The Central Bank of Sri Lanka (CBSL) has issued a strong warning to merchants across the country, stating that charging customers additional fees—typically between 2.5% to 3%—for payments made via debit or credit cards is strictly prohibited.

The clarification came during a media briefing, following a surge in consumer complaints about hidden surcharges being added to electronic transactions. CBSL emphasized that any deviation from the listed retail price during card transactions is illegal, and such practices undermine public trust in digital payments.

CBSL Director of Payments and Settlements, K.K. Alwis, explained that merchants acquire card payment facilities through agreements with banks, which explicitly prohibit passing on transaction fees to customers. If a merchant demands more than the listed price, customers are advised to request a receipt and immediately report the incident to their card-issuing bank.

Sri Lanka currently sees around 1.6 million digital payments daily, with approximately 800,000 transactions via cards and 600,000 online. The Central Bank reiterated its commitment to promoting digital payments as part of the government’s broader push for financial inclusion and transparency.

Consumers are encouraged to retain proof of payment and file complaints if they are charged extra, as they may be eligible for a refund through their bank.