Sri Lanka has not printed new banknotes, as confirmed by cabinet spokesman Vijitha Herath, who highlighted the absence of currency notes bearing the signature of the incumbent finance minister. During the weekly cabinet press briefing on Tuesday, October 29, Herath addressed rumors regarding the central bank’s liquidity injections, clarifying a misunderstanding between liquidity management and the physical printing of money.
Herath refuted reports suggesting that the central bank injected approximately 100 billion rupees against domestic assets through various liquidity tools by October 25, which had reportedly increased excess money in the banking system to over 190 billion rupees. EconomyNext reported on Sunday that the central bank had infused 36.16 billion rupees via an overnight auction and an additional 70 billion rupees through a term auction of printed money.
As of October 25, excess liquidity deposited in the central bank’s standing facility reached 193.4 billion rupees, a notable increase from 138 billion rupees just a month earlier.