The Embassy of Sri Lanka in Bucharest recently fostered dialogue on streamlining the inflow of expatriate remittance from Romania through formal channels. The discussions held at the Embassy were centered on the vital role of expatriate remittances in the Sri Lankan economy.
Accordingly, Ambassador Madurika Joseph Weninger, alongside senior representatives from People's Bank, including Deputy General Manager Aruni Liyanagunawardena (Overseas Customer Services), and Sampath Bank’s Deputy General Manager Rajendra Ranasinghe (Inward Remittance and Transactions Banking), engaged with the Sri Lankan expatriate community at the Embassy's consular section on two separate occasions. During the meetings, Sri Lankan expatriates voiced concerns about the challenges they face in sending money and accessing banking services. Such concerns were addressed by the representatives from Sri Lankan banks.
The Sri Lankan economy continues to benefit significantly from expatriate remittances, particularly from the growing communities of Sri Lankan workers in countries including Romania. Over the past two decades, remittances have consistently accounted for approximately 80% of Sri Lanka’s annual trade deficit, providing essential support during economically challenging times and enhancing the country’s external sector resilience.
Currently, an app titled Wise (formerly TransferWise) is known to be the most popular method of money transfer among Sri Lankan Expatriate workers in Romania. The app has made it convenient and cost-effective to send money back home.
However, as the number of Sri Lankans moving to Romania for employment continues to rise, there is an increasing demand for reliable and efficient remittance services to Sri Lanka. Furthermore, Sri Lankan banks indeed are encouraging the use of formal channels to transfer remittances. This not only ensures secure and efficient transactions, but also helps in reducing commission fees. Moreover, it benefits the banks by increasing their foreign currency reserves, and enhancing forex liquidity within the banking system. Maintaining formal channels is essential for tracking and managing the inflow of remittances, which is a vital factor affecting the country’s economic stability.
The representatives from Sri Lankan banks pointed out that there is an increasing reliance on trustworthy remittance services with regard to the remittance inflows from Romania, They further stated that, in a bid to improve service offerings for the Sri Lankan diaspora, banks are keen to establish partnerships with reputable financial institutions in Romania.
The Embassy has also facilitated meetings between the visiting bank representatives and key financial entities and remittance service providers to strengthen business relationships between the two countries and expand remittance channels to Sri Lanka.
These collaborations are expected to identify and secure efficient remittance solutions, ensuring that the over 40,000 Sri Lankan expatriate workers in Romania can consistently support their families while positively contributing to Sri Lanka’s economy. Ongoing discussions with Romanian financial institutions will further explore methods to promote remittances through established banking channels.
Embassy of Sri Lanka
Bucharest
27 September 2024
