Sri Lanka’s Central Bank (CBSL) has announced a partial easing of foreign exchange controls, effective June 20th, 2024. This new regulation follows a proposal approved by the Cabinet of Ministers to amend the existing rule established under the Foreign Exchange Act No. 12 of 2017. The previous rule, initially implemented in April 2020 to address
The Financial Stability Board’s Regional Consultative Group for Asia convened in Colombo on April 29, focusing on recent developments and vulnerabilities in financial markets that require closer scrutiny. Discussions revolved around promoting the implementation of the FSB regulatory framework for crypto-asset activities across Asia, as well as exploring the implications of artificial intelligence’s increasing use
In a bid to bolster its foreign exchange reserves, Sri Lanka’s central bank made significant purchases totalling $113 million from forex markets in December 2023, bringing the annual total to $1.895 billion, as per official data. This accumulation of reserves was facilitated by the central bank’s deflationary policies, aimed at stabilizing the country’s monetary system
The central bank of Sri Lanka has highlighted the country’s ongoing recovery from economic challenges amidst global risks, emphasizing the crucial role of the International Monetary Fund (IMF) program in maintaining confidence and stability. According to the Monetary Policy Report released in February, the continuation of the IMF Extended Fund Facility (EFF) arrangement and the