Resident Sri Lankans who earn dollar salaries and deposited them in forex accounts in the past are calling banks to protest against conversion of their earnings in to rupees against their wishes, multiple customers said.
The forced conversion of foreign exchange came after the central bank issued a gazette ordering merchandise and service exporters to convert their dollars.
Merchandise exporters were allowed to invest 10 percent of their money in Sri Lanka Development Bonds.
But banks have told they are force converting every cent of salaries.
“I was told I am deemed to be a services exporter,” one dollar salary earner said. “I was told my entire salary would be converted against my wishes.”
Another customer at a foreign bank who was notified by text message of forced conversion was given the following message when the move was queried.
“Kindly note that any Sri Lankan residing in Sri Lanka receiving any income/remittances in foreign currency will be in scope for the new Gazette and will be required to convert the Foreign currency to LKR,” the customer was replied.
“If possible please visit the closest branch for further details.”
Another bank asked a customer more time to clarify from the central bank.
Yet another customer was told as follows.
“We have asked the authorities. They gave us a Q and A without directly giving us an answer.”
Existing deposits, earned before October are allowed to be kept, customers were told by banks.
Another customers said he was planning legal action against banks as there was a contractual relationship between banks and customers, which they felt was violated when banks took actions against their wishes.
Economynext
The forced conversion of foreign exchange came after the central bank issued a gazette ordering merchandise and service exporters to convert their dollars.
Merchandise exporters were allowed to invest 10 percent of their money in Sri Lanka Development Bonds.
But banks have told they are force converting every cent of salaries.
“I was told I am deemed to be a services exporter,” one dollar salary earner said. “I was told my entire salary would be converted against my wishes.”
Another customer at a foreign bank who was notified by text message of forced conversion was given the following message when the move was queried.
“Kindly note that any Sri Lankan residing in Sri Lanka receiving any income/remittances in foreign currency will be in scope for the new Gazette and will be required to convert the Foreign currency to LKR,” the customer was replied.
“If possible please visit the closest branch for further details.”
Another bank asked a customer more time to clarify from the central bank.
Yet another customer was told as follows.
“We have asked the authorities. They gave us a Q and A without directly giving us an answer.”
Existing deposits, earned before October are allowed to be kept, customers were told by banks.
Another customers said he was planning legal action against banks as there was a contractual relationship between banks and customers, which they felt was violated when banks took actions against their wishes.
Economynext
