Politics · Sri Lanka Bureau
Cabinet approves amendments to century-old Trust Ordinance
Sri Lanka's Cabinet of Ministers has authorized amendments to the Trust Ordinance of 1917 following recommendations from the task force overseeing anti-money laundering and counter-terrorism financing efforts. The revisions incorporate proposals from the Central Bank's Financial Intelligence Unit.
LSN Sri Lanka ·
The Cabinet of Ministers granted approval on December 18, 2024, to proceed with amendments to the Trust Ordinance No. 9 of 1917, marking a significant update to legislation that has governed trust arrangements in Sri Lanka for over a century.
The proposed amendments are based on observations and recommendations submitted by the Task Force on Prevention of Money Laundering and Financing for Terrorism, reflecting evolving international standards in financial crime prevention. The revisions also incorporate proposals put forward by the Financial Intelligence Unit of the Central Bank of Sri Lanka, which plays a crucial role in detecting and combating illicit financial flows.
The move aligns Sri Lanka's regulatory framework with global best practices in combating financial crime. Updating the Trust Ordinance is seen as essential to strengthening the country's defenses against money laundering and terrorist financing, while ensuring the legitimate trust sector operates within a robust compliance environment.
The amendments will now progress through the parliamentary legislative process for formal enactment. The initiative underscores the government's commitment to maintaining Sri Lanka's standing in international financial compliance and oversight mechanisms.