• You are in
  • Home
  • Relaxation of Foreign Exchange Transactions
Relaxation of Foreign Exchange Transactions

The following measures will be implemented with effect from 11th March 2010, in relation to foreign exchange transactions:

  • The following categories of resident Sri Lankans will be permitted to open and maintain bank accounts abroad:

    • Persons earning foreign exchange from investments abroad as approved by the Central Bank,
    • Persons engaged in providing international professional services in Sri Lanka or abroad,
    • Persons engaged in any occupation abroad,
    • Persons who have proceeded outside Sri Lanka for education and/or for medical treatment, and
    • Exporters of goods.

  • Forward contracts in foreign currency to cover foreign exchange transactions related to trade in goods and services, remittances and approved foreign lending and borrowings, will be permitted.

  • The present 100% margin deposit requirement against advance payments on the invoice value of selected items to be imported, will be removed.

  • The suspension on the pre-payment of import bills will be lifted.

  • The existing different investment accounts, namely Share Investment External Rupee Accounts (SIERA), Treasury Bond Investment External Rupee Accounts (TIERA), Treasury Bill Investment External Rupee Accounts (TIERA-2), and Treasury Bill/Bond Investment External Rupee Accounts – Deshabhimani (TIERA -D) maintained by non-residents in commercial banks will be permitted to be unified. The unified account will be renamed as Securities Investment Account (SIA).


Banking News