Category: Banking and Finance

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

Depositors of the collapsed Pramuka Savings & Development Bank are likely to get a third of their money back once the liquidation process starts to roll in.Smalltime depositors who had invested up to Rs. 50,000 are likely to get most of their capital back. But for others who invested millions, their capital is likely to […]

Officials say the collapse of Pramuka Bank will not pose a systemic risk to the financial sector, as most commercial banks did not have links with the failed bank.Finance Minister K. N. Choksy told LBR on Tuesday (17 Dec.) that the financial system could withstand the effects of Pramuka Banks liquidation.rn rnAs Pramuka was the […]

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 […]