World Economy

Sri Lanka Forex Reserves Drop

Sri Lanka Forex Reserves DropSri Lanka Forex Reserves Drop

Sri Lanka’s forex reserves dropped to $5.3 billion in June down $348 million from $5.62 billion in May with a $700 million repayment of a swap to India, official data showed, EconomyNext reported. Forex reserves without Indian swaps rose to $4,852 million from $4,520.7 million. Sri Lanka still owes the Reserve Bank of India another $400 million from another swap. June reserves were also boosted by a $168 million disbursement from an Extended Fund Facility loan from the International Monetary Fund. Central bank officials have said that the monetary authority was able to purchase dollars in June from the market. Some dollars were also acquired through swaps from banks.