Regulatory Alerts2024-10-01 | Banking Act Direction No. 06 of 2024Accommodation to Directors and Related Companies
The Central Bank of Sri Lanka has revoked prior Banking Act Directions governing accommodation granted to directors and related parties of licensed specialised banks. This revocation follows the October 2024 issuance of Banking Act Determination No. 04, which establishes approved securities for such related-party accommodations. The updated framework supersedes the 1997 and 2009 directions, streamlining regulatory compliance for lease-backed trust certificates and other approved securities used to secure director-related accommodations.
01 October 2024 CENTRAL BANK OF SRI LAI\KA BANKING ACT DIRECTIONS No.06 of 2024 DTRECTTONS UNDER SECTTON 76J (1) OF TrrE BANKING ACT NO.30 OF 1988, AS AMENDED ACCOMMODATION TO DIRECTORS AND RELATED COMPAI\IES With the issuance of Banking Act Determination No. 04 of 2024 dated 01 October 2024 on 'Approved Securities for Accommodation Granted to Related Parties of Licensed Banks", the following Banking Act Directions relating to the accommodation granted to directors and related parties oflicensed specialised banks are hereby revoked. Banking Act Directions under 76J (l) dated 21 November 1997 on Accommodation to Directors and Related Companies. Banking Act Directions No. 04 of 2009 dated 02 Septemb er 2009 on Lease-backed Trust Certificates/Lease Receivables as Approved Security for Accommodation to any Director or Close Relation of a Director or to any Concern in which the Director has Substantial Interest. W Dr. P Nandalal Weerasinghe Chairman of the Governing Board and Governor of the Central Bank of Sri Lanlu (i) (ii)