The Hon. (Dr.) Anil Jayantha
Dr. Anil Jayantha clarified that broad definitions in the Bill do not amount to automatic authorization or licensing, and that the relevant Authority will determine permitted activities and conditions. He rejected claims that net foreign assets had collapsed under the Government, stating that overall foreign assets of licensed commercial banks and the Central Bank had increased since it assumed office, and contrasted this with negative NFA figures from 2015 to 2018. He said reserves may fluctuate during stabilization but exchange rate stability had been maintained while funding essential imports, and outlined plans to reach US$7 billion in reserves through exports, remittances, FDI, and possible market intervention. He also stated that broad money growth reflected normal banking activity rather than arbitrary monetary financing, and tabled supporting data.
Verbatim record (translated)
Machine-translated from Sinhala / Tamil / English¶ 01 Hon. Deputy Chairperson, a brief clarification. There is confusion between definitions and authorizations. The Bill’s definitions are broad to allow regulation of activities like betting; that does not mean everything defined will be licensed. The Authority will decide what is permitted and under what conditions.
¶ 02 On banking net foreign assets: claims that NFA collapsed under our Government are misleading. Compared to May, there was a slight dip in June, but since we assumed office, licensed commercial banks and the Central Bank have increased foreign assets. From 2015 to 2018, during a period without an economic crisis, NFA was negative month after month—even the Central Bank had net foreign liabilities.
¶ 03 On reserves: in a stabilization path, reserves can fluctuate, but we have maintained exchange rate stability while providing US$1.2 billion for essential imports. To reach US$7 billion, we have plans to boost exports, remittances, and FDI; if needed, we will also intervene in international markets.
¶ 04 On “money printing”: broad money supply expands due to normal banking operations—credit to Government, private sector, SOEs, and changes in net foreign assets. The Government is not engaging in arbitrary monetary financing. I table supporting data.
Provenance
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- Hansard, Tuesday, 19 August 2025 ·No. 1755860432040633 ·English daily/uncorrected Hansard
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Cite as: The Hon. (Dr.) Anil Jayantha. 10th Parliament, Parliament of Sri Lanka. Hansard, 19 August 2025. No. 1755860432040633. Politick, https://staging.politick.io/lk/speeches/6685