MP Dayasiri Jayasekara has requested that the Central Bank of Sri Lanka (CBSL) be summoned before the Parliamentary Committee on Public Finance to address concerns over the expansion of the country’s money supply.
In a letter dated Aug. 21 to the Speaker of Parliament, Jayasekara cited recent remarks by Deputy Finance Minister Anil Jayantha, who said the government had not engaged in money printing and that responsibility for the money supply rests with the Central Bank.
Jayasekara said the Central Bank had expanded the money supply by Rs. 1.4 trillion in an effort to manage inflation, but had yet to meet policy targets outlined in monetary statements. He also drew parallels to past disputes between the Finance Ministry and the Central Bank, which he said contributed to the 2022 economic crisis.
He warned that if the Central Bank had acted without government directive, it could constitute a violation of the Economic Transformation Act, No. 45 of 2024.
Jayasekara requested that the Central Bank be summoned to provide clarification on the monetary expansion, failure to meet stated targets, and the institution’s accountability under Article 148 of the Constitution. A copy of the letter was also sent to the chair of the Committee on Public Finance (COPF). (Newswire)
