Which Currency to Take to Sri Lanka from India?

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Table Of Contents
  1. How to Convert USD to LKR in Sri Lanka?
  2. Digital Methods to Pay in Lankan Rupees
  3. Best Way to Carry and Use Money in Sri Lanka
  4. How Much Money Can I Carry to Sri Lanka from India?
  5. How to Convert Sri Lankan Rupees Back to Indian Rupees?
  6. Currency Denominations in Sri Lanka
Sri Lankan Rupee notes with text overlay 'Best Choice for Sri Lanka Trip' and the ExTravelMoney logo.

Sri Lanka Rupee (LKR) is the official currency of Sri Lanka. 

But, if you are planning to purchase Sri Lankan Rupees from India for your vacation, be aware that the currency is rarely available in India. Even if available it is subject to high exchange rates.*

* The supply of LKR is limited in India due to its low demand among travellers. Usually, exchanges don’t keep stock of that currency. The few exchanges that do have it charge a premium on LKR exchanges since they know it’s not widely available in India. 

So wondering which currency to take to Sri Lanka from India?

If you are thinking Indian Rupees, definitely that is not it.

Buying US Dollars is the best option for Indians travelling to Sri Lanka. 

Purchase US Dollars as currency notes or forex card from a valid forex service provider like ExTravelMoney at least 3 days before your travel.

After landing in Sri Lanka, convert the US Dollars in hand to Sri Lankan Rupees. You’ll get far better exchange rate in Sri Lanka than if you had purchased LKR directly in India.

PRO TIP: Buy the US Dollars in 100 denominations as they have high demand in Sri Lanka and you can fetch a good exchange rate.

Also Read: How To Exchange Foreign Currency In India – A Complete Guide

How to Convert USD to LKR in Sri Lanka?

1. Currency Exchange at Sri Lankan Airport

Purchase US Dollars from India and exchange it for Sri Lankan Rupees at the airport once you land there. 

PROS: This is the best option to purchase an emergency amount for transportation from the airport or to grab some food.

CONS: The exchange stores in the airport know your urgency for Sri Lankan Rupees and exploit this situation. Therefore, keep in mind that these stores often charge high exchange rates.

After fulfilling your immediate needs, later you can convert the rest of the dollars to Lankan rupees in cheaper methods. 

2. Currency Conversion at Sri Lankan Banks

PROS: You can exchange your US Dollars at a Sri Lankan bank that offers better rates than exchange vendors in airports. The currency and conversion process are safe.

CONS: The process is time-consuming as you might have to wait in long queues to get it done. Moreover, the rates are comparatively higher.

The most trusted banks for currency exchange in Sri Lanka are Commercial Bank, Sampath Bank, BOC Bank, Hatton National Bank and Peoples’ Bank.

3. Exchange at Local Forex Vendors in Sri Lanka

PROS: Local foreign exchange stores can be extensively found in Sri Lanka. Apart from them, grocery stores and shops in every nook and corner too, provide Sri Lankan Rupee exchange. 

CONS: The authenticity of the currency might be in question if it is not from a licensed exchange house. ‘Sleight of hand’ where they count and pay less than the due amount is another trick they use to scam tourists.

4. Withdraw Lankan Rupees from a Forex Card

PROS: Forex cards offer affordable exchange rates and you can lock this rate while loading the currency in it. This option saves you from unpredictable fluctuations in exchange rates.

CONS: ATM withdrawal charges are imposed while LKR is withdrawn from ATMs.

These are the steps to follow to withdraw Lankan Rupees from your Forex card at an ATM;

  1. Load USD in your forex card. 
  2. On reaching Sri Lanka, visit an ATM. You can use this service at VISA, VISA Plus, and Mastercard ATMs.
  3. Insert the forex card.
  4. Among the cash withdrawal options choose the Checking/Current account. (Click the ‘Credit’ option if not available)
  5. Enter your PIN and the required amount in Lankan Rupees.
  6. The requested amount gets converted from USD in your account to LKR simultaneously in the system.
  7. Withdraw the converted LKR.

Digital Methods to Pay in Lankan Rupees

1. Forex Card

It is always best to make your payments using a Forex card. 

Purchase a Forex card and load US dollars into it. While in Sri Lanka this amount gets converted into Sri Lankan Rupees in real time while making payments. 

PROS: Be it your bills at restaurants, hotel reservations, souvenir shopping and other entertainments, a forex card makes your payments more convenient and safe. All you have to do is simply swipe or tap your card at the counter just like a credit or debit card, but with lower charges. 

CONS: Forex cards charge certain fees (However, lesser than debit or credit cards).

Card ChargesCharged Amount
Cross-conversion fee (USD to LKR)5% of transacted amount
International ATM transaction feeRs 100+GST

2. UPI Payments

You read it right! UPI payments are enabled in Sri Lankan commercial spaces. 

All you have to do is activate ‘UPI International’ on your UPI payment app like GPay or PayTM and link your Indian bank account.

PROS: During the payments, scan the QR code and enter the amount in INR or LKR. The amount gets debited from the payee’s Indian bank account as INR but gets credited to the beneficiary’s account as Lankan Rupees. 

