– Deputy Minister of Finance and Planning Dr. Anil Jayantha Fernando has dismissed claims that the recent depreciation of the Sri Lankan rupee signals an economic crisis, describing such portrayals as misleading.Addressing the impact of the ongoing Middle East conflict on Sri Lanka’s economy, Dr. Fernando said the recent fluctuations in the value of the US dollar were largely driven by rising global fuel prices and increased demand for foreign currency.

He explained that the dollar experienced a temporary surge over a short period, leading to an increase in the exchange rate for about a week. However, he noted that the authorities had taken the necessary measures to manage the situation effectively.Dr. Fernando said Sri Lanka continues to receive adequate foreign exchange inflows through exports, tourism earnings and workers’ remittances, helping to maintain stability in the country’s external sector.According to the Deputy Minister, the recent movement in the exchange rate was the result of normal market supply and demand dynamics rather than any underlying economic instability or crisis.