Sri Lanka’s CB to remove restrictions on withdrawals from NRFC/RFC accounts

Jan 04, 2016 (LBO) –  Sri Lanka’s Central Bank is to remove restrictions on foreign currency withdrawals from foreign currency bank accounts by the end of the week, Governor Arjuna Mahendran said.

“By the end of the week we hope to remove restrictions on money withdrawals from foreign  currency bank accounts such as Non- Resident Foreign Currency (NRFC) and Resident  Foreign Currency (RFC) accounts,” he said.

Mahendran was speaking at a press conference held at the Central Bank on Monday.

Earlier foreign currency withdrawals were limited for activities like education or medical purposes and banks had to ensure that transactions were only for current account purposes.

“But banks will now remit foreign currency payments without questions being asked,” he said.

However domestic withdrawals from these accounts still have to be made in rupees.