business Sri Lanka

China has approved J.P. Morgan’s application to operate the first fully foreign-owned futures business in the country, reports Reuters.

J.P. Morgan reportedly sought full control of its China futures joint venture last December as Beijing moved to scrap caps on foreign ownership. The futures industry in China is dominated by local players.

The China Securities Regulatory Commission (CSRC) said in a statement posted on its website that it hopes that the approval would bring in more qualified foreign players.

The move is part of the world’s second-largest economy bid to open its multi-trillion-dollar financial market.

 (www.asianbankingandfinance.net)

Nations Trust Bank American Express is giving Cardmembers an exclusive opportunity to shop anything from anywhere locally or overseas and enjoy an extended settlement plan for 12 months with no handling fees or extra charges.

To avail this offer, Cardmembers simply need to use their Nations Trust Bank American Express Cards for LKR 25,000/- or more (or its equivalent in a foreign currency) and then request via the American Express contact centre for the transaction to be converted into a 12-month instalment plan.

Cardmembers may choose to convert up to 3 transactions under this special offer. This exclusive arrangement is available for a limited time, from June 1, to July 31, 2020. Cardmembers can look at making use of this offer for any purchase made anywhere, to help them navigate the ‘new norm’ post the pandemic.

Speaking about the special extended settlement plans, NilukaGunatilake - Head of Cards at Nations Trust Bank said, ‘The extended settlement plans on purchases are intended to provide our Cardmembers with the increased financial flexibility to purchase anything from anywhere locally or overseas and settle through an instalment plan at no additional cost.”

“We believe that this will support our customers to purchase equipment to set up a home office, assist with purchasing laptops and devices enabling e-learning for their family and other needs which need to be attended to in the current context”

Nations Trust Bank PLC is among the top 30 business establishments in Sri Lanka as ranked by Business Today Magazine, ably providing a host of financial products and services to a wide range of customers.

People’s Leasing & Finance PLC in a bid to cater to a greater volume of customers via an enhanced and swift customer service with more comforts upgraded and relocated its Ward Place, Colombo 7 branch at a more spacious place. The new location (Baptist Church Road, Colombo 7) was inaugurated by Sabry Ibrahim, CEO/GM, PLC.

The inaugural event was attended by PLC members Sanjeewa Bandaranayake, Lionel Fernando (Senior Deputy General Managers), Rohan Thennakoon,  Laksanda Gunawardene, Prabath Gunasena(Deputy General Managers), Hasantha de Silva (Chief Manager), Sumudu Fernando (Branch Manager- Colombo 7) and a host of PLC customers.

Speaking at the occasion, Sabry Ibrahim, CEO/GM, PLC said, “Since many new business ventures were commissioned in the vicinity of Colombo 07 in the recent past, the number of People’s Leasing customers increased significantly. Hence our Ward Place branch showed some congestion. Increased number of customers was also due the newly introduced PLC’s innovative finance products. Many new customers were attracted towards these new PLC products.”

He further said, “PLC is top-of-mind for any person in Colombo when it comes to their varied financial needs. All these factors made us take this decision to shift our Ward Place branch to a new spacious location. The new branch in Colombo 07 would cater to PLC customers in a more dynamic manner. Now people in Colombo and its vicinity have the opportunity to obtain their financial services from PLC new branch more conveniently.

PLC is famous as a One-stop-shop that fulfills all financial and leasing needs of its customers. Hence I invite people in the vicinity of Colombo to visit our new PLC branch at Colombo 07 to obtain services and prosper their business and personal lives.”

People’s Leasing started its business operations in 1996 as a wholly owned subsidiary of one of the largest State banks in Sri Lanka, People’s Bank. PLC’s financial service product portfolio includes leasing, auto loans, fixed deposits, savings accounts, housing and business loans, gold loans, margin trading, factoring, and Islamic financial services.

People’s Leasing Conglomerate consists of six subsidiaries - People’s Insurance PLC, People’s Micro-Commerce Ltd, People’s Leasing Property Development Ltd, People’s Leasing Fleet Management Ltd, People’s Leasing Havelock Properties Ltd, and its latest foreign venture, Lankan Alliance Finance Ltd, in Bangladesh.

