Dr. Nandalal Weerasinghe, Governor of the Central Bank of Sri Lanka and Chairman of its Governing Board, has issued an addendum to the Banking Act Directions No. 05 of 2024, further reinforcing corporate governance measures for licensed banks.

The new directive introduces a provision that requires directors representing shareholders who have acquired voting rights in violation of Section 12(1C) of the Banking Act to refrain from participating or voting in the appointment of independent directors.

CBSL underscored that the directive, which takes effect immediately, is part of its broader efforts to uphold governance standards, ensure regulatory compliance, and safeguard the stability of Sri Lanka’s banking sector.