By Shenal Fernando and Imsha IqbalSri Lanka’s export industry is discouraged by the decision taken by the Central Bank of Sri Lanka (CBSL) to suspend interest rates for foreign currency accounts of export proceeds, The Morning Business learns. He emphasised that stable policy changes or measures that the Government can take would provide a helping hand to the exporters. Exporters are already subjected to a mandatory 25% conversion requirement on export proceeds, which the exporters are complying with under protest. If the CBSL is going to impose more restrictions on exporters, how will this facilitate export revenue growth, Wijeyarathne questioned. For example, they might under-invoice and keep that money separately in a foreign country without repatriating.”Meanwhile, commenting on this proposed plan to remove interest rates on foreign currency accounts of exporters, Development Interplan Ceylon (Pvt.)

Source: The Nation October 07, 2021 18:56 UTC