• Move comes amidst DDO, changes to Act ‘unspecified’

The Cabinet of Ministers at its meeting on Monday approved to direct the Legal Draftsman to draft a statute for the amendment of the Banking Act No. 30 of 1988.

The move comes amidst the Government declaring a Domestic Debt Optimisation (DDO) ensuring a five-day stability or cooling-off period for the economy and financial services sector.

“It has been proposed to amend the Banking Act No. 30 of 1988, considering the importance of maintaining a banking sector with the contemporary and resistant capability that assists sustainable economic growth,” the statement comprising the Weekly Cabinet Decisions issued by the Government Information Department noted. 

However, the changes to the Banking Act No. 30 of 1988 were ‘unspecified’.

Separately, the Sri Lanka Banks’ Association (SLBA) yesterday welcomed the assurance by the Central Bank Governor Dr. Nandalal Weerasinghe that financial sector stability will be maintained amidst the forthcoming DRR and it will not impact financial system stability and will not in any way adversely affect depositors in banks or non-bank financial institutions.

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