Departments

For the smooth functioning of the CBSL, the departments of the Bank are grouped into four key business areas, namely -Economic and Price Stability; Financial System Stability; Currency Issue & Management and Agency Services to Government and three support services areas , namely -Human Resources Development and Management; Corporate Services; and Policy Review and Monitoring. The departments are headed by a Director (or equivalent), reporting to the Governor or a Deputy Governor through an Assistant Governor, while the Internal Audit Department reports directly to the Governor and the Monetary Board. 

One Deputy Governor is in charge of the Economic and Price Stability group and the other is in charge of the Financial System Stability group. The departments under the Currency Issue and Management and Agency Services groups report to one of the two Deputy Governors, while all departments in the three support services groups report to the Governor, through their respective Assistant Governors. 

Economic Policy Advisory Cluster

Economic Research Department

    • Provide timely recommendations to the management on monetary policy with comprehensive monetary and economic analyses and assessment of risks arising from real, external and fiscal sector developments to maintain inflation at projected levels over the medium term along with a comprehensive analysis of global developments.
    • Collect and compile relevant data with adequate coverage and quality for analysing, estimating and forecasting economic variables to assist the Market Operations Committee (MOC), MPC and MB in their decision-making and update leading indicators of economic performance and trends.
    • Identify external vulnerability factors and shocks to the exchange rate and the balance of payments (BOP) and make timely policy recommendations to ensure viability and stability of the external sector. Monitor market developments to identify any pressure on the exchange rate and reserves, and recommend appropriate policies to reduce such pressure. Project the BOP and official reserves for the near term and medium term.
    • Compile and publish external sector statistics according to the accepted data reporting standards such as the Sixth edition of the Balance of Payment Manual (BPM6).
    • Compile and publish Merchandise Trade Statistics according to the internationally accepted data reporting standards.
    • Provide policy advice to the government, government agencies and public institutions on matters of economic importance.
    • Facilitate the continuation of the three-year IMF Extended Fund Facility (EFF) obtained in June 2016.
    • Conduct of Public and External Debt Sustainability Analysis for Sri Lanka to better detect, prevent and resolve potential crises.
    • Collect, compile and analyze data, prepare reports and assist the Management to disseminate information on economic developments and economic policies.
    • Promote a research culture among the staff and facilitate the conduct of research for the officers in the Bank and enhance public awareness on topical issues.
    • Maintain close contact with international agencies such as the IMF, SEACEN, SAARCFINANCE and participation in investor meetings and involve proactively in the sovereign rating process.

Statistics Department

    • Forecast key macroeconomicvariables and disseminate for policy formulation.
    • Compile Indices and Provincial Gross Domestic Product for policy formulation.
    • Collect data through Surveys, Survey/Teacher Investigators and Relevant Authorities and analyse for policy formulation.
    • Disseminate information through Analysing data and recommending policy advice and Publishing relevant data and information.
    • Engage in Representing the Central Bank in various Committees, Make available research and policy papers and Knowledge sharing.
    • Engage in Continuing the process of contributing to improve the Doing Business Rankings of the country and Tracking the development in global indices

Macroprudential Surveillance Department

    • Actively participate in the process of building an institutional arrangement for complete and reliable granular data.
    • Improve Financial System Stability Indicators and use of the composite Financial System Stability Indicators.
    • Use Financial Soundness Indicators to assess the health of the sub-sectors of the financial system and use of the Early Warning System model to assess the pressure on local currency.
    • Analyse the cyclical trends in credit growth to identify the episodes in which credit to the private sector
    • grows by more than during a typical business cycle expansion and Assessing the financial institutions’ perception of risk to the financial system.
    • Prepare periodic reports and publications on financial system stability.
    • Undertake research and / or surveys on areas relevant to the financial system stability and developments/reforms.

International Operations Department

    • Manage the reserves portfolio inline with the objectives of reserves management.
    • Conduct performance monitoring of reserve management, counterparty correspondence / KYC compliance whilst ensuring smooth functioningn of Treasury Management System (TMS), Performance Analysis Tool (PAT) system and support activities of reserves management.
    • Build - up international reserves through non-borrowed sources.

Domestic Operations Department

    • Conduct Monetary Operations and Regulate Statutory Reserve Requirements.
    • Enforce strict compliance with Regulations and update regulations as and when necessary.
    • Provide account Facilities and enforce regulations.

Information Technology Department

    • Improve and maintain ICT infrastructure.
    • Proactive involvement in major software application developments with integrated project management concept.
    • Assess and Prevent cyber-attacks and IT related security breaches.

