 "Ajith Nivard Cabraal, Governor of the Central Bank of Sri Lanka (Reuters)")
Sri Lankan authorities will start to crack down on informal remittance inflows as the country seeks to bolster its reserves to meet more than $4.5 billion in debt repayments due next year.
The central bank governor, Ajith Nivard Cabraal, said he has seen a $300 million drop in remittances in just the last month, and vowed to use anti-money laundering laws to stop informal channels from funnelling away millions of dollars of vital foreign exchange reserves from the banking system. Here are details of Sri Lanka's precarious forex position and the reasons it seeks to halt flows via informal channels:
