Sri Lanka to continue relaxing exchange controls: Deputy Governor

Oct 27, 2014 (LBO) – Sri Lanka will continue to liberalize exchange controls to encourage the investments that needed to maintain high economic growth and to link more with global business Central bank Deputy Governor P Samarasiri said. He said the exchange control activities started in Second World War to protect the foreign exchange earnings they had during that time.

After the war, many Western countries and European countries took off their exchange controls, Samarasiri said.

But countries on our part of the world continued exchange controls willingly,
Removing exchange controls means you are open to world business,

If you really analyze that is one of the reasons for our country to stay lower income.

In Sri Lanka, the exchange control environment is almost liberalized, P Samarasiri, Deputy Governor of Central bank said.

Now the current account is fully liberalized, with no control for import, export or services; it is fully liberalized,

Capital transactions are also now largely liberalized; any foreigner can come here, invest and take the money out.

However he said, the exchange controls for Sri Lankans yet to be relaxed fully.

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