(ESCAP news) – Small island developing States (SIDS) in the region must take better advantage of their vast ocean resources and blue economy to accelerate sustainable development, as significant socio-economic impacts of the COVID-19 pandemic are threatening to reverse years of development gains, warns a new report by the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP).

The latest edition of the Asia-Pacific Countries with Special Needs Development Report, published annually, entitled Leveraging Ocean Resources for Sustainable Development of Small Island Developing States, expresses concern that SIDS continue to struggle with providing productive employment for their people.

Pan Asia Bank recently added a well-equipped Mobile Banking Unit to strengthen its mobile banking efforts. This is yet another customer-centric initiative launched by Pan Asia Bank to support its customer base by offering a range of banking services at customers’ doorsteps.

Commenting on the initiative, Nimal Tillekeratne Director/CEO of Pan Asia Bank said, “Staff at Pan Asia Bank is working round the clock to facilitate services for our valued customers, to ensure they can conduct all their banking needs smoothly. We are pleased to strengthen our Mobile Banking capabilities with this unit to ensure customers can access our services with ease at their doorsteps.”

“ Also, during recent COVID 19 pandemic we witnessed how useful such facilities can be and this is why we wanted to enhance our capability to offer most frequently used banking service through the Mobile Banking Units, which are like mini bank branches and as safe as transacting at one of our branches. These units will be staffed by Pan Asia Bank’s warm and friendly staff who will guide customers. We encourage customers to access these mobile banking units to enjoy convenience and greater safety.”

The latest Mobile Banking Unit consist of an ATM machine (which can also be accessed by non-customers) and offers other services such as opening of savings accounts; LKR cash deposits to existing customer current/savings accounts; cash withdrawals from accounts; withdrawal of Western Union money transfer proceeds, cheque deposits to current accounts; Acceptance of cash/cheques for settlement of lease rentals/credit card or utility bill payments; collection of loan applications.

By providing a wide range of services via the Mobile Banking Unit, Pan Asia Bank ensures customers always have access to their cash and can securely conduct their transactions without having to travel and visit their branches amid social distancing guidelines.

All the official health precautions against COVID-19 are being taken by the staff such as wearing masks, gloves, sanitizing and frequent disinfection. The safety and wellbeing of customers is the foremost priority for the bank and all its activities will be conducted in compliance with guidelines issued by the Government and the health authorities.

Sarvodaya Development Finance (SDF), the financial services arm of the Sarvodaya Movement, recorded one of its best years of financial performance against one of the most difficult years ever experienced by the Sri Lankan economy.

SDF has recorded a year-on-year revenue growth of 14.4%, an operating profit growth of 48% and an after-tax profit growth of 147%.

“As you know, SDF profits do not go into private pockets. Our profits are principally given to our parent, the Sarvodaya Movement, which redistributes the money through various social development and poverty alleviation programmes. That is why the SDF team and I, are very proud of our performance. While we have directly helped people financially, we have also indirectly, through Sarvodaya, helped so many children, youth, men, women and elders, in need of help. I take this opportunity to also thank our customers for their trust and confidence in us,” said SDF Chairman, Channa de Silva.

For the financial year 2019-20, SDF recorded a total revenue of Rs 1.80 billion from its financial services which is a Rs 227.1 million increase from the revenue of Rs 1.57 billion in the 2018-19 financial year and the operating profits increased to Rs 232.1 million from Rs 156.7 million. Despite the higher taxes and growth in other operating costs, the company’s profit after tax grew by an impressive Rs 147.8 million, to reach Rs 101.7 million, against the after tax profit of Rs 41.2 million in the previous year.

SDF attributes the significant improvements in its financial performance to the extensive reorganisations executed within the last few years that have made the company more efficient and market driven. The company has invested heavily in training for its employees, introducing modern digital technologies in to its busines processes, and strengthening its risk management and recovery mechanisms.

Finance professionals have a vital role to play to make organisations stronger and more resilient in light of the coronavirus pandemic said new President of The Chartered Institute of Management Accountants (CIMA), Nick Jackson.

Jackson acknowledged the impact the COVID-19 pandemic is having on the world, pushing economies and businesses to their limit.

