2026-03-03 / Debate: Foreign Exchange Act Order under Section 22 of the Foreign Exchange Act, No. 12 of 2017 2026-03-03
## Summary
Hon. Manoj Rajapaksha spoke in support of new Regulations issued under Section 22 of the Foreign Exchange Act, No. 12 of 2017, arguing they reflect Sri Lanka's improved economic position following its near-collapse. He cited 2025 figures including USD 3 billion in tourism receipts, USD 8.2 billion in remittances, and USD 17.1 billion in export earnings as evidence of strengthening external accounts, and noted the Regulations are intended to facilitate Sri Lankan businesses expanding overseas and increase outward payment limits through foreign currency accounts in line with gradual capital flow liberalisation under the IMF Extended Fund Facility. He also defended the President's address to Parliament on the Middle East conflict, criticising Opposition members for heckling it, and rejected Opposition allegations of government corruption as unsubstantiated, suggesting such characterisations better described the Opposition's own record.
Madam Deputy Chairperson, today we debate the new Regulation issued under Section 22 of the Foreign Exchange Act, No. 12 of 2017. Many on the Government side have explained its importance. There has been a favourable turnaround in the foreign exchange market and a convergence under the IMF’s Extended Fund Facility, under which we are gradually easing capital flow measures. Our reserves are strengthening, as several data points presented in this debate showed.
In 2025, tourism brought in over USD 3 billion, with more than 2.3 million tourist arrivals. Remittances amounted to USD 8.2 billion—the highest in recent years. Export earnings exceeded USD 17.1 billion. These indicators show strengthening external accounts compared to the period when Sri Lanka was effectively bankrupt—unable even to import essential food and consumer goods.
From that low base, stability has been restored. In such a context, we can bring forward Regulations like this. The objective is to facilitate Sri Lankan businesses expanding abroad, acquiring brands and industries overseas, and to enable outward payments through foreign currency accounts by increasing applicable limits. This demonstrates a stronger reserve position, prudent macro-management and resilience in our economy. Any fair observer would recognise it.
This morning, H.E. the President addressed Parliament regarding the escalating conflict in the Middle East, which affects the entire world and has multiple channels of impact on Sri Lanka and our people. Our citizens, our society and our businesses feel the uncertainty emanating from the Gulf region. The President has a responsibility, which he does not shirk; he came to this august House and delivered a message to the nation. Some in the Opposition trivialised and heckled that message. But today the country is led by a President who has accepted responsibility for our future, and who explained the plan, the vision, and the preparedness in light of the current conflict.
An Opposition Member alleged rampant fraud and corruption by the Government. Listening from this seat, it seemed he was recalling their own past—like looking in a mirror. We well remember who perfected the arts of theft and abuse. To hurl empty, baseless words at this Government—words without argument or evidence—adds nothing. I urge that Member to reflect on his own statements. This Government has introduced better governance by eliminating those very abuses and will continue to move forward.
We strongly condemn all killings in the Middle East—whether in Iran or elsewhere—and pray for a swift end to the war and the return of peace to the world.
Thank you, Madam Deputy Chairperson.