Central Bank closes its public debt department

Sri Lanka
By Editor_1

COLOMBO – Sri Lanka’s central bank announced the closure of the Public Debt Department (PDD) and the transfer of the LankaSecure Division of the PDD to the Payments and Settlements Department (PSD), effective January 1, 2026.

“This transfer was effected in view of strengthening institutional accountability and enhancing the efficiency and transparency of Sri Lanka’s debt management framework,” CBSL said in a statement.

The Public Debt Management Office (PDMO) was established within the Ministry of Finance, Planning and Economic Development (MoF) under the Public Debt Management Act No. 33 of 2024 (PDM Act) in December 2024.

The PDMO became operational in December 2025 and assumed responsibility over the debt management functions previously carried out by PDD.

In terms of the relevant provisions of the PDM Act and the Central Bank of Sri Lanka Act, No. 16 of 2023, the CBSL will continue to operate the Scripless Securities Settlement System and the Central Depository System for government securities under PSD, effective from January 1, 2026, with the Director of PSD appointed as Registrar of Government Securities.

-economynext.com

Editor_1
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