The USD was selling at nearly Rs. 300 at several commercial banks today.
The Central Bank of Sri Lanka had recently decided to allow greater flexibility in the exchange rate.
The Central Bank had indicated that it will continue to closely monitor the emerging macroeconomic and financial market developments, both globally and domestically, and will stand ready to take further measures as appropriate, with the aim of achieving stability in the fronts of inflation, the external sector, the financial sector, and real economic activity.
In that context, the Central Bank had said that greater flexibility in the exchange rate will be allowed to the markets with immediate effect.
However, the Central Bank was of the view that forex transactions would take place at levels which are not more than Rs. 230 per US dollar.