Sri Lanka Treasuries yields up

Sept 21, 2011 (LBO) – Sri Lanka’s Treasury bill yields edged up across maturities and Wednesday’s auction, with the 3-month yield up 3 basis points to 7.

14 percent, data from the state debt office showed.

On Wednesday authorities weakened the peg 10 cents to 110.

20 rupees in the spot market.

The 6-month yield rose 02 basis points to 7.

22 percent and the 12-month yield rose 04 basis points to 7.30 percent.

At an open market auction earlier in the day the Central Bank took in 27.

1 billion rupees in excess cash from banks at 7.08 percent, the same rate as a day earlier.

Excess liquidity in Sri Lanka’s banking system have dried up amid a defence of a dollar peg by the monetary authority.