Former Finance Minister and Member of Parliament Ravi Karunanayake has written to the global leadership of HSBC asking it to reconsider closing its Global Service Centre in Sri Lanka, saying the move could affect thousands of livelihoods.

In a letter to the Group Chairman and Group Chief Executive of HSBC Holdings plc, Karunanayake called for urgent talks on retaining the bank’s operations in Colombo before the planned relocation becomes irreversible.

He said HSBC’s own notification, dated 7 October 2026, put the centre’s workforce at 1,659 employees as of 30 September 2026. According to Karunanayake, the centre employed around 4,500 Sri Lankans at its peak.

Karunanayake noted that HSBC had said the relocation followed a global operating-model review and did not reflect the performance of its Sri Lankan company. He said this gave reason to look for alternatives instead of going ahead with the closure.

He said job losses could affect employees’ children’s education, housing commitments and care for elderly parents. He accepted that HSBC has responsibilities to its shareholders, customers and employees, but said concerns about operating costs, workforce availability and competitiveness could be discussed to find solutions.

Karunanayake urged the bank to hold an urgent, time-bound discussion on possible changes to costs, recruitment, training, infrastructure and policy. He said he was ready to work with the Government, relevant authorities and industry partners, and described keeping the investment as a national responsibility that goes beyond political differences.

Background

Karunanayake said he began the discussions that brought the investment to Sri Lanka while he was Minister of Trade and Commerce between 2001 and 2004. HSBC’s operations started at the World Trade Centre in Colombo in 2004 and later expanded to facilities at Union Place and Mireka Tower, according to him.

Global service centres handle back-office and support work for a bank’s operations in other countries. HSBC’s notification, as cited by Karunanayake, gives a global operating-model review as the reason for the relocation, rather than the performance of the Sri Lankan company.

The letter does not set out where the work is to move, and the wording of the notification was not published in full.

What it means

For the 1,659 employees named in the notification, the planned relocation raises questions about their future jobs. Karunanayake said the centre gave young Sri Lankans exposure to international business practices, professional development and the chance to work across cultures, and that a renewed commitment from HSBC would protect jobs.

He also said such a commitment would send a positive message about Sri Lanka’s efforts to rebuild its economy and attract investment. Employees who are affected may wish to check the terms of their contracts and any notices issued by their employer.