Sri Lankan bank opens ‘vostro’ account with State Bank of India

A Sri Lankan bank has opened a ‘vostro’ account with the State Bank of India (SBI) to conduct bilateral trade in Indian Rupees.

Indian High Commissioner to Sri Lanka, Gopal Baglay, discussed the matter and other relevant concerns with Vikas Goel, South Asia Regional Head of SBI, the Indian High Commission in Colombo confirmed.

The Central Bank of India recently gave approval to banks to open five vostro accounts for trade with Sri Lanka, which allows for the use of rupees instead of dollars and other big currencies for international transactions.