Sri Lanka’s central bank has stated that it has taken on the task of arranging for dollar for food imports following the prohibition of open account imports, which was assisting the country in avoiding food shortages.
“It has been brought to the CBSL’s attention that concerns are being raised at various cohorts of the trading community that there will be a large shortage of essential food items in the country due to the above-mentioned payment terms restrictions,” the central bank said in a statement.
“In light of this, the CBSL would like to reaffirm its commitment to ensuring the availability of foreign exchange within the banking system for the importation of essential goods, including food items, in the coming period.”
Analysts had warned that, as with medicines, banding open account imports and imposing price controls was the best way to ensure food shortages.
