FINANCIAL CHRONICLE – The Central Bank of Sri Lanka has announced that it will commence compensation payments for insured depositors of Nation Lanka Finance PLC starting August 1, 2026, through branches of People’s Bank.
The Central Bank stated, “Compensation payments will be initiated for insured depositors of NLFP, with a cap of Rs. 1,100,000 per depositor, in accordance with the provisions of the SLDIS and the guidelines outlined in the Banking (Special Provisions) Act (BSPA).” These payments will be available as cash transactions over the counter, credited to existing People’s Bank accounts, or through the opening of new accounts at People’s Bank.
Insured depositors and their legal beneficiaries are entitled to claim their compensation until July 2, 2032, as stipulated in the BSPA. The licence for Nation Lanka Finance to operate under the Finance Business Act, No. 42 of 2011 was revoked by the Central Bank on July 3, 2026, in compliance with Section 66(2) of the BSPA.
Compensation payments will be processed through designated People’s Bank branches starting from August 1, 2026. Depositors with NLFP accounts at People’s Bank whose total deposits are below Rs. 5,000 must send a completed claim form along with relevant documents, including copies of original deposit certificates or other proof, their identification used to open the account, and documentation confirming their account number with People’s Bank, to the email address cbslcompensation@peoplesbank.lk.
Other insured depositors should submit their completed claim forms and required documents, such as original deposit certificates and their identification used at account opening, at one of the selected People’s Bank branches during the specified times. It is important for joint depositors to fill out separate claim forms.
Depositors unable to submit their claims personally may do so through an authorized representative holding a valid Power of Attorney. The claim form, instructions, and a FAQ section regarding the compensation process for NLFP can be accessed on the Central Bank of Sri Lanka’s official website at www.cbsl.gov.lk. Additionally, claim forms are available at the selected People’s Bank branches listed for this process.
For further assistance, individuals can reach the Central Bank of Sri Lanka’s Head Office using the contact details provided below:
The Director – Deposit Insurance and Resolution Department
Central Bank of Sri Lanka
No. 30, Janadhipathi Mawatha, Colombo 01.
For inquiries: 011-2477 294, 011-247 7261 | Hotline – 1935 | Email – ddir@cbsl.lk
