A Gazette Notification has been issued restricting the import of gold above 22 carats as jewellery.
State Minister of Finance Ranjith Siyambalapitiya said the measure was resorted to as a means to prevent gold smuggling.
Previously the regulation was brought into place banning air-passengers from entering the country while wearing gold jewellery of more than 22-carat.
Passengers were however allowed to carry the jewellery if they obtain permission from the Imports and Exports Controller General prior to arrival.
The Ministry of Finance issuing a statement at the time said the government decided to impose restrictions on air-passengers arriving in the island from wearing gold jewellery in a bid to curb smuggling of gold into the country.
The statement noted that the new restriction will not be applicable to returning Sri Lankan expatriate workers or normal passengers.
According to the statement, 50kg of gold are smuggled into the country daily.
The statement said on a regular basis, certain individuals leave for neighbouring countries and return with 24-carat gold jewellery.
The Finance Ministry said due to the smuggling of gold, the government incurs a loss of nearly USD 30 million in income monthly.