Department of Foreign Exchange 

    • Conduct awareness programmes and capacity building.
    • Grant permission to engage in money changing activities.
    • Introduce new foreign exchange reporting & monitoring systems to Authorized Dealers (ADs) and Restricted Dealers (RDs) to facilitate reporting requirement.
    • Conduct on-site and off-site examinations.
    • Take action on no-compliance and legal proceedings.

Currency Department

    • Issue new note series to enhance the quality standards of currency notes.
    • Develop a new mechanism for coin management.
    • Mint coins and print currency notes and Issue Currency.
    • Improvements in currency forecasting and analysis process.
    • Process currency notes/coins to minimize cost and to maintain good quality currency notes/coins in circulation.
    • Conduct regulatory functions.
    • Conduct awareness programs to educate public, law enforcement officers, financial institutions and Cash-in-Transit Companies (CITs) on security features of currency notes, clean note policy and preventing the willful defacement and willful mutilation of Currency notes.
    • Enhance best practices of currency use among the general public.
    • Set up state of arts Cash Processing Centre (CPC).
    • Enhance the contingency storage capacity.

Communications Department

    • Strengthen communication via print and electronic means to meet expectations of stakeholders and monitor reporting/ reviews.
    • Adhere to National Language policy in Communication.
    • Serve the general public effectively by providing information under the “Right To Information Act (RTI)” and “Tell to President Grievance Handling System”.
    • Enhance employees’ writing skills, improve the quality of the CBSL publications and create public awareness on CBSL policy outcomes, functions, programmes on Regional Development and other related matters through publications and represent the CBSL in national level exhibitions to create awareness and sell/distribute CBSL publications.
    • Design and page setting work related to publications, leaflets, posters, banners, cover pages, and brochures on request of departments of CBSL.
    • Coordinate and conduct public awareness programmes, seminars and other educational programmes for school and university students and professionals on Economics, Banking and Finance and other activities related to the CBSL.
    • Ensure providing efficient printing/ publishing of statutory reports and departmental requirements.
    • Conduct Open Day programme with assistance of Regional Offices to enable stakeholders outside Colombo, (public, financial institutions, government sector etc.) to access services provided by CBSL and improve reputation of the Bank.
    • Organize the TV Quiz programme - Econ-Icon Season IV.
    • Monitor media reports regularly and submit CBSL related news to the management and disseminate Press Releases to all staff.
    • Cover important events through Photography and videography.
    • Raise human capital and capacity building of staff of CBSL as well as stakeholders and bridge their knowledge needs.
    • Identify knowledge requirements of the CBSL and its stake holders and acquisition.
    • Process knowledge assets and distribution.

 

Financial Sector Regulation & Supervision Cluster

Bank Supervision Department

    • Strengthen communication with banks, Auditors and other regulatory agencies.
    • Provide training and development to staff and assist capacity building in the financial sector.

Supervision of Non-Bank Financial Institutions

    • Strengthen the supervisory process of NBFIs.
    • Strengthen the communication with NBFIs, auditors and other regulatory agencies.
    • Curtail unauthorized finance business.
    • Enhance competencies of the staff of SNBFI and NBFI sector.

Public Debt Department

    • Enhance the effectiveness of Primary auction participation for Government Securities.
    • Broaden & diversify foreign investor base in Government securities.
    • Enhance the Safety of investors in Government Securities.
    • Service debt obligations.
    • Ensure the transparency in public debt management.

Resolution & Enforcement Department

    • Initiate resolution of identified distressed financial institutions.
    • Develop new systems and procedures to identify, assess and monitor financial institutions to evaluate the necessity of intervention.
    • Develop new legal frameworks or amend existing laws for effective and efficient resolution and enforcement.
    • Identify and make enforcement over unauthorized financial institutions and/or prohibited schemes.
    • Maintain, administer and execute of the Sri Lanka Deposit Insurance and Liquidity Support Scheme.

Security Services Department

    • Strengthen perimeter security of the Head Office.
    • Strengthen Security for Cash in Transit Operations.
    • Conduct surveillance and security checks within CBSL premises.
    • Manage Fire Prevention system to mitigate the risk of Fire at CBSL HO, Ros, CBS and Holiday homes.

