Sri Lanka’s Central Bank prioritizes promotion of digital payment systems
The Central Bank of Sri Lanka (CBSL) has reportedly stated that inter-industry collaborations to implement FinTech solutions such as the National Transit Card and Open Application Programming Interface (Open API) platforms are among new priorities undertaken by the bank to promote digital payment systems to meet the needs of a less-cash society.
The Central Bank of Sri Lanka’s Annual Report 2018 has stated that the Bank continuously works with the industry to create an environment that advances the use of new technologies.
According to the report, the Central Bank has commenced working closely with relevant stakeholders to explore the feasibility of adopting Blockchain Technology in areas such as Know-Your-Customer (KYC) processes and trade finance to improve the safety and efficiency of financial services.
In order to adopt virtual banking and e-KYC processes, the Central Bank is evaluating the possibility of integrating with the national Electronic National Identity Card initiative (e-NIC) of the Department for Registration of Persons, the report has stated.
The annual report has further stated that this will enable the introduction of many FinTech innovations that require digital means of identity verification as well as increase access to finance by reducing on boarding costs.
OSL take:
The government of Sri Lanka has taken many steps to promote the concept of e-economy in the country. The promotion of cashless payments are being carried out in areas outside the country’s commercial capital, Colombo. Foreign businesses could explore business/investment opportunities in Sri Lanka’s efforts to promote an e-economy.
| Article Code : | VBS/AT/22052019/Z_5 |