Under the current foreign exchange crisis, the import restrictions should be relaxed in a very planned and meticulous manner, Cabinet Spokesman Minister Bandula Gunawardena said today.
Addressing the post-Cabinet media briefing, Minister Gunawardena said that he believes that, however, it will not be possible to import motor vehicles etc. for some time.
He made the remarks while addressing the cabinet decision regarding the amendments to the currently imposed foreign exchange orders and the implementation of the phased removal plan of foreign exchange restrictions.
“I think that the Ministry of Finance took permission to present to the Parliament, which regulations will be relaxed. As I mentioned earlier, under the current foreign exchange crisis, the import control laws are being eased in stages, in a very planned and meticulous manner,” he said.
The minister further said that the relevant institutions including the Central Bank of Sri Lanka had informed the Parliament that restrictions would be eased in stages, based on which Cabinet approval was obtained in this regard.
Proposed amendments for foreign exchange orders already implemented for implementing the plan to lift the foreign exchange limitations step by step.
Sri Lanka is bound to lift the administrative measurements taken step by step when the country’s balance of payments reaches a steady stance as per the International Monetary Fund report on Sri Lanka.
Adhering to that, the recommendation of the governing board of the Central Bank of Sri Lanka is to implement the steps under the phase-wise plan of releasing foreign exchange limitations applicable to banning the conversion of Sri Lankan rupees to foreign exchange for certain mobile foreign exchange transactions.
Accordingly, the Cabinet of Ministers approved the proposal furnished by the President in his capacity as the Minister of Finance, Economic Stabilization and National Policies to publish the orders formulated as per the provisions of section 7 (1) of the Foreign Exchange Act No. 12 of 2017 and to forward the same to the Parliament thereafter for its concurrence.