Sovereign Quality

July 23, 2013 (LBO) – Sri Lanka’s state-run National Savings Bank has been rated ‘B+’, the same as the sovereign rating by Standard & Poor’s Ratings Services with a ‘stable’ outlook. “We believe the Sri Lankan government is almost certain to provide extraordinary support to the bank, if needed,” Standard & Poor’s credit analyst Amit Pandey said in a statement.

“Our view is based on our assessment of the critical importance of NSB’s policy role and its integral link with the government.”

NSB has a deposit share of 13 percent in Sri Lanka. Its deposits are guaranteed by the government.

The bank is expected to go for an international capital raising.

Sri Lanka’s National Savings Bank Assigned ‘B+/B’ Rating; Outlook Stable

SINGAPORE (Standard & Poor’s) July 23, 2013–Standard & Poor’s Ratings Services today assigned its ‘B+’ long-term and ‘B’ short-term counterparty credit ratings to Sri Lanka-based National Savings Bank (NSB). The outlook on the long-term rating is stable.

Standard & Poor’s equalizes the rating on NSB with the sovereign credit rating on Sri Lanka (Democratic Socialist Republic of) (B+/Stable/B). The Sri Lankan government fully