Source: https://rivet.global/blog/sri-lanka-exporters-repatriation-conversion-rules
Published: 2026-10-15 · Updated: 2026-10-15 · By William Sunjo M.

# Sri Lankan exporters after the crisis: repatriation and conversion rules

Sri Lanka tightened export proceeds rules during its 2022 crisis, then eased them. What exporters must repatriate, what the Central Bank has relaxed, and what to check.

## Key takeaways

- Sri Lankan exporters must repatriate export proceeds to Sri Lanka within the period set under the Foreign Exchange Act.
- During the 2022 crisis, the Central Bank required part of repatriated proceeds to be converted into rupees.
- The CBSL relaxed and later removed the mandatory conversion requirement as reserves recovered; check the current direction.
- Exporters can keep repatriated proceeds in foreign currency accounts in Sri Lanka.

A Colombo apparel exporter shipped $68,000 of activewear to a UK brand in mid-2022. Within weeks of receiving payment, it had to convert a share into rupees at the official rate, under rules the Central Bank introduced as reserves ran out. In 2026 it receives the same kind of payment and keeps it in dollars until it needs rupees.

## The crisis rules

Sri Lanka's 2022 economic crisis left the country short of foreign currency. Under the Foreign Exchange Act, the Central Bank of Sri Lanka (CBSL) issued rules requiring exporters to:

- repatriate export proceeds within a set period,
- convert a share of repatriated proceeds into rupees.

## The easing

As reserves recovered with IMF support and debt restructuring, the CBSL reduced the conversion requirement and later withdrew it. Repatriation remains: exporters still bring proceeds to Sri Lanka through banks. Check the latest CBSL directions, as rules may change again.

## What exporters do now

1. Repatriate proceeds within the deadline.
2. Hold them in foreign currency accounts in Sri Lanka.
3. Convert to rupees when needed for salaries, local suppliers and taxes.

## Service exporters

Sri Lanka's IT and business process companies follow repatriation rules too. Their tax treatment has also changed since 2022; check how service export income is taxed now.

## Paying into Sri Lanka: the local rail

| What | Detail |
|---|---|
| Local rail | LankaPay CEFTS (Common Electronic Fund Transfer Switch) |
| Run by | LankaClear, under the Central Bank of Sri Lanka |
| Settlement | Seconds, 24/7 |

Source: [LankaPay: CEFTS](https://www.lankapay.net/). Checked when this guide was last updated; the scheme's own page has the current figures.

## Where Rivet fits

Rivet opens business accounts for registered companies after verification. A Sri Lanka-registered company must repatriate export proceeds under the Foreign Exchange Act, so check with your bank before receiving funds abroad. Partners abroad that bank with Rivet can pay Sri Lankan bank accounts through Rivet's payouts. Rivet is not a bank; regulated partner institutions hold the funds.

## Questions

### Do Sri Lankan exporters still have to convert proceeds into rupees?

The mandatory conversion requirement introduced in 2022 was reduced and later withdrawn as conditions improved. Check the latest CBSL rules before relying on this.

### How long do exporters have to repatriate proceeds?

The period is set by regulations under the Foreign Exchange Act. Ask your bank for the current deadline for goods and services.

### Can exporters hold proceeds in foreign currency?

Yes, in foreign currency accounts at Sri Lankan banks, once repatriated.

### Do service exporters follow the same rules?

Service exporters also repatriate proceeds, with rules set under the same Act. Check how they apply to your services.