Sachin Malik: As Part of Global Efforts to reduce dependence on foreign currencies such as the U.S. dollar, India and Sri Lanka have begun reshaping their trade relationship through Greater use of local Currencies. The High Commission of India in Sri Lanka recently organized a high-level roundtable discussion in Colombo on the theme “Rupee-to-Rupee: Strengthening the India–Sri Lanka Commercial Corridor.” The Primary objective of the meeting was to Promote the use of the Indian Rupee (INR) and the Sri Lankan Rupee (LKR) for bilateral trade between the two neighboring Nations.
According to a Press release issued by the Indian High Commission, the event brought together senior representatives from Government Institutions, banking and financial organizations, industry leaders, importers, exporters and members of the business community from both countries. The discussions focused on expanding the use of local currencies to deepen economic and commercial ties between India and Sri Lanka.
The roundtable commenced with opening remarks by Santosh Jha, India High Commissioner to Sri Lanka. He highlighted the Growing economic Partnership between the two countries and emphasized the importance of a local currency Settlement mechanism in facilitating bilateral trade, Investment, and financial Connectivity.
The keynote address was delivered by Dr. P. Nandalal Weerasinghe, Governor of the Central Bank of Sri Lanka (CBSL). He outlined the recent Policy initiatives undertaken to Strengthen the financial framework supporting INR–LKR transactions and Stressed the need to further enhance trade and investment relations between the two Nations.
High Commissioner Santosh Jha noted that Settling transactions in local currencies not only reduces transaction costs but also minimizes the risks associated with exchange rate Fluctuations.
Across the world, many countries are increasingly Prioritizing cross-border trade in their domestic currencies. India Strategy Presented at the roundtable reflects this broader Global shift. Experts believe that the Proposed “Rupee-to-Rupee” commercial corridor will Significantly Simplify trade for Small and medium enterprises (SME) in both Countries.
India is moving rapidly toward the internationalization of the Indian Rupee While reducing its dependence on foreign currencies. Its Growing Partnership with Sri Lanka is emerging as a Strong and reliable Pillar in achieving this Strategic Objective.
