The Central Bank of Sri Lanka has invited public feedback on proposed amendments to the Finance Business Act, aiming to strengthen regulation, supervision, and the resolution process for finance companies across the country.
Central Bank seeks feedback on Finance Business Act amendments before November 30
The Central Bank of Sri Lanka (CBSL) has announced a public consultation on proposed changes to the Finance Business Act, No. 42 of 2011. The initiative is designed to enhance regulatory oversight of finance companies, improve mechanisms to address unauthorized finance operations, and establish clearer procedures for winding up non-viable financial institutions.
According to the central bank, the proposed amendments will help create a more stable and transparent financial system. By reinforcing supervision and accountability, CBSL aims to safeguard public trust and ensure that licensed finance companies operate in compliance with legal and ethical standards.
CBSL has invited members of the public, industry stakeholders, and other interested parties to submit their views, suggestions, and comments on the draft amendments. This open consultation underscores the bank’s commitment to transparency and inclusiveness in policy development. Submissions can be made by post, fax, or email on or before November 30, under the subject “Views/Suggestions/Comments on the draft amendments to the Finance Business Act.”
Officials noted that the feedback received will be carefully reviewed before finalizing the amendments. The move comes amid broader efforts to strengthen Sri Lanka’s financial regulatory framework and improve consumer protection in the non-bank financial sector.
Financial analysts have welcomed the initiative, noting that a stronger Finance Business Act would enhance investor confidence and reduce systemic risks in the sector. The amendments are also expected to align Sri Lanka’s financial supervision with international best practices, supporting long-term economic stability.
Through this consultation, CBSL is reinforcing its role as a proactive regulator while encouraging public participation in shaping the nation’s financial governance framework. The initiative highlights the importance of collaboration between regulators, industry participants, and the public in building a resilient financial system.