Category: Banking and Finance
‘ Capital Vulnerable Despite Profit Gains: Fitch Ratings
Fitch Ratings expects Sri Lanka’s state banks to continue to report weaker regulatory capital ratios than systemically important private banks, despite significantly higher profitability. This is due mainly to a large portion of state banks’ profits being allocated to a special reserve, which is not included in capital adequacy calculations. The Central Bank of Sri […]
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Fitch Ratings has assigned Siyapatha Finance PLC’s (A(lka)/Stable) proposed Sri Lankan rupee-denominated senior unsecured debentures of up to LKR5 billion an expected National Long-Term Rating of ‘A(EXP)(lka)’. Key Rating Drivers The proposed debentures will mature in five years and will be listed on the Colombo Stock Exchange. The company plans to use the proceeds to […]
Sri Lanka’s growth recovery exceeded expectations but remains fragile
The Asian Development Bank’s (ADB) flagship economic publication, the Asian Development Outlook (ADO) April 2025, forecasts Sri Lanka’s recovery to continue at a moderate growth of 3.9% in 2025 and 3.4% in 2026 following the strong rebound in 2024. Economic recovery that began in the second half of 2023 continued across all sectors in 2024. Inflation […]
Sri Lanka launches the new National Anti-Corruption action plan
The Commission to Investigate Allegations of Bribery and Corruption (CIABOC) has officially launched the National Anti-Corruption Action Plan (NACAP) 2025-2029 today, as a strategic initiative to reaffirm the country’s commitment to strengthening governance, enhancing transparency, and reinforcing the rule of law. CIABOC led the development of the NACAP, supported by the technical expertise of the […]
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Fitch Ratings has assigned Commercial Bank of Ceylon PLC’s (COMB; AA-(lka)/Stable) proposed Sri Lankan rupee-denominated Basel III-compliant subordinated green bonds of up to LKR15 billion an expected National Long-Term Rating of ‘A(EXP)(lka)’. The proposed bonds, which will mature in five, seven and ten years, will be listed on the Colombo Stock Exchange. The bank plans […]
Sri Lanka’s Apparel industry responds to new U.S. tariffs; Engages Government on way forward
Sri Lanka’s apparel industry has expressed its concern over the Reciprocal Tariff policy announced by the U.S regime earlier today. The new tariffs proposed could significantly disrupt the country’s largest export sector and put thousands of jobs at risk. Following an announcement by U.S. President Donald Trump on April 2, a 10% baseline tariff on […]
Fitch Assigns State Mortgage &” Rating; Outlook Stable
Fitch Ratings has assigned Sri Lanka-based State Mortgage & Investment Bank (SMIB) a first-time National Long-Term Rating of ‘BB(lka)’. The Outlook is Stable. Key Rating Drivers Intrinsic Profile Drives Rating: SMIB’s rating reflects its standalone financial strength and factors in its weaker-than- peers funding profile that has led to balance sheet mismatches. Risk controls are showing […]
Serendib Frontier Capital Raises Rs. 475 Mn in Tier II Subordinated Debt for MBSL
Serendib Frontier Capital has successfully structured and placed Rs. 475 million in Tier II qualifying subordinated debt for Merchant Bank of Sri Lanka & Finance PLC (MBSL), providing MBSL with additional capital to support its growth and regulatory requirements. Serendib Frontier Capital managed the structuring and placement of the debt instrument, leveraging its expertise in […]
ComBank posts stellar results in 2024 after absorbing a SLISB restructure loss of Rs 45 bn
Net reversal of Rs 62 Bn. in impairment provisions compensates for loss from sovereign bonds restructuring Further accelerates lending with loan book growth of Rs 230 Bn., with approximately half of growth coming in Q4 Net interest income up 36.71% to Rs 118 Bn. Total taxes triple to Rs 62 Bn. PBT of […]
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Sri Lanka’s Central Bank has issued a warning regarding the unauthorized use of the terms ‘finance,’ ‘financing,’ and ‘financial’ in business names and descriptions. According to Section 10(2) of the Finance Business Act, No. 42 of 2011, only licensed finance companies and certain specified institutions are permitted to use these terms, either alone or in […]
Pan Asia Bank Announces Performance with a PAT of over 4.1 bn for FY 2024
Net Interest Income – Rs. 12.13 billion, up by 18% Net Fee and Commission Income – Rs. 1.90 billion, up by 24% Operating Profit before Taxes on Financial Services – Rs. 7.90 billion, up by 137% Profit before Tax – Rs. 6.03 billion, up by 159% Profit after Tax – Rs. 4.13 billion, up by […]
Budget 2025: Capital Gains Tax Rate Increased to 15-pct for Individuals & Partnerships
The Capital Gain Tax (CGT) rate applicable for individuals and partnerships will be increased to 15%. The CGT rate applicable for all other entities will be raised to 30% in par with the corporate capital gains tax rate.