year, the rupee has depreciated by a whopping 4.2%, according to data from the Central Bank of Sri Lanka (CBSL), and this has been mainly due to the sudden drop in the rupee recorded during the past two weeks.

The currency started the year at Rs. 181.50 and witnessed a slight appreciation during the first couple of days. However, during the month, it depreciated by 0.04%. On 1 February, the LKR was at Rs. 181.40 and fluctuated throughout the month, yet remained below Rs. 182.

During the period from 1-29 February, it depreciated by 0.22%.

The monthly depreciation rate of the LKR has escalated alarmingly in March with it dropping to Rs. 189.25 to the US dollar on 27 March from Rs. 181.92 on 1 March.