Central Bank: Not taking over Samurdhi Bank
View(s):The Central Bank (CB) said on Friday that it’s not taking over the Samurdhi Bank, an issue that raised a lot of heat in the political arena this week. Instead, according to CB Governor Dr. Indrajit Coomaraswamy, the banking regulator will be assisting to strengthen the regulatory and management process of this bank helping the poor adding that the law does not permit any takeover of this institution,
Earlier on Sunday, speaking at the UNP May Day rally, Prime Minister Ranil Wickremesinghe said that he would place the Samurdhi Bank under the CB for better supervision as there was no financial control and regulation in the bank.
This statement drew a chorus of protests including from former minister S.B. Dissanayake, who handled the Samurdhi portfolio and who said the law doesn’t provide for such a takeover.
A management committee comprising top CB officials, Finance Ministry and the Social Empowerment Ministry has been in existence, appointed under the law and tasked with regulating and monitoring the functions of the bank.
He stressed that there is no need to take over the control of the bank.
Elaborating further, Deputy Governor K.D. Ranasinghe said at a special meeting on Friday to discuss this matter, another committee was appointed to make necessary changes to improve, monitor and regulate the functions of the bank, as it was felt there were systematic weakness for the management committee to function.