The Central Bank of Sri Lanka has declared a long bank holiday from June 29 to July 3 to facilitate the domestic debt restructuring process.

In a media statement, the Central Bank Governor said that the decision was taken to provide banks with the necessary time to implement the restructuring process.

"The safety of local deposits is assured and interests too will not be affected," said Central Bank Governor, Dr Nandalal Weerasinghe.

The long bank holiday will begin on Saturday, June 29 and end on Tuesday, July 3.

During this time, all bank branches will be closed. However, essential banking services will be available through the Central Bank's electronic channels.

However, the Central Bank has said that the safety of local deposits is assured and interests too will not be affected.

The domestic debt restructuring process is a complex one, and it is not yet clear how it will be implemented.