The Central Bank last week announced a mandatory deposit insurance scheme, Sri Lanka Deposit Insurance Scheme (SLDIS) with effect from 01 October. SLDIS has been established under the provisions of Monitory Law Act with initial capital of Rs.1.1 billion provided by the Central Bank, Governor Ajith Nivard Cabrral said.
The members of the scheme are all licensed banks and registered finance companies. All deposits of member banks and finance companies, Government of Sri Lanka, shareholders, directors, key management personnel, other related parties deposits held as collateral against any accommodation granted and deposits falling within the meaning of abandoned property in terms of the Banking Act will be considered as eligible deposits under the scheme. (GW)