Buckled

Mar. 07 (LBO) -- The monetary board of Sri Lanka's central bank is now short of one member as a procedural snag has held up the appointment of a replacement.
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The Monetary Board, which guides the country's economic direction by setting policy interest rates now consists of Chairman (and Central Bank Governor) Sunil Mendis, Treasury Secretary P B Jayasundara, Economist Chandi Chanmugam, and businessmen Tilak de Zoysa, after the fifth member, Deva Rodrigo resigned.

Rodrigo, a chartered account from PriceWaterhouseCoopers, was one of the two members representing the private sector.

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The replacement, though appointed by the country's president, has to be approved by the Constitutional Council, an independent body, which in turn is not functioning because some political parties in the country have failed to nominate their quota of members.

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Rodrigo says he resigned ahead of a pitch by his firm to audit a large commercial bank.

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PWC was also auditing a small, newly-set up government-owned, specialized bank called SME Bank.

"I brought to the attention of the monetary board that we were proposing an audit for a commerical bank," Rodrigo said

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