The mechanism has been approved by the central bank under the Exchange Control Act of No. 24 of 1953….reports Asian Lite News
The Central Bank of Sri Lanka has decided to allow exporters to purchase diesel from main oil companies in the country using US dollars.
Secretary to the Ministry of Energy K.D.R. Olga told journalists in Colombo on Thursday that a system has been introduced to allow US dollar-earners to use their export proceeds to purchase diesel they need to run their businesses, reports Xinhua news agency.
The mechanism has been approved by the central bank under the Exchange Control Act of No. 24 of 1953.
Exporters can pay for their diesel in US dollars, and a portion of the remaining dollar income from exports must be converted into Sri Lankan rupees, according to the central bank.
Manoj Gupta, managing director of Lanka IOC, told the media that they started supplying diesel to exporters under this process from this week.
Sri Lanka has increased fuel prices to a record high and introduced fuel rationing on April 15 to cope with the shortage in the country.