CONS: UPI transactions in Sri Lanka come with a bank transfer fee of approximately 3%. Moreover, the exchange rate is fixed by banks. It is a known fact that banks consistently apply higher exchange rates compared to money transfer agents like ExTravelMoney. 

3. Debit Card

PROS: You can use the amount in your Indian bank account if you run out of funds. Debit cards can be set aside for your emergency payments and withdrawals.

CONS: Debit cards incur a substantial amount of charges and GST.

Bank ChargesCharged Percentage of Total Transaction Amount 
Foreign Transaction Charges/ Mark Up Fee (for all transactions in Sri Lanka)2.50% – 3.50%
Currency Conversion Fee (loaded currency to local currency)1% – 2%
ATM Withdrawal Fee4%
Remember to inform your bank about the dates of your Sri Lanka travel. If not, the bank might suspect your payments as fraudulent transactions and freeze your card for security reasons. 

Also Read: Comparison of Forex Card vs Credit Card, Debit Card, and Cash

4. Credit Card

Credit cards can be used to settle your pretty long bills. However, remember that the charges are quite high and they add on to become a liability after your trip.

Bank ChargesAmount or Percentage Charged
Foreign Transaction Charges/ Mark Up Fee (for all transactions in Sri Lanka)3.50%  (of the converted amount)
Overseas ATM withdrawal feeRs. 125

Best Way to Carry and Use Money in Sri Lanka

The 70-30 Method

Calculate your estimated total cost for the trip and emergency amount to carry.

Load 70% of your travel budget into your Forex card and buy the remaining 30% as cash.

Here’s why;

Loading 70% in a Forex Card is the Safest Way 

No pockets and purses are safe at any tourist location. The same is the case with Sri Lanka too. Therefore, it is always better to carry 70% of your total estimated trip expense in a Forex card. 

You can easily make big-sum payments with your Forex card. Additionally, if you come across street vendors for shopping or snacking, you will always find nearby ATMs for convenient cash withdrawal.

Even though you incur an ATM transaction fee and cross-conversion fee while withdrawing or using the amount as Sri Lankan Rupees, this method saves you a lot. 

Buying 30% as Cash Takes Care of Emergencies

Take 30% of your trip expense as cash (USD).

After arriving in Sri Lanka, convert the US Dollar into Sri Lankan Rupees at the airport, ATM or bank.

This amount can be used for immediate needs and at places where a card is not accepted. 

How Much Money Can I Carry to Sri Lanka from India?

You can purchase a maximum of USD 3,000 as cash and upload the rest of the money in a Forex card for your Sri Lankan trip. Your total limit must be less than USD 250,000 according to the LRS scheme of RBI.

How to Convert Sri Lankan Rupees Back to Indian Rupees?

Sri Lankan Rupees have negligible demand in the Indian foreign exchange market. Therefore, most banks and money exchange vendors do not accept Sri Lankan Rupees. So, it is an extremely challenging task to sell the currency in India once you’re back. 

Therefore, exchange your remaining Sri Lankan Rupees for US Dollars in Sri Lanka. On reaching India, sell your US Dollars in a forex platform like ExTravelMoney.

Currency Denominations in Sri Lanka

The Central Bank of Sri Lanka has to date released 11 series of notes.

Sri Lankan Rupees’ six denominations are currently circulated in the 11th series.

Here are the images of the latest Sri Lankan Rupee currency;

  • At the centre of the LKR 5000 note, drawings of two dams appear. The one on the left is the Weheragala Dam. The image on the right is the Canyon Dam. The bird to the right is the Sri Lankan Yellow-Eared Bulbul and the butterfly to the left is the Lemon Migrant.
  • On the front centre of the LKR 1000 note, a drawing of the Ramboda tunnel can be seen. To the left of it is the rock wall. The bird that appears to the right of the note is the Sri Lankan Hanging Parrot while the butterfly on the left is the White Four Ring.
  • At the center of the front of the LKR 500 note, the World Trade Center twin towers and the Bank of Ceylon head office are depicted. To the right of this image is the “Lankathilake Viharaya”. The bird to the right of the note is the Sri Lankan Emerald Collared Parakeet and the butterfly to the left is the Ceylon Indigo Royal.
  • The Norochcholai Coal Power Plant Project is at the centre of the LKR 100 note, above which is the Laxapana waterfall. The bird on the right is the Sri Lankan Orange Billed Babbler and the butterfly on the left is the Autumn Leaf.
  • The bridge in Manampitiya appears in the centre of the LKR 50 note. The formerly used bridge appears to the left of the new bridge. Above both, is the historical railway arch bridge. The bird on the right side of the note is the Sri Lankan Dull Blue Flycatcher. The butterfly on the left is the Blue Oakleaf.
  • The front side of the LKR 20 note, is a drawing of the view of the Port of Colombo. The bird on the right is the Sri Lanka Serendib Scops Owl. The butterfly in the lower left corner is the Baronet.
Buy US Dollars
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Also Read: Travelling Abroad? Don’t Bring Back These 10 Foreign Currencies

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