Category: Banking and Finance

January 12, 2007 (LBO) – Sri Lanka’s central bank has allowed finance companies to form subsidiaries, raised single borrower limits, but tightened provisioning requirements, the regulator said. A 40 percent limit on the acquisition of other companies has been relaxed, provided approval is gained from the Monetary Board, the Central Bank. “What this means is […]

January 10, 2007 (LBO) – Sri Lanka’s state-run Bank of Ceylon plans to sell off shares owned in NDB and DFCC Bank this year, to top up a gap in its pension fund, a senior official said Wednesday. Sri Lanka’s largest bank in terms of assets, is carrying a two billion rupee gap in its […]

January 09, 2007 (LBO) – Privately run Ceylinco Insurance, is offering on the spot cash facilities to settle customer claims, in an attempt to retain its lead as one of the biggest insurers in Sri Lanka, officials said Tuesday. “Claims relating to polices from motor vehicles, marine, health, homes, trade establishments, fire and miscellaneous insurance […]

January 8, 2007 (LBO) – Sri Lanka’s Central Bank plans to revise the way commercial banks’ compute the single borrower limit, as part of its drive to strengthen the banking system. “We are looking at revising the Single Borrower Limit in line with improved risk management by banks,” Governor Nivard Cabraal said. Presently, a single […]

January 05, 2007 (LBO) – The long-awaited restarting of Pramuka Bank as the Sri Lanka Savings Bank will get underway soon, with the new entity due to begin banking operations in January. The new bank will be the second fully government owned savings bank after National Savings Bank, which was established in 1972. At the […]

January 2, 2007 (LBO) – Sri Lanka’s Central Bank has lifted the minimum capital requirements of money changers by fivefold to 600,000 dollars with immediate effect, the bank’s governor said Tuesday. In July 2005, the bank raised the minimum capital limit by 900 percent to 120,000 dollars and allowed around 60 registered money changers to […]

January 01, 2007 (LBO) – Sri Lanka’s Janashakthi Group is set to take control of privately held financial service group First Capital, officials said Monday. “We have an agreement First Capital’s major shareholder Singer, to take control of First Capital. The actual price and percentage of shares will be announced in due course,” Janashakthi Group […]

December 14 (LBO) – Sri Lanka and the Asian Development Bank tied up a loan deal worth 210 million dollars on Thursday, to upgrade national highways and water sector. A loan package of 150 million dollars will be used to widen and rehabilitate a network of 350 kilometres of roads, including improving and replacing bridges, […]

December 14 (LBO) – Rating agency Fitch gave pawn brokering business Edirisinghe Trust Investments a ‘B+(lka)’ long term rating, but said the company was hampered by low profitability and weak management systems. The company was founded in 1967 by the Edirisinghe family and remains a closely held family company. ETI is a registered finance company […]

December 13 (LBO) – Slow global economic growth, lower reserve build up and politics will be in the spotlight for sovereign credit assessments in emerging Asia, including Sri Lanka, next year, rating agency Fitch said Wednesday. “For the region, Fitch forecasts a reserve build of USD300 billion next year, which would be slightly lower than […]

November 12, (LBO) – The Bank of Ceylon has given 43.7 percent of its loans to the government and state-owned enterprises, and its exposure to government would remain high or even increase, Fitch Ratings Lanka said Tuesday, as it affirmed the bank’s AA (lka) rating.“Furthermore such exposures also increase the linkage to the state’s financial […]

December 11, 2006 (LBO) – Sri Lanka’s powerful treasury secretary P B Jayasundara, has sent in his resignation, the state-run Daily News reported Monday. The newspaper did not give a reason, but said Jayasundara will cease from running the day-to-day affairs of the finance ministry from December 31. Jayasundara is due to take up a […]