Sri Lanka to continue relaxing exchange controls; CB governor

Tuesday, 05 March 2013 - 12:46


Central bank governor Nivard Cabraal said Sri Lanka will continue to liberalise foreign exchange controls to encourage the investments needed to maintain high economic growth.

Governor Cabraal said in 2008 there was a sudden exit of capital from Sri Lanka because of global conditions.

Cabraal also said the central bank was considering lifting restrictions on repatriation of profits by foreigners investing in property in Sri Lanka.

He further said Sri Lanka needs an annual domestic savings rate of around 34 percent of gross domestic product on a consistent basis over the next few years to maintain economic growth at around eight percent.