A Gazette will be issued soon to ban open accounts for import activities in a bid to suppress the demand of foreign currency transactions such as Undiyal and Hawala without going through banking system Central Bank Governor Nandalal Weerasinghe said.
As there are acceptable ways for imports using transaction via Undiyal or Hawala importers tend to utilize those ways due to non availability of Dollars in time in the banking system. However they have to pay high prices in the black market while accumulating the demand for such illegal systems. ,” Governor Weerasinghe said.
“Sometime it is for imports that are not essential.”
According to the Governor the Finance Ministry will shortly issue a gazette notice through the Import and Export Control Law.
As per the new regulation at the when imported items clear through Sri Lanka Customs importers should produce proofs for the dollar transactions made through banking systems.
Dr. Weerasinghe hopes that this action will discourage illegal currency activities as the dollar demand decrease.
