Special Deposit Account scheme extended until 2021

COLOMBO (News1st): Sri Lanka has extended a fixed-deposit scheme to attract foreign currency to the country, that lapsed in October, by six months, a state notice showed. Locals and foreigners were initially allowed to deposit cash worth up to USD 15,000 by opening Special Deposit Accounts in local banks before October 8, 2020. However, this deadline has been extended until April 8, 2021, according to a notice published by Prime Minister Mahinda Rajapaksa in his capacity as finance minister. Deposits can be made in 15 types of currency including Sri Lankan Rupee, US dollars, Euros, or Sterling Pounds, with a minimum maturity period of six months. A monthly interest of one percent is offered for six-month deposits, and two percent for one-year deposits, in addition to the interest offered by banks for these maturity periods. However, deposits placed in these accounts for more than a year are not offered additional interest. The programme was introduced on April 8, 2020 to attract foreign currency amidst an economic crisis stemming out from the COVID-19 pandemic.