Migration Allowance

1. Eligibility

1.1 A resident who has obtained permanent residency (PR) in another country (hereinafter referred to as an emigrant) is eligible for the migration allowance as follows:

     a). An initial migration allowance of USD 150,000 per individual aged 18 years and above

     b). An annual migration allowance of USD 20,000 after 12 months from the full utilization of the initial migration allowance

1.2 The migration allowance includes proceeds realized from the sale of movable and immovable property, tangible and intangible assets owned by the emigrant and gifts received by the emigrant from the spouse and parents. Assets may include the value of precious stones, precious metals, personal jewellery and other assets held in Sri Lanka including estates inherited as beneficiaries.

2. Procedure to Obtain the Migration Allowance

    The procedure to be followed in the releasing of migration allowance depends on the date on which the PR was granted. Accordingly, the following procedures should be applied in this regard.

2.1 Emigrants who have obtained the PR on or after 12th June 2013

a). The prior approval of the Controller of Exchange is not required to apply for the migration allowance. An emigrant may contact any Licensed Commercial Bank (LCB) or the National Savings Bank (NSB) with following documents:

  1. Request with the contact details of the emigrant, including the postal address, telephone numbers and email address abroad.
  2. A copy of the emigrant’s all pages of the Sri Lankan passport held at the time of migration, including a copy of the permanent residency permit.
  3. An affidavit duly stamped and attested by a Justice of Peace/Commissioner for Oaths declaring that no transfers has been made or will be made in excess of the initial allowance of USD 150,000 and the annual allowance of USD 20,000, as applicable. If any migration allowance has been availed prior to the date of declaration, it should be declared.
  4. Valid documents to prove the source of funds.
  5. A tax clearance certificate issued by the Commissioner General of the Department of Inland Revenue.
  6. A copy of the emigrant’s power of attorney (where applicable)
  7. A duly filled Form 4 (all the information shall be duly filled in this regard)
  8. The air ticket (at initial departure)

b). The migration allowance should be transferred through a Migrant Blocked Account (MBA) opened with any LCB or NSB.

c). When an emigrant is leaving Sri Lanka for the first time on PR visa, a sum of USD 5,000 may be obtained in the form of currency notes out of the initial migration allowance.

d). Eligible migration allowance can be transferred from MBA to applicant’s Non Resident Foreign Currency (NRFC) account and/or Securities Investment Account (SIA) in Sri Lanka or transferred to an account maintained outside Sri Lanka.

e). Current income (including interest, rent, dividends, lease rentals, profits, pension) and superannuation benefits (EPF, ETF, and gratuity) shall be credited to the MBA and can be transferred apart from the migration allowance to an NRFC account and/or SIA in Sri Lanka or to an account maintained outside Sri Lanka.

Note: if an applicant is unable to submit any Sri Lankan passport that he/she had at the time of obtaining the PR and held to date, he/she will not be eligible for initial migration allowance of USD 150,000 and only be eligible for the annual  allowance of USD 20,000.

2.2. Emigrants who obtained the PR prior to 12th June 2013

a). This category of emigrant needs to obtain the prior approval of the Controller of Exchange in order to apply for the migration allowance through an LCB, which needs to be transferred through a Non-Resident Blocked Account (NRBA).

b). In applying for the migration allowance, the following documents should be forwarded to the Exchange Control Department (ECD) of Central Bank of Sri Lanka (CBSL).

  1. A request letter addressed to the Controller of Exchange including the following details (specimen attached)

    a. Emigrant’s full name and permanent address
    b. Emigrant’s date of birth and civil status
    c. Date of obtaining the permanent residency (PR)
    d. Date of obtaining citizenship (in foreign country) and dual citizenship (if applicable)
    e. Details of an NRBA of the emigrants (the account No., bank and the branch)
    f. Details of the foreign bank to which funds

  2. A certified copy of the Power of Attorney, registered in Sri Lanka in the event the emigrant communicate with ECD through a third party
  3. Certified copies of documents to prove the PR
  4. Certified copies of documents to prove the Citizenship (if any)
  5. Certified copies of documents to prove the Dual Citizenship (if any)
  6. Documents to prove the source of funds (e.g.: for sale proceeds of a property; certified copy of the registered deed of transfer)(Gifts from applicant’s parents or spouse can be accepted as sources of funds provided that the applicant submits the consent letter addressed to the Controller of Exchange signed by the grantor along with the certified copies of birth certificate or marriage certificate, as applicable).
  7. Original balance confirmation from the respective LCB on NRBA savings or current account, addressed to the Controller of Exchange. Please note that the total sum to be remitted should be available in a single NRBA. Fixed/term deposits and computer generated bank statements are not accepted in this regard.
  8. Original tax clearance certificate obtained from the Commissioner General of the Department of Inland Revenue in Sri Lanka for the amount to be remitted.
  9. An affidavit duly stamped and attested by a Justice of Peace/Commissioner for Oaths, declaring that no remittance has been made or will  be made in excess of the permitted initial migration allowance of USD 150,000 or the annual migration allowance of USD 20,000/- as applicable. If any funds have been remitted outside Sri Lanka on previous occasions, it should be declared. (Specimen attached)
  10. Certified copies of all pages of the emigrant’s Sri Lankan passports which were used at the time of obtaining PR and subsequently held to date.

c. Current income (including interest, rent, dividends, lease rentals, profits, pension) and superannuation benefits (EPF, ETF, and gratuity) of the emigrant derived after 12June 2013, shall be credited to the NRBA and could be transferred apart from the migration allowance without obtaining prior approval of the Controller of Exchange to an account maintained outside Sri Lanka.

d. Applicants are requested to submit the application along with all the required documents for the request to be processed.

Notes  1: All copies of the supporting documents regarding migration allowance are required to be certified by a Justice of Peace/Commissioner for Oaths as true copy of original.

   2: If an applicant is unable to submit any Sri Lankan passport that he/she had at the time of obtaining PR and held to date, he/she will not be eligible for initial migration allowance of USD 150,000 and only be eligible for the annual   allowance of USD 20,000.

Special Notes to Applicants

a. When a resident makes the decision to migrate on a PR, he/she should surrender and cancel the Electronic Fund Transfer Cards issued to him by the banks in Sri Lanka (including debit cards and credit cards).

b. At the time of obtaining the migration allowance, the emigrants shall convert all his/her Rupee accounts into NRBAs and/or a MBA, as applicable.

c. Ensure that you secure all your Sri Lankan passports held from the time of migration, as they are essential in applying for the migration allowance.

d. In addition to the above mentioned documents/procedures, ECD may require other documents/procedures, in certain instances.