Finance Department

    • Prepare monthly and annual financial statements in compliance with MLA and IFRS.
    • Submit quarterly reports to the MB on financial position and performance and submit draft annual financial statements to the Monetary Board as per the MLA requirements.
    • Conduct physical verification of fixed assets of the Bank and updating the Register and enhance the effective
      internal controls on financial reporting.
    • Make available the annual budget linking the action plans of the respective departments under the strategic plans.
    • Make Salary and other related payments through SLIPs.
    • Make payments to external suppliers and internal parties within budgetary provisions.
    • Carry out foreign loan repayments and disbursements timely and accurately.
    • Maintain the system of staff welfare loan recoveries in timely manner.
    • Prepare monthly cash flows and investment plans and submit to DG in charge of Finance Department for information and consideration and inform Monetary Board on the performance of internal funds and request to ratify the investments made.
    • Report previous/current month’s performance of investments and investment plans to the IC and Function as the secretary to the Investment Committee.
    • Make investments in a prudent manner subject to acceptable risk norms and the investment Policy statement/Guidelines (IPG/IPS) for internal funds.
    • Carry out actuarial valuations of five superannuation funds as per the requirements of IFRS and prepare annual financial statements of superannuation funds, which are maintained seperately from the CBSL Balance Sheet, in compliance with the Sri Lanka financial reporting standards (SLFRS) and international best practices.
    • Ensure the procurement/disposal of goods and services to/of the bank are done in most economical and beneficial way to the bank.

Payments & Settlements Department

    • Ensure smooth operations of Payment Systems with timely availability of the system for participating institutions for effecting payments and settlements on each business day.
    • Facilitate interface software upgrading on time to accommodate periodic changes arising from operational and policy decisions and provide training to operational staff on related changes.
    • Conduct BCP activity on payment systems, operations of LankaSettle participants and service providers.
    • Settle all Forex, money market, derivatives, metal, third currency FX and fixed income securities transactions accurately on time, monitor the bond maturity receipts and coupon income of fixed income securities related to foreign reserve management of IOD and ACU transactions carried out by the ACU Division of PSD and Settle all ACU transactions accurately on time.
    • Ensure uninterrupted communication through incoming and outgoing SWIFT messages to effect payments smoothly.
    • Facilitate the developments of payment and settlement infrastructure, License/register eligible service providers to act as operators of retail payment systems and supervise / oversee the compliance of the service providers with the Regulations and Guidelines on electronic payment systems.
    • Collect, compile and analyze data on PSS, Enhance the awareness and facilitate the expansion of electronic retail payment systems.
    • Participate at the meetings conducted by the SAARC Payment Council (SPC), SEACEN, ACU Board of Directors meetings and Technical Committee meetings etc.

 

Capacity Building & Support Cluster

Human Resources Department

    • Recruit necessary staff at regular intervals or at appropriate times depending on the requirements of the Bank with the approval of the MB.
    • Conduct mentoring sessions/orientation programs for relevant categories of employees.
    • Outsource specific services as per the requirements of the Bank.
    • Carry out Performance Evaluation for employees.
    • Implement grade and class promotion schemes.
    • Implement the annual job rotation scheme for employees.
    • Maintain continuous dialogue between the Management and Trade Unions.
    • Facilitate and coordinate the provision of internship training to be given for undergraduates.
    • Coordinate the provision of training to be given for students of ICASL.
    • Attend to other work and Administrative matters of the Department.

Regional Development Department

    • Ensure access to finance for the farming community through the credit schemes implemented by the Central Bank of Sri Lanka with the assistance of other relevant Government Institutions/Agencies.
    • Create awareness among the farmers and small and medium scale farmer entrepreneurs.
    • Promote one village one-product concept for commercial scale agriculture products by selecting the potential villages.
    • Initiate post monitoring mechanism in coordination with ROs of CBSL to ensure the successful implementation of credit delivery mechanism of the CBSL.
    • Encourage MSMEs in Agriculture, Industry and Services sectors by ensuring availability of affordable financial services for production oriented economic activities.
    • Conducting Field visits for monitoring of sub loans granted to MSMEs under loan schemes implemented by the CBSL.
    • Form societies of low income families under PAMP II RF and conduct training programmes for beneficiaries under PAMP II, PAMP II RF and other loan schemes.
    • Conduct skills development programmes and Capacity Building programmes.
    • Use electronic and print media to fill the information gap among the general public on credit schemes implemented by the CBSL, financial literacy and financial inclusion, SME sector development etc.
    • Develop a fully Automated System.

