President’s US$ 1 billion loss claim: COPF to inquire from Central Bank officials

Colombo, June 27 (Daily Mirror) - In the wake of President Anura Kumara Dissanayake’s revelation that Sri Lanka lost nearly US$ 1 billion in foreign exchange due to fraud involving the banking system, Parliament’s Committee on Public Finance (COPF) is set to question Central Bank officials next week, an official said.

The COPF is scheduled to meet next week to discuss laws relating to money laundering and the financing of terrorism.

Its Chairman, Samagi Jana Balawegaya (SJB) MP Dr. Harsha de Silva, told the Daily Mirror yesterday that the President’s disclosure would “definitely” be taken up during the meeting.

“The President’s statement is a matter of serious concern, and it will certainly come up for discussion when we meet next week,” he said.

Addressing Parliament earlier this week, President Dissanayake said that around Rs. 300 billion had been siphoned out of the country through illicit financial transactions, resulting in a loss of approximately US$ 1 billion in foreign exchange.

He said the illicit outflows included proceeds generated through criminal activities such as drug trafficking, highlighting the need for stronger measures to combat money laundering and financial crimes.

The government’s latest move comes amid renewed efforts to tighten Sri Lanka’s legal framework on anti-money laundering and countering the financing of terrorism (AML/CFT), as the country seeks to strengthen financial governance and comply with international standards.

Officials have previously indicated that amendments to the relevant laws are being expedited to enhance the country’s capacity to detect and prevent illicit financial flows.