The Monetary Board of the Central Bank of Sri Lanka on 14th February 2018, acting in terms of the Regulations made under the Registered Stock and Securities Ordinance and the Local Treasury Bills Ordinance, has decided to extend the suspension from carrying on the business and activities of a Primary Dealer by Pan Asia Banking Corporation PLC (PABC) for a period of six months with effect from 10.00 a.m. on 15th February 2018, in order to continue the investigations being conducted by the Central Bank of Sri Lanka.

The Central Bank wishes to emphasize that this regulatory action restricts PABC’s access to the primary auctions for government securities. It does not affect any of the other activities/ services of PABC. 

Attention of the Central Bank of Sri Lanka (CBSL) has been drawn over the media reports on Government debt recording and maintenance of accounts published on 8th February 2018. 

CBSL compiles and publishes Central Government debt based on its database on issuance of domestic debt and international commercial borrowings on behalf of the Government and also the information it receives from the Ministry of Finance (MoF) and External Resources Department (ERD) of the Ministry of National Policies and Economic Affairs. CBSL regularly and closely coordinates with MoF and ERD towards the accuracy of its published debt statistics and in this connection it also has the accessibility to the debt recording system maintained by ERD. Further, in compilation and servicing of Central Government debt, CBSL uses its own recording systems with respect to domestic and international commercial borrowings. Central Government debt so compiled by CBSL has been reviewed and accepted by international agencies including the International Monetary Fund.