The High Commission of India organized a roundtable titled ‘INR-LKR Trade Settlement: Strengthening Bilateral Economic Ties’ on 25 February 2025 in Colombo. The event brought together key stakeholders, including representatives from the Government of Sri Lanka, Sri Lankan and Indian banks, and members of various trade chambers, media, and think tanks. H.E. Santosh Jha, High Commissioner of India to Sri Lanka, and Dr. P. Nandalal Weerasinghe, Governor of the Central Bank of Sri Lanka, graced the occasion.
The event commenced with welcome remarks delivered by the High Commissioner of India to Sri Lanka, H.E. Santosh Jha, followed by a detailed presentation by Dr. Aditya Gaiha, Chief General Manager, Reserve Bank of India (RBI), on INR internationalization and the INR-LKR trade settlement. He highlighted key RBI policies that permit investments in INR in Sri Lanka and elaborated on recent amendments to the Foreign Exchange Management Act (FEMA) to enhance the use of INR-LKR in cross-border transactions.
The Governor of the Central Bank of Sri Lanka, Dr. P. Nandalal Weerasinghe, provided valuable insights into the INR-LKR trade settlement framework. He emphasized the mechanism’s importance and encouraged banks to engage with policymakers and central banks in both countries to streamline the process.
This initiative aligns with the commitment reaffirmed at the highest levels of leadership during the recent visit of the President of Sri Lanka, H.E. Anura Kumara Disanayaka, to India, where he met with Prime Minister Shri Narendra Modi. Among the key outcomes of their discussions was a renewed focus on enhancing INR-LKR trade settlements to deepen trade and investment ties between the two nations.
