COLOMBO: Sri Lankan rupee forwards gained on Friday due to inward remittances and exporter dollar sales and as banks offloaded the greenback due to limited dollar demand from importers.
The spot currency and three-day forwards, or spot-next, were not traded after the central bank capped the currency at predetermined levels to prevent volatility.
Central bank officials were not available for comment.
Dealers said four-day forwards, or spot-next-next, were actively traded and ended firmer at 131.50/60 per dollar compared with Thursday's closing level of 131.65/75.
"There were inward remittances, exporter conversions and banks' selling to cover the net opening positions as there were no importers in the market," a currency dealer said.
Overseas investors bought a net 457.8 million rupees worth of government securities during the week ended Nov. 19.
They sold a net 39.1 billion rupees ($298.5 million) in the eight weeks through Nov. 19, data from the central bank showed.
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