The government has formed a new company to manage fee and fund-based activities of state corporations including the Mahapola Trust Fund.
National Wealth Corporation will be a 100 percent government owned entity, but staffed by top private sector professionals, Commerce & Consumer Affairs Minister, Ravi Karunanayake told LBO on Friday.rn
rnldblquote With interest rates coming down we need to get professional input to manage government funds, to buy and sell at the right time,
dblquote Karunanayake said.rn
rnNational Wealth Corp. will start off from May 1, and also has plans to get a primary dealer licence to trade in government securities.rn
rnThe new firm will initially manage the Mahapola Trust Fund. The Mahapola Fund gives financial assistance to needy students pursuing higher education.rn
rnThe fund has around Rs. 4 bn under its management, all invested in government paper. The interest is used to give a monthly Rs. 1,650 scholarship to over 7,500 students. rn
rnKarunanayake says treasury