Category: Banking and Finance

The Finance Minister says plans to reform the countrys tax structure was moving fast as an amnesty drew a record response.Minister K. N. Choksy says the amnesty due to expire in end June has already drawn over 1200 declarations.rn rnHe said that a focused Fiscal Policy and a reduction in inflation and interest rates should […]

Peoples Bank has shortlisted six consultancy firms to carry forward its restructuring plan.The government wants to commercialise the bank as a single unit or split the bank into three viable sub-units.rn rnThe six firms have to come up with proposals by mid-June, spelling out how they plan to roll out the banks restructuring models.rn rnFirms […]

Hoarders who played hide and seek with revenue officials have been coming clean in droves in response to the governments tax amnesty, Finance Minister K N Choksy said Thursday.Inland Revenue has set up a special unit under a deputy commissioner to deal with the declarants.rn rnTax experts say businessmen have an unprecedented opportunity to clear […]

State run Bank of Ceylon has announced an across the board, early retirement scheme for its 9,000 odd staff.The announcement was made in response to requests from unions to allow employees with family commitments to leave early without losing their pension rights.rn rnEmployees who reach 50 years of age and have put in 20 years […]

Guardian Investment will raise Rs. 130 million through a 1:5 rights issue to fund its portfolio expansion.The Ceylon Gurdian Investments Trust Limiteds Director P C P Tissera told LBO that new investment options could include power and infrastructure projects, in addition to stocks.rn rnThe company is also re-evaluating its investment policy in order to restructure […]

A team from Sri Lanka Insurance Corp.s technical partner ING Financial Institution, has started an eight-week task to look at the insurance firms key operations.At the end of the first phase next month, the taskforce will recommend changes to SLICs board on issues ranging from overall strategic direction, commercial management and distribution of its insurance […]

Sri Lanka Export Credit Insurance Corp (SLECIC) is tinkering with its Act to allow it to raise public funds and offer refinance facilities.Cabinet has already approved the changes and SLECIC is awaiting parliamentary approval to convert itself into a limited liability company.rn rnSLECIC Ltd, as the firm will be known, plans to raise around two […]

Janashakthi Insurance has sought regulatory approval to complete its merger with National Insurance Corp.Once the Insurance Board of Sri Lanka approves the merger, Janashakthi will need to go before the Colombo District Court to officially seal the name change.rn rnldblquote NIC will be known as Janashakthi Insurance and we hope to wrap up the paper […]

The Carsons and JKH Groups recent acquisition of Aitken Spence shares in Union Assurance Ltd has got the securities watchdogs attention.The Securities & Exchange Commission says it is looking into the issue as to whether both parties acted in concert and triggered the Takeovers & Mergers code.rn rnPresently, Carsons owns 36.91 percent and JKH owns […]

A team of consultants has recommended tough reforms, a more focused regulatory regime and the winding up of co-operative banks with a negative net worth to clean up the rural financial institutions.The report jointly commissioned for the Central Bank and the Asian Development Bank also recommends a stronger regulatory role for the rural financial sector.rn […]

Conglomerate Aitken Spence Ltd on Tuesday disposed its equity stake in Union Assurance Ltd.The sale comes after Aitken Spence bought into Sri Lanka Insurance Corp. recently, through a consortium led by the Distilleries Company.rn rnUALs existing shareholders, the Carsons Group and John Keells Holdings Group picked up Aitken Spences parcel.rn rnAccordingly JKH raises its stake […]

National Development Bank said its first quarter profits rose 58% to Rs. 225.9 mn due prevailing low interest rates and capital gains.Interest expense during the period rose to Rs. 643.6 mn, while equity income went up 38% to Rs. 115.4 mn.rn rnThe bank provided Rs. 149.2 mn for possible credit losses, while the VAT on […]