Sri Lanka makes further progress on financial sector consolidation: Central Bank

Nov 03, 2014 (LBO) – Sri Lanka Central Bank says that further progress was made by banks and finance and leasing companies (NBFIs) on the financial sector consolidation process, during the month of October this year. During the month of October 2014, Central Finance Co. PLC & Isuru Leasing Co.Ltd. and Arpico Finance Co. PLC & Associated Motor Finance Co. PLC made public announcements of agreed consolidation arrangements.

The Central Bank held discussions with selected NBFIs with a view to facilitating the implementation of the respective merger plans.

Hitherto, 41 NBFIs and 9 banks have confirmed their consolidation plans. Out of this, 8 NBFIs and 2 banks have already completed their respective consolidation plans, whilst 33 NBFIs and 7 banks are still progressing and are in different stages in their plans.

The progress of implementation of these consolidation plans are closely monitored by the Central Bank of Sri Lanka. The Media Release Reproduced below

The Bill to facilitate the proposed merger of the three banks, viz., DFCC Bank, National Development Bank PLC and the DFCC Vardhana Bank PLC, was passed in Parliament. The joint internal committees worked closely to ensure that the inte