July 18, 2013 (LBO) – Sri Lanka will begin regulating micro financing institutions with large entities coming directly under the central bank information minister Keheliya Rambukwelle said. A third category coming under the Commissioner of Co-operative Development and Registrar of Co-operative Societies, Divineguma Department will be exempted from Central Bank regulations.
They will come under existing statutes. The cabinet of ministers had approved the regulatory and supervisory framework which accepts deposits from the public.
While larger or Tier I micro financiers will be directly regulated by the Central Bank, second tier ones will be monitored by audit firms approved by the Central Bank.