Category: Banking and Finance
HNB recognised as Sri Lanka’s strongest bank by Asian Banker
Oct 03, 2019 (LBO) – Hatto National Bank was recognized as Sri Lanka’s strongest bank by balance sheet evaluation by the Asian Banker Magazine. “There are a multiplicity of metrics which professionals utilize to gauge the success of a bank, because business is about numbers, but it is also about trust, ” Jonathan Alles, managing […]
Imposition of lending rate caps, a credit positive: Central Bank replies to Moody’s
Oct 01, 2019 (LBO) – Sri Lanka’s Central Bank says that the imposition of caps on lending rates of licensed banks would, in fact, be credit positive, contrary to the view held by Moody’s Investors Service. Releasing a statement, the Central Bank said it does not expect a material change in interest margins of the […]
Sri Lanka’s lending rate cut is credit negative for banks: Moody’s
Sep 27, 2019 (LBO) – Sri Lanka’s recent lending rate cut will compress banks’ net interest margins (NIMs) and add to their existing profitability challenges, Moody’s Investors Service said. On 24 September, the Central Bank mandated commercial banks to cut lending rates on all Sri Lankan rupee-denominated loans by at least 200 basis points beginning […]
Economist Deshal de Mel rejoins Sampath Bank Board
September 27, 2019 (LBO) – Economist Deshal de Mel has been appointed as an Independent Non-Executive Director to the board of Sampath Bank. De Mel perviously served as a Director from 2012-2017, after which he resigned to take up a position as an Economic Advisor in the Ministry of Finance. After leaving his position at […]
Salaries of public servants to be increased from Jan 2020: Fin Min
Sep 27, 2019 (LBO) – The monthly salary of all public servants will be increased by a minimum amount of 3000.00 rupees and, a maximum of 24,000.00 rupees per month effective from January 2020, a statement said. The Finance Ministry says the hike is as per the recommendation of the special commission on reviewing salaries […]
Sri Lanka reserves at USD 8.3bn at end Jul 2019
Sep 26, 2019 (LBO) – Sri Lanka’s gross official reserves stood at US 8.3 billion dollars by end July 2019, equivalent to 4.9 months of imports, the Central Bank said. Total foreign assets, which consist of gross official reserves and foreign assets of the banking sector amounted to US 11.0 billion dollars as at end […]
Sri Lanka trade deficit widens in July; export earnings decline
Sep 26, 2019 (LBO) – The trade deficit widened in July 2019 as exports fell more than the decline in imports, new data shows. Export earnings recorded a decline of 7.0 percent (year-on-year) after a steady growth for several months while import expenditure declined by 2.2 percent (year-on-year) in July 2019, data from the Central […]
Central Bank withdraws order on maximum interest rates on deposits
Sep 25, 2019 (LBO) – The Monetary Board of the Central Bank has decided to withdraw the Monetary Law Act Order No. 01 of 2019 issued on 26 April 2019 imposing Maximum Interest Rates on Sri Lanka Rupee Deposits, with effect from 24 September 2019. The decision has been taken after the issuance of the […]
Central Bank orders banks to reduce loan interest rates by 200 bps by mid-October
Sep 24, 2019 (LBO) – Monetary Board of the Central Bank has decided to order the Licensed Banks to reduce interest rates applicable on all rupee-denominated loans and advances by at least 200 basis points by 15 October 2019, in comparison to the interest rates applicable as at 30 April 2019, subject to certain exclusions. […]
Enterprise Sri Lanka introduces mobile service islandwide
Sep 20, 2019 (LBO) – The Finance Ministry has made arrangments to reach the people and conduct Enterprise Sri Lanka mobile service island-wide in order to provide capital loans at subsidised interest rate for small and medium, self employment or industries. Accordingly, Enterprise Sri Lanka mobile service will be held at the Kirindiwela Maha Vidyalaya […]
CBSL permits Sinhaputhra Finance to implement proposed capital augmentation plan
Sep 19, 2019 (LBO) – Monetary Board of the Central Bank of Sri Lanka has decided to provide Sinhaputhra Finance with an opportunity to implement the proposed capital augmentation plan within the stipulated timeframe. Sinhaputhra Finance last month submitted an objection to the license cancellation notice issued by the Monetary Board saying that a capital […]
Central Bank cancels license issued to TKS Finance Limited
Sep 19, 2019 (LBO) – Sri Lanka’s Monetary Board of the Central Bank has decided to cancel the licence issued to TKS Finance Limited (TKSF) to carry on finance business with effect from today. The Central Bank said the financial condition of TKSF is not satisfactory due to deficient capital level, poor asset quality, continuous […]