Regional Office Management Department

    • Continue transfer policy for 5 years to ROO from newly recruited staff class and non-staff classes.
    • Conduct 50 examinations, inspections and other activities regionally including surveys.
    • Provide 15 trainings on various subjects to enhance Skills & capacity.
    • Organize, and conduct 770 various programmes and facilitate around 100,000 of public, strengthening credibility of the CBSL and enhancing financial inclusion and inclusive growth.
    • Make 325 times regional presence on various matters.
    • Conduct 02 Impact assessments and 03 Reports on evaluation of strategies.
    • Strengthen administration, supervision and monitoring of ROO activities.
    • Conduct 70 supervisions on programmes and work plans of ROO.
    • Conduct 150 policy, administrative, budget and human resources matters.

Centre for Banking Studies

    • Enhance the financial literacy of the general public and the access to finance.
    • Educate the general public and increase the regional presence of the CBS.
    • Develop an integrated IT system for CBS.
    • Establish a Wifi Zone in CBS and make CBS a paperless training centre.
    • Introduce pre-programme survey.
    • Conduct training programmes as per the programme calendar 2018 to uplift the performance and knowledge of the financial sector professionals.
    • Educate the future generation of the Central Bank of Sri Lanka.
    • Conduct programmes at regional level to fulfill the training requirements of the financial institutions and the general public in the regions.
    • Conduct advanced training programmes as CBS Signature Programmes to develop the professionals as high performers.
    • Improve the quality of the programmes to meet the expectations of participants.
    • Assess the changing training needs of the stakeholders to set the CBS Road Map for 2019.
    • Conduct educational workshops for university students and school children.

Training & Development Department

    • Prepare the Training and Development Plan including the critical competency gaps of the employees of the Bank.
    • Revisit the policies related to the postgraduate studies and short-term local training.
    • Facilitate the staff for postgraduate studies local and foreign.
    • Facilitate short term training opportunities to bridge the critical competency gaps identified in the Bank.
    • Organize Training Committee meetings to take decisions on the matters relating to Training & Development.
    • Facilitate the staff to acquire professional memberships from reputed local and international institutes.
    • Improve the short-term foreign training process of TDD by introducing an electronic based system.

Staff Services Management Department

    • Approve and grant of housing loans.
    • Approve and grant Provident Fund and Staff Benefit Scheme loans.
    • Enable convenient access to accurate information on the granting loan, recovery of loans granted under SH(M)LS to provide timely and quality service to employees and pensioners.
    • Reimburse medical expenses of employees, pensioners at their request and provided a prompt service in terms of information dissemination and medical bill reimbursements.
    • Update the MBS database with new enrolments provide efficient Medical Centre services to the bank staff on duty.
    • Provide tasty and nourishing breakfast, lunch serve tea to all staff and meet special departmental requests for food and beverages.
    • Conduct Physical verification of stocks at the restaurant stores and prepare/ annual accounts for the restaurant.
    • Improve and upgrade the welfare services to provide quick services to employees.
    • Extend facilities under Death Donation Scheme, Death Relief Fund, Distress Relief Fund, Disaster Relief Fund and Investment / supervision of Distress Relief Fund, Death Relief Fund and Death Donation Scheme.
    • Carry out control measures to minimize financial, operational & other risks (improve efficiency) in departmental activities.
    • Budgetary preparation, Goal settings, Performance evaluation, Progress reports, Strategic planning and other Administration Activities.

Employees' Provident Fund

    • Enhance the institutional capacity to ensure effective and efficient fund management.
    • Identify new investment opportunities and maintain appropriate asset allocation to generate highest level of risk adjusted return.
    • Review and rebalance the portfolio to be in line with target asset allocation and trade in the secondary market in fixed income and equity considering the behavior of the yield curve, market liquidity, market sentiments and other macroeconomic factors.
    • Improve the framework for managing financial risks.
    • Improve web based ICT technologies to link employers, employees and other stakeholders.
    • Enhance the quality of existing database and expedite the process of upgrading of a Member Centric Database (MCD) Linked using the NIC number for both EPF Department and Department of Labour (DL).
    • Improve awareness among stakeholders on EPF operations to improve the level of service delivery and execute a comprehensive programme to maintain complete, accurate and updated member database.
    • Issue half yearly member account statements and issue member balance certificates for housing loan.
    • Submit Annual Accounts to the Monetary Board, MOL, and MOF and publish the accounts in Newspapers.
    • Verify the accuracy of EPF collections and refunds and other transactions.
    • Settle defaulted housing loan installments to the lending institutions and respond to member inquiries in expeditious manner.
    • Submit information to the Auditor General’s Department to conduct the External Audit of EPF and compilation of audit responses.
    • Submit and disseminate data/information to stakeholders.
    • Conduct internal audit meetings with Internal Auditor and conduct progress review meetings with Labour Department.
    • Expedite the process of upgrading of a Member Centric Database (MCD) Linked using the NIC number for both EPF Department and Department of Labour (DL).
    • Procure all stationery items,computer equipment, office equipment & furniture and fittings as
      required by the department timely and procure outsourced services to enable the department to enhance the efficiency and support to smooth functioning of the Department.
    • Coordinate with other departments of the CBSL and institutions to achieve the goals of EPF Department.

