A decision has been reached to lift cash margin deposit restrictions imposed by the Central Bank of Sri Lanka on the importation of non-essential goods with immediate effect.
Governor of the Central Bank of Sri Lanka Ajith Nivard Cabraal said with the removal of restrictions, businesses and importers must ensure they act responsibly.
The six-month roadmap for ensuring macroeconomic and financial system stability was unveiled this morning by the Governor at a ceremony held at the CBSL.
The Governor said the new economic plan has been formulated with the aim of ensuring stability of macroeconomic and financial systems during the next six months.
Ajith Nivard Cabraal said the plan has been formulated covering all major sectors of the country.
Two weeks ago, strict import restrictions were imposed on 623 non-essential items due to severe dollar reserve deficits that affected the economy.
However, Governor Cabraal said Sri Lanka’s foreign reserves are USD five billion at present.
Governor Cabraal said they hope to release foreign currency to the market to settle crude oil tariffs by increasing liquidation.
He said doubts should not persist pertaining to a fuel or gas shortage due to the lack of funds, claiming the Central Bank will act accordingly to prove all such claims wrong.
The Governor said the Central Bank will intervene to liquidate funds in order to delay all loans.
He said a statement pertaining to the Rs.15 billion will be issued within the next two weeks.
Governor Cabraal said concessions provided to individuals travelling abroad to carry money will continue from the 1st of January adding funds will also be provided if any individual hopes to obtain funds for education or health reasons.
On a separate note, Governor Cabraal said all banks and financial institutions will be instructed to suspend the acquisition of properties including vehicles that have defaulted on instalments within the next six months through parate execution.
He said the Central Bank will intervene to take necessary action against six financial institutions that have collapsed.
He said action will be taken against money laundering laws adding they will observe the global situation when doing so.