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Finance Company

Oct 26, 2011 (LBO) - Nation Lanka Plc, a listed company said Sri Lanka's Central Bank has given approval for it to be registered as licensed finance company subject to several conditions.
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But interest rates are now moving up, amid defence of a dollar peg by the monetary authority.

The firm had to put up 400 million rupees in core capital, amend its articles to comply with laws governing finance businesses, submit a business plan to overcome losses, sell off loss making subsidiaries and real estate giving no returns within the next two years.

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The firm also has to comply with rules relating to leasing businesses.


Finance companies have become more viable amid lower interest rates and a boom in vehicle and consumer durables sale in the island.

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