Latest News for NRIs in Sri Lanka

This page is a dated log of specific regulatory developments already reflected in this platform's guides for Sri Lanka, not a real-time news feed. Each item links to the full guide covering it.

Sri Lanka-Specific Developments

• India-Sri Lanka DTAA amending Protocol enters into force (19 June 2026)

  A Protocol amending the India-Sri Lanka tax treaty, signed 16 December 2024, entered into force on 19 June 2026 and takes effect from FY 2027, adding a Principal Purpose Test anti-abuse rule to the treaty.

  Tax for NRIs in Sri Lanka
• Reciprocal Recognition, Registration and Enforcement of Foreign Judgments Act, No. 49 of 2024 takes effect (28 March 2025)

  Sri Lanka's new foreign-judgments statute names India as a designated reciprocating country, giving NRIs in Sri Lanka a statutory route to have an Indian court judgment -- including a divorce decree -- recognized and enforced in Sri Lanka.

  Family for NRIs in Sri Lanka
• IMF Extended Fund Facility -- combined fifth and sixth reviews completed (27 May 2026)

  Sri Lanka's ongoing IMF programme continues to shape its exchange control settings under the Foreign Exchange Act, No. 12 of 2017 -- NRIs moving funds between Sri Lanka and India should track further programme-linked changes.

  Compliance for NRIs in Sri Lanka

India-Side Developments Affecting NRIs in Sri Lanka

• Citizenship (Amendment) Rules, 2026 (2026)

  India notified amended Citizenship Rules that moved OCI applications fully online, introduced an e-OCI option, and clarified that a minor cannot hold both an Indian passport and a foreign passport at the same time.

  Immigration for NRIs
• Companies Act, 2013 -- resident-director requirement (Standing rule)

  An Indian private limited company needs at least one director who is a resident of India for a specified minimum number of days in the preceding year -- an NRI founder in Sri Lanka typically brings in an India-based co-director to satisfy this.

  Business for NRIs
• FEMA repatriation limit -- USD 1 million per financial year (Standing rule)

  Sale proceeds and other eligible balances in an NRO account can be repatriated abroad up to USD 1 million (or equivalent) per financial year, subject to Form 15CA/15CB certification by the authorized dealer bank.

  Compliance for NRIs