Category: Banking and Finance

The government is building barriers between politicians and state banks to prevent directed lending that eventually goes bad, a top official said.ldblquote Weve tried hard, as a matter of policy, to build a wall between independent autonomous boards of management of government banks and politicians, dblquote Treasury Secretary Charitha Ratwatte said at an International micro-finance […]

The Central Bank on Tuesday announced a list of firms that were mobilizing public funds without Monetary Boards consent.Naming these institutions is part of the banks efforts to warn depositors not to part with their funds in un-regulated institutions.rn rnThe warning list includes: Common Investment Finance Co; D J Finance Co; Economic & Rural Resource […]

Pramuka Banks Directors on Friday filed a writ application at the Appeals Court to overturn Monetary Boards decision to liquidate the bank.The move comes as Central Bank informed Janashakthi Capital to send a list of financial details they require of Pramuka Bank.rn rnOn behalf of Pramukas shareholders, Janashakthi Capital on Monday sought Central Banks approval […]

Commercial Bank on Friday said it is raising Rs. 4 bn to meet general business expansion and redeem its Rs.500 mn debenture, which matures this year.Three billion rupees will be raised through five-year subordinated, unsecured, redeemable debentures, which carries an option of a fixed or floating interest rate.rn rnThe floating rate issue is priced at […]

Distressed depositors of Pramuka Bank on Thursday secured a stay order to stop Central Bank from liquidating the failed savings and development bank.Thursdays court ruling prevents monetary authorities from going ahead with liquidation procedures until February 21.rn rnDepositors claim that Central Bank cancelled Pramukas licence without taking the interest of depositors or creditors.rn rnThe petitioners […]

State run Peoples Bank plans to use its extensive pawning network as broader base to popularise micro finance activities throughout the country.With technical help from the German Technical Cooperations Rural Banking Innovations Project, the bank has todate lent over Rs. 350 mn since 1998. This makes it one of the largest public banking institutions in […]

Pramuka Banks key shareholders on Monday evening gave the Janashakthi Group the mandate to look at the possibility of resurrecting the troubled development and savings bank.Janashakthi is currently the largest Pramuka shareholder controlling 13.5 percent in the name of the National Insurance Corporation (NIC), and Acland Holdings Ltd.rn rnJanashakthi Capital, who will handle Pramukas affairs, […]

Two local investor groups are talking to Peoples Bank to give it a badly needed equity injection while the government is seeking donor assistance for further reforms of the bank.The bank, which had its capital wiped out due to bad lending practices in the past, has been looking for up to thirteen billion rupees in […]

Pramuka Employees are accusing the banks auditors KPMG of certifying accounts, which were not true and fair when there were massive accounting frauds. They are particularly concerned about the illegal provident fund.ldblquote The audited accounts pertaining to Pramuka Bank have not portrayed a true and fair view of its state of affairs, dblquote says Sunimal […]

Pramuka Employees picketing in front of the audit firm, KPMG Ford Rhodes and Thornton, alleged that the audit firm had failed to detect massive accounting frauds at the bank.ldblquote The Audited accounts pertaining to Pramuka Bank had not portrayed a true and fair view of its state of affaires, dblquote Pramuka Employees Association President Sunimal […]

The Ceylon Chamber of Commerces Import Section is lobbying with fiscal authorities to ensure commercial banks reduce their lending rates in line with Central Banks recent rate cut.The Treasury and the CentralBank in its persistent efforts to reduce lending rates to the Business Sector, has on many occasions during the last year reduced theReserve Requirement, […]

Standard Chartered Bank is coming out with lquote Select, a new wealth management product, to manage upper middle class segments personal banking needs.The bank is also betting on an upsurge in credit demand to fuel its consumer and retail banking operations this year.rn rnStandard Chartered just concluded a merger with ANZ Grindlays Bank to become […]