Regulatory Alerts2018-01-08 | Circular No. 1 of 2018Implementation of Budget Proposal on Usance Letter of Credit Facilities
The Central Bank of Sri Lanka directs licensed commercial and specialized banks to cease issuing usance letter of credit facilities for motor vehicle imports. This directive implements a parliamentary-approved budget proposal communicated by the Ministry of Finance and Mass Media. The restriction takes effect on January 1, 2018, applying to all financial institutions under the bank's supervision.
El eoor @o OcoaBO @on&ora to6du ornidl CEMRAT BAI{K OFSRI I.ANIG Oro4 q6ma6 oqorttoo@dcBp o'urdrdl Grogunrtenorp pilorarord;oond Bank Supervlslon Department Our Ref.: 02/ 17 I 500/0590/00 1 g(January 2018 CEOs of Licensed Commercial Banks and Licensed Specialised Banks Dear Sir Implementation of Budget Proposal on Usance Letter of Credit Facilities We write to bring to your attention that the Department of Trade and Investment Policy of the Ministry of Finance and Mass Media has informed the Central Bank of Sri Lanka that all financial institutions should refrain from issuance of Usance Letter of Credit facility for importation of motor vehicles effective from 01.01.2018, as approved by the Parliament under Budget for 2018. You Dir-ector of Bank Supervision CC: l. Director General, Department of Trade and Investment Policy, Ministry of Finance and Mass Media 2. Controller General, Department of Imports and Exports Control 3. Director General, Departments of Customs 4. Commissioner General, Department of Motor Traffic 6 OeD O.De, Eo@ BO, daoa(,d OrOtD, oE. s€, . 5OO, ooreo Of, € Cpiaro I g+u zqnlr,orcsg 6 q66 Dnq, 6rD. 30 Eorrgtlup'l Dtr6uEoE 06r(g6r{ 1 E. Ou. Oa).590, Oen1glir.g 01, e.)d.r6 Leysl 6, ilo, 3q Janadhlpafil Mawatta, Cotombo 1 P . 0. Bu,590, Colombo 01, Srl Lanl€. lJ s+lrz4tt7it @ www.cbsl.gov.lk ( banksup@cbsl.lt