Vehicle Importers Demand Probe into LCs Amidst New Surcharges and Credit Caps

The Sri Lanka Vehicle Importers Association (SLVIA) has called for a government investigation into potential irregularities surrounding the opening of Letters of Credit (LCs) for vehicle imports. According to SLVIA Vice Chairman Arosha Rodrigo, these LCs were reportedly opened in the final week before a 50% surcharge on import duties was implemented, potentially creating unfair advantages for some importers. The association also voiced strong opposition to the Central Bank's recent decision to cap credit facilities for vehicle imports, describing it as a significant disadvantage. SLVIA argues that these measures, combined with the depreciation of the Sri Lankan Rupee, will inevitably lead to increased vehicle prices and hinder sales, urging the government to offer relief to those who have already secured LCs.