Business Foreign Currency Accounts (BFCA)

● An individual resident in Sri Lanka.
● A sole proprietorship or partnership registered in Sri Lanka where the proprietor or a majority of partners are resident in Sri Lanka (in case of a partnership with two partners, at least one partner shall be a resident in Sri Lanka).
● A company incorporated in Sri Lanka.
● A company incorporated outside Sri Lanka which is registered as an overseas company under the Companies Act No 7 of 2007.
● A State Institution with the recommendation of the Secretary to the relevant line Ministry or appropriate Authority.
● A person authorized to carry on business as a shipping agent or a general sale agent in Sri Lanka on behalf of a foreign shipping line or airline (foreign principal) with a valid license or authorized letter issued by the Director General of Merchant Shipping and Director General of Civil Aviation Authority of Sri Lanka respectively.
● An administrator or executor of the estate of a deceased person, who maintains a Business Foreign Currency Account with that authorized dealer or restricted dealer, until the completion of the administration of the deceased person’s estate.
● A receiver or liquidator in the name of a company that maintained a Business Foreign Currency Account with that authorized dealer or restricted dealer, until proceedings are concluded.

● Savings Accounts
● Current Accounts (without cheque drawing facility)
● Fixed Deposits

● Remittances received in foreign exchange from abroad through the banking system in respect of, export of goods and services, entrepot trade, overseas projects undertaken by the account holder, investments made outside Sri Lanka and goods supplied locally to a person resident outside Sri Lanka.
● Remittances received in foreign exchange through the banking system from the overseas employers with whom the account holder has an arrangement for the disbursement of wages and /or earnings of Sri Lankans who are rendering services to such overseas employer.
● FCY in the form of travellers’ cheques, bank drafts or currency notes accepted by the account holder in Sri Lanka in respect of goods and services supplied by such person to a person resident outside Sri Lanka.
● Where the account holder is a shipping agent or a general sales agent in Sri Lanka, remittances received in foreign exchange through the banking system from the respective foreign principal or from a designated third party on behalf of the foreign principal for the purpose under the respective agency agreements.
● Freight collected in foreign exchange by the account holder who is a shipping agent or a general sales agent in SL on behalf of the foreign principal, by way of a remittance against a BFCA or and FCBU account.
● Foreign currency brought into Sri Lanka by the account holder upon declaration (exceeds USD 15,000 or its equivalent need customs declaration less than USD 15,000 or its equivalent in other FCY on an appropriate declaration to the Bank.
● Transfers from BFCA or accounts maintained in the FCBU irrespective of the account holder
● Payments received in foreign exchange in favor of the account holder being consideration for goods or services supplied to a resident, to the extent such payments and receipts or categories of transactions have been permitted by directions issued by the Central Bank
● Proceeds of FCY loans and advances obtained by the account holder from the domestic banking unit or FCBU of an authorized dealer or a restricted dealer, with the prior approval of the CBSL
● Proceeds or any part thereof from sale of any foreign asset of the account holder, where the asset had been acquired by debiting of BFCA.
● Capital, capital gains and other receipts arising from investments made in Sri Lanka in FCY, if the original transfer had been made by debiting the BFCA (or FEEA of the account holder prior to this order come into effect)
● Capital and capital gains received from foreign investments into an OIA, if the original investment had been made by debiting the FEEA of the account holder prior to this order come into effect.
● Unutilized FCY obtained by the account holder debiting the BFCA as per below
● Withdrawal for travel purpose.
● Withdrawal by jewellery dealers.
● The unutilised balance remaining in the foreign travel card of the same account holder, up to the amount such Foreign Travel Card had been loaded from the BFCA ● Insurance premium received by the account holder on FCY denominated policies issued to eligible customers and co-insurers and claims received from re-insurers and national insurance trust fund by insurance companies registered with the insurance board of Sri Lanka.
● Transfers from PFCA of the non-national employee resident Sri Lanka, being overpayments of salaries and any other benefits.
● Interest earned in FCY on funds held in the account.
● Remittances originating outside Sri Lanka from the account holder (section 8(3) of the act.
● Transactions or transfers to any other category of accounts that may be permitted to maintain by the Central Bank from time to time, to the extent such transactions or transfers have been permitted by directions issued by the Central Bank.
● Proceeds of FCY loans (including debt securities) transferred from IIA of foreign lender (excluding loans obtained for the purpose of capital transaction outside SL)
● Payment gateway payments (which related to goods and services rendered by account holders to outside Sri Lanka) with written confirmation to be obtained by EDC/IPD provider.
● Remittances related to rental /lease of immovable property in SL to a person resident outside Sri Lanka (through banking system).
● Transfers from Foreign Currency Loan Account for the purpose of acquisition/construction/development and renovation of residential property in Sri Lanka of the account holder.

● Any outward remittances made outside Sri Lanka
● Disbursements in Sri Lanka in Sri Lanka rupees
● Withdrawal in FCY up to USD 10,000 (or equivalent in any other foreign currency) for travel purpose as permitted by directions issued by the Central Bank
● Withdrawal in FCY up to USD 50,000 (or equivalent in any other foreign currency ) at a time by gem and jewellery dealers for the purpose of purchasing cut and polished or rough gem stones and other raw materials abroad upon submission of confirmation obtained from the National Gem and Jewellery Authority.
● Transfers to BFCA, PFCA or FCBU irrespective of the account holder
● Transfers to an Outward Investment Account of the same Account holder.
● Transfers to IIA of a resident outside Sri Lanka for purpose of repayment of a foreign currency loan obtained from such foreign lender by the account holder
● Transfer of funds for uploading a foreign travel card
● Debt servicing expenses and repayment of foreign currency loans obtained by the account holder from ADs
● Transfers in respect of any investment permitted to be made in Sri Lanka in FCY utilizing funds in the BFCA
● Payments of claims to eligible customers and co-insurers in respect of foreign currency denominated policies, premium to local or overseas re-insurers and National insurance Trust Fund and brokerage by insurance companies registered with the insurance board of Sri Lanka
● Payments to resident in foreign exchange in respect of transactions or categories of transactions to the extent such transactions have been permitted by directions issued by the CBSL
● Where the account holder is a shipping agent or a general sales agent in Sri Lanka, withdrawal in foreign currency notes up to USD 50,000 (or equivalent in any other foreign currency) per vessel per call as Cash to Masters, against inward remittance received from the foreign principle r from designated third parties on behalf of the foreign principal, on a request with the reasons acceptable to the authorized dealer.
● Where the account holder is a shipping agent or a general sale in Sri Lanka, repatriation of the surplus funds to the foreign principal, provided that confirmation in writing is obtained from the account holder (i.e., Agent) to the effect that adequate funds have retained in the account, to meet all local liabilities of the foreign principal in Sri Lanka including tax payable to the Government and the agency commission.
Under no circumstances Sri Lanka rupees shall be converted into foreign currency and be credited into a BFCA.