New Company Act a ‘strategic Advantage’: Deloitte

Deloitte views Sri Lanka’s new Companies (Amendment) Act No. 12 of 2025 as a pivotal opportunity for businesses to embed trust and accountability into their operations, transforming regulatory compliance into a strategic advantage for long-term growth.

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The legislation, certified on August 4, 2025, is seen as a major milestone for the country’s corporate sector, aimed at boosting investor confidence and strengthening the overall governance framework.

The most significant change introduced by the Act is the requirement for beneficial ownership (BO) disclosures. This new mandate requires all companies, including offshore and overseas entities registered in Sri Lanka, to identify, maintain, and report up-to-date records of their beneficial owners, defined as any individual who directly or indirectly holds 10 percent or more of ownership or voting rights, or exercises effective control.

According to Deloitte, this move is crucial for enhancing accountability and aligning Sri Lanka with international standards set by bodies like the Financial Action Task Force (FATF).