“Although events like COVID-19 are thankfully rare on a global scale, they do present an opportunity to make positive changes. We must be leaders in showing that change is not something to be afraid of.

“We can collectively do more. We should take this chance to reimagine what finance provides and how we work.”

“It’s a time: to build trust, to take responsibility and to grasp this opportunity to deliver broader stakeholder benefits, that takes account of social, environmental and economic value.”

Jackson emphasised that finance professionals need to be agents of change and lead their organisation towards the adoption of more sustainable, responsible business practices.

“We have to move beyond simply providing insight to the numbers, to bringing more value through recommendations and follow-up action. We need to recognise that the success of a business as exemplified by the figures on a balance-sheet, have many other elements - tangible and intangible.

“Organisations’ operating models are made up of people, processes, and supply chains. They exist in increasingly dynamic environments, and are, of course, answerable to a much broader audience of customers, suppliers and wider society.

“I want to see us, as a profession broaden our perspective from a focus on shareholder value, to engage with the idea of stakeholders and their different definitions of ‘value’.”

Jackson, an experienced digital transformation leader, was elected to the one-year volunteer post by CIMA members at the Institute’s first-ever virtual annual general meeting. Hewill also serve asVice-Chair of the Association of International Certified Professional Accountants (the Association), the global accounting organisation formed by CIMA and the American Institute of CPAs (AICPA) representing over 650,000 accountants worldwide. Jackson first became a CIMA member in 1992 and obtained his fellowship in 2008. Throughout his career, he has had strong interest in financial management and performance improvement, working across a number of industries for both public and private organisations such as HM Treasury, EY, Capgemini, UK Ministry of Justice and Ofsted. He currently works for the software technology company Oracle, which he joined in 2016. Other appointments ratified at the CIMA Annual General Meeting are: Deputy President, Paul Ash and Vice President, Melanie Kanaka.

‘Money20/20 Europe’ event will be held from in September 22 to 24 2020, at RAI Amsterdam, Netherlands and Fintech Association of Sri Lanka (FASL) is a partner association of the event.

This will be Europe’s biggest FinTech event and decisions would be taken to shape the future of money.

The event will see three days of networking-rich opportunities with speakers from the likes of Monzo, Spotify, Starling Bank, Netflix, Airbnb plus countless more game-changers, bringing together the most brilliant minds to deliver the next frontier of Financial Services.

In 2019, 90% of attendees rated the audience as good or excellent. Money20/20 is founded in 2011 and with its first edition in the US is now expanding successfully to Europe and Asia subsequently.

Money20/20 Europe is going to look a little different this year; it is capping attendance at the show at 4,000 people (more than a third smaller than last year’s event), to ensure that the participants can still connect with the A to Z of industry decision makers, but at a really safe distance.

Seylan Bank introduced a payment gateway facility, VOBA (Virtual Old Boys Association) at St. Mary’s College Chilaw, one of the oldest educational institutes in Sri Lanka. The school is the first in the island to be facilitated with the VOBA platform as a part of its process towards digitalization.

The platform is a multipurpose portal used by past pupils to connect with their former peers, track and manage the schools’ ongoing development projects. Seylan Bank has now enabled the members to settle Old Boys’ Association (OBA) membership fees and make direct donations to the school’s account from across the globe via this payment platform. The portal can currently be accessed via web and mobile on both Android andiOS devices.

The service is now open to all schools with a past pupils/old boys association, Seylan Bank’s online payment platform will act as a game-changer directly contributing towards increasing the number of members across all the association’s island wide.

The VOBA portal runs on the Ceylon Innovation servers and allows smooth and easy transactions carried out by members of the association both living in Sri Lanka and across the globe, streamlining a once time consuming and cumbersome process. Once a payment is made to the gateway portal, a receipt is produced immediately and sent to the payee’s email via the platform, ensuring a secure and efficient payment process.

Seylan Bank operates with a vision to offer the ultimate banking experience to its valued customers and is evolving rapidly with new technology, innovative products, and services to set a new benchmark in the banking sector.

First Capital Research in their Pre-Policy Analysis says that reducing policy rates is one of the main tools that Central Bank of Sri Lanka (CBSL) can utilise to increase economic activity and revive the economy.

“Post pandemic, Sri Lanka’s stressed economic conditions remains