Targeted Financial Sanctions are restrictive measures imposed on individuals or organizations suspected of involvement in terrorism or its financing. These measures include freezing financial and non-financial assets, restricting access to banking services, and preventing designated entities from engaging in economic activities.
In Sri Lanka, TFS are implemented in line with United Nations Security Council Resolution 1373 (2001), under Regulation No. 01 of 2012 enacted through the United Nations Act, No. 45 of 1968. Once an individual or organization is designated via a Gazette notification, a legally binding freezing order is issued, resulting in the suspension of bank accounts, halting of transactions, and restrictions on assets such as land, vehicles, housing, jewellery, and other property.
The authority to impose these sanctions lies with the Minister of Foreign Affairs, while the Secretary to the Ministry of Defence has been appointed as the Competent Authority responsible for implementation and administration. All actions are taken based on verified evidence and national security considerations.
The Ministry further said that TFS play a vital role in countering terrorism at its source, while also strengthening Sri Lanka’s financial system and ensuring compliance with international obligations, including those set by the Financial Action Task Force (FATF).
To enhance transparency and public awareness, the Office of the Competent Authority has launched an official website where the public can access information on Gazette notifications and freezing orders.
The Ministry emphasized that terrorism often operates through concealed financial networks, and that strengthening Targeted Financial Sanctions, along with improving public access to information, reflects Sri Lanka’s continued commitment to national security, stability, and vigilance.
