Regulatory Alerts2020-09-30 | Finance Leasing Act Directions No. 6 of 2020Amendments to Directions on Liquid Assets
The Central Bank of Sri Lanka issued amendments to the Finance Leasing (Liquid Assets) Direction No. 04 of 2012 for Specialized Leasing Companies (SLCs). The directive mandates SLCs to maintain minimum liquid assets equal to at least five percent of total liabilities and off-balance sheet items, excluding shareholder liabilities, securitizations, and long-term borrowings. Valid for six months until 31 March 2021, the updated requirements aim to alleviate liquidity stress during the ongoing COVID-19 pandemic.
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