CBSL imposes import limitations on 693 non-essential/non-urgent HS code items

The Central Bank of Sri Lanka (CBSL) has decided to impose a 100 percent cash margin deposit requirement against the importation of selected non-essential/non-urgent goods.

The decision applies for goods imported under Letters of Credit and Documents against Acceptance terms with Licensed Commercial Banks.

The Central Bank announced that mobile phones, TVs, watches, refrigerators, rubber tyres, fruits, Air Conditioners, beverages, and cosmetics are among the 623 HS codes that fall under the authorized goods.

Issuing a statement, the Central Bank further said the directive, which was taken by the Monetary Board of the Bank at its meeting held yesterday (08), comes into effect immediately.

The bank added that the decision has been taken to support the ongoing efforts to preserve the stability of the exchange rate and foreign currency market liquidity, particularly by discouraging excessive imports of speculative nature.

A summary of product categories that are subjected to cash margin deposit requirements, along with information on import expenditure under each category in 2019, 2020, and thus far in 2021 (provisional), is given in the Table below.