The Sri Lankan government and Central Bank of Sri Lanka are taking targeted monetary and fiscal measures to stabilise the rupee, a minister told parliament on Thursday, urging businesses to curb expensive, non-essential imports, reported Xinhua.
Deputy Minister of Economic Development Nishantha Jayaweera said Sri Lanka expects nearly US$1 billion in foreign funding to help stabilise the rupee.
Jayaweera said the Central Bank of Sri Lanka expects about US$700 million from the International Monetary Fund and another US$250 million to US$300 million from the Asian Development Bank and the World Bank.
Jayaweera urged importers not to panic and bring in large stocks of goods, warning that they could face losses once the rupee stabilises.
He also called on the business community to help reduce demand for foreign currency by limiting non-essential and luxury imports, supporting local production and sourcing raw materials locally where possible.
Since the beginning of the Middle East conflicts in late February, the Sri Lankan rupee has been under sustained depreciation pressure, driven by elevated fossil fuel prices and other factors.
