Regulatory Alerts2017-02-23 | Finance Business Act Direction No. 2 of 2017Minimum Core Capital Directions No. 02 of 2017
The Monetary Board of the Central Bank of Sri Lanka issued Directions No. 02 of 2017 to mandate minimum core capital levels for Licensed Finance Companies to ensure sector safety and soundness. The directive requires entities to maintain unimpaired core capital of Rs. 400 million until the end of 2017, with progressive increases to Rs. 2.5 billion by January 1, 2021. Non-compliance triggers regulatory measures such as deposit ceilings, dividend freezes, and business restrictions, which are lifted once the capital requirements are met.
Share