Category: Banking and Finance

Central Bank today directed its banking supervision department to liquidate Pramuka, after cancelling its licence. An attempt to revive the suspended bank was put down by the Central Bank as it involved channelling Rs. 600 million of taxpayers money into the venture.rn rnThe Central Bank says the request was dropped as the directors and shareholders […]

The Treasury on Wednesday gave a Rs. 3 bn subsidy to local banks, to kick-start the low-middle income-housing segment.Of the Rs. 3 bn loan package, the Treasury is offering up to Rs. 1 bn through the Housing Development Finance Corporation or HDFC. rn rnFurther Rs. 1.5 bn will be channelled through the commercial banks while […]

Sampath and Bank of Ceylon signed a memorandum of understanding to link their automatic teller machines locally, a top official said.The deal will create a combined network of more that 150 machines which almost double the amount of ATMs that customers in each bank can now access.rn rnThough customers of banks that use the Cirrus […]

As regulators continued to probe deeper in to the Pramuka Bank irregularities, a senior bank official was caught red-handed by Central Bank officials on Wednesday allegedly trying to take some vital documents out of the banks premises.Regulators ranging from the Central Bank, the Criminal Investigation Dept, Bribery Commission and Labour Commission are presently combing through […]

The governments 20 percent stake in Commercial Bank held through Sri Lanka Insurance Corp. has caught the interest of the International Finance CorpA fact-finding team from the IFCs Washington office were in Colombo recently to carry out due diligence work. Their findings are expected to be presented to the IFC Board sometime next month, Treasury […]

Peoples Leasing Company is scouting for a strategic partner as its parent company is keen to reduce its holding in the company.Formed as a fully owned subsidiary of Peoples Bank in 1995, PLC was initially intended to help the banks customers.rn rnIn 2001, Peoples Bank infused a further Rs. 40 mn into the company to […]

Pramuka Banks crisis deepened this week with courts issuing orders on the senior management not to leave the country.But Pramuka Chief Rohan Perera has already left the country.rn rnMeanwhile employee shareholders who formed a Stakeholders Association would be meeting again this week. rn rnThe bribery commission began its investigations into the alleged kickbacks to public […]

The government is fast putting together a regulatory framework to facilitate competition.At the same time the private sector together with trade chambers have also been asking for opening up of sectors, which have been government monopolies before.rn rnHowever competition has been slow to arrive in some industries which have been thrown wide open. rn rnCommerce […]

In line with the best international practice Central Bank will focus on the core objectives of economic and price stability and ensuring the stability of the financial system, dropping a number of subsidiary objectives that tended to distract the Bank in the past.rn rnIn the conduct of monetary policy itself the Central Bank has given […]

The government has put off Sri Lanka Insurance Corp.quote s privatization for the fourth time till early next year.rn rnThe Public Enterprise Reform Commission on Wednesday wrote to the three shortlisted bidders giving them more time to submit fresh technical and financial bids till January 21, 2003.rn rnThe competitive sales process for the 90 percent […]

Pramuka Bank Employees Union called for the banks top management to step down immediately while also forming a stakeholders association to safeguard their interest.Union President Sunimal Dabrera told members on Monday that the Monetary Board and the Central Bank should exercise its powers under the Banking Act to remove Pramuka Savings & Development Banks senior […]

In another development Pramuka founder Rohan Perera stepped down as chairman during the week and Udaya Nanayakkara took over as Chairman on Wednesday.rn rnThe Criminal Investigation Department visited the bank on Thursday.rn rnThe Central Bank, which suspended Pramuka bank operations, has so far not indicated what it wants to do.rn rnBut analysts say depositors may […]