COLOMBO: The Sri Lankan rupee ended firmer due to lack of buying pressure which forced banks and exporters to sell the US currency, dealers said.

The rupee currency spot ended at 131.35/45 per dollar, firmer than Wednesday's close of 131.50/58.

"There is no buying support in the market so everybody is selling the dollars as they can't hold any longer," said a currency dealer.

The rupee fell about 4 percent between June 7 and July 18, after foreign investors started pulling out of Sri Lanka's treasury bonds due to a rise in US treasury yields.

The currency has been steady around 131.60 since July 18 as the central bank has not allowed spot dollars to be traded beyond 131.60, amid a rise in foreign holding in government securities, dealers said.

Dealers expect the rupee to move in a 131.50 to 132.00 range in the short term and continue to depreciate unless the central bank steps in or dollar inflows increase significantly.