Facility to open special foreign currency accounts extended in SL

The Special Deposit Accounts (SDAs) facility offered by the Central Bank since April 2020 to accumulate foreign currency has been extended till April 2021, the Central Bank said on Tuesday.
Since October 7, 2020, total deposits in SDAs amounted to approximately US$272 million. This facility was offered to increase the quantum of foreign cash available to the government to be used in foreign currency transactions.
In addition, considering the favourable effects of retaining such foreign exchange within the country, the government has allowed SDA holders, who wish to keep maturity proceeds of SDAs in Sri Lanka beyond the designated date of maturity, to renew and continue SDAs as normal deposits with authorized dealers.
The funds held in SDAs so continued as normal deposits will be eligible only for the interest rates offered by the authorized dealers for normal term deposits of the respective banks. Upon maturity, such funds are; freely convertible and repatriable outside Sri Lanka on any future date; permitted to be transferred into an Inward Investment Account or a Personal Foreign Currency Account, if the account holder is eligible to open or currently maintain such an account.