The Central Bank of Sri Lanka (CBSL) has announced a significant change in its pension policy for former Governors, effective from September 11, 2024. Under the revised rules, any Governor appointed after January 1, 1998, will no longer be eligible for pension payments. This move comes as part of a broader reform under the CBSL Act No. 16 of 2023, with the aim of strengthening financial governance.
Previously, Governors appointed after January 1, 1998, were entitled to a pension amounting to 74% of their last basic salary, regardless of their length of service, starting from January 1, 2015. However, this entitlement is now rescinded. Additionally, pension payments would be paused if the Governor faced criminal investigations or court proceedings and permanently revoked if convicted of a criminal offense.
With the new rule, the Central Bank will no longer entertain pension claims for any Governor appointed after the effective date, marking a clear shift in the institution’s pension policy.