Sri Lanka Requiring 100% Deposit for Certain Import Letters of Credit

Sri Lanka is now requiring a 100% cash margin deposit requirement on all letters of credit for about 600 imports, the Hong Kong Trade Development Council reported Sept. 24. The announcement is aimed at bolstering the country’s “dwindling foreign currency reserves” by discouraging imports of nonessential items, HKTDC said. Those imported items include certain alcohols, mineral water, chocolates, butter, fruits, oats, dairy products, refrigerators, washing machines, air conditioners, kitchenware, tableware, carpets, cosmetics, mobile phones, raincoats, watches and footwear.