70% of Sri Lankan Tamils in Sri Lanka live in the Northern and Eastern provinces. Although Sri Lankan Tamils are culturally and linguistically distinct, genetic studies indicate that they are closely related to Sinhalese ethnic group in the island.
Definition: Under international financial reporting standards, a functional currency is the currency used in the primary economic environment where an entity operates. This is the environment in which an entity primarily generates and expends cash.
In addition, paragraph 17 of IAS 21 requires that an entity determine its functional currency in accordance with paragraphs 9â14 of the standard. Therefore, paragraph 9 should not be considered in isolation when determining the functional currency of an entity.