Secretariat Department

    • Prepare the Annual Procurement Plan and ensure procurement of goods and services according to the plan.
    • Maintain the stationery store.
    • Assist procurement related matters of other departments.
    • Carry out activities related to the Board of Survey and coordinate disposal of unnecessary obsolete documents, stationery and other noncapital items of the Bank.
    • Obtain a comprehensive Insurance cover for CBSL assets at a competitive price after assessing individual risks of these assets.
    • Assist Bank employees who are going abroad on official and/or private visits.
    • Handle leave and other general administrative matters of the Bank.
    • Facilitate the training and skills development of Bank employees.
    • Carry out mailroom activities and conduct commemorative events.
    • Pay superannuation benefits and handle other matters related to superannuation schemes.

Facilities Management Department

    • Comprehensive Refurbishment and Retrofit of CBSL Head Office Building to enhance the structural soundness, service quality and overall efficiency.
    • Renovate/Reconstruct CBSL buildings.
    • Install/upgrade Generators, Elevators and other electric equipment.
    • Attend event management and provide communication services.
    • Manage service agreements while enhancing the quality.
    • Provide critical services (electricity, lighting, air conditioning and drinking water) under regular inspection and supervision.
    • Facilitate procurement activities as required.
    • Provide transport services safely and punctually with CBSL and outsourced vehicle providers to meet day to day demand.

 

Risk Management & Compliance Cluster

Internal Audit Department

    • Prepare Risk-based Annual Audit Plan (AAP), based on strategic audit plan.
    • Perform the process audit assignments, special audit assignments, spot audit and followup the level of implementation of audit recommendations.
    • Report the progress.
    • Follow the Global Standards for the conduct of audit.
    • Conduct of Quality Assessment Review (QAR).
    • Facilitate to enhance the awareness of stakeholders on Risk-based Assurance Services, Risk Management and Controls.
    • Facilitate AAC activities.

Policy Review & Monitoring Department

    • Implement and improve new Strategic Planning process facilitatingthe formulationof strategic priorities for the forthcoming period.
    • Review and report progress of the implementation of Strategic Priorities and Departmental Action Plans2018 on quarter basis.
    • Facilitate to finalize Departmental Action Plan for 2019.
    • Publish the CBSL Action Plan 2019.
    • Coordinate with the Ministry of National Policies and Economic Affairs in respect of progress monitoring.
    • Facilitate to provide training opportunities to staff.

Legal & Compliance Department

    • Advise the management on legal issues on policy matters and strategic and operational targets of the CBSL.
    • Develop new laws and, review existing laws and legal instruments.

Risk Management Department

    • Improve Market Risk Monitoring pertaining to International Reserves Management.
    • Improve Credit Risk Monitoring pertaining to International Reserves Management.
    • Improve Financial Risk Monitoring pertaining to investments of Internal Investment Fund (IIF).
    • Improve Financial Risk Monitoring pertaining to investments of EPF funds.
    • Assess, Monitor and Report Market Risks in International Reserves, independently.
    • Assess, Monitor and Report Credit Risks in International Reserves, independently.
    • Assess, Monitor and Report Market and Credit Risks in Internal Investment Funds of the CBSL, independently.

Financial Intelligence Unit

    • Implement the FATF Recommendation 37 (International Cooperation) by amending MACMA.
    • Implement the FATF IO 3 (FI Supervision).
    • Implement the FATF IO 3 (DNFBP Supervision).
    • Implement the FATF IO 5 (Amending Companies Act).
    • Implement the FATF IO 11 (Proliferation TFS On DPRK and Iran).
    • Implement MER recommendations and rectify gaps identified by the ME.
    • Collect and analyze reports from institutions coming under the purview of the FIU and maintain and update the database.
    • Carry out examinations on FIs and DNFBPs, and impose sanctions for non-compliances.
    • Disseminate information to the appropriate domestic and foreign law enforcements or supervisory authorities.
    • Conduct training programmes for the stakeholders including FIs, DNFBPs, LEAs, SAs etc.
    • Report progress on level of compliance to the FATF and APG.
    • Issue FIU publications.
    • Publish amendments to UNSCR designated lists under TFS regime.