Banks excluded from domestic debt restructuring process - CBSL governor

The Central Bank (CBSL) governor says the banking system is excluded from the Domestic Debt Optimization (DDO) process, in order to safeguard the treasury, strengthen the economy, and ensure the protection of the 57 million public and private bank deposits in Sri Lanka.

The Central Bank (CBSL) governor says the banking system is excluded from the Domestic Debt Optimization (DDO) process, in order to safeguard the treasury, strengthen the economy, and ensure the protection of the 57 million public and private bank deposits in Sri Lanka.

Dr. Nandalal Weerasinghe explained that the banking system already contributes to the Treasury and the economy through taxes of over 50%.

He made these remarks addressing a special media briefing on Domestic Debt Optimization (DDO) held at the Presidential Media Centre on June 29 morning.

The governor highlighted the severe repercussions that would result from a collapse in the country’s banking sector. To prevent such a scenario, June 30 (Friday) was declared a bank holiday until the parliament approves the restructuring of local debt.