USD drops and LKR/USD increased suddenly

Noticed a sudden positive movement of Sri Lankan Rupree during last few days. After 23 rd of February , LKR appreciated from around 1% which is a considerable growth specially with the current economical situation of the country.

Some of the contributory reasons for this according to NDBS were FX conversion by exporters in anticipation of a further appreciation of the LKR; a drop in importer demand (due to a decline in real sector economic activities and import restrictions); and a decline in Current Account Deficit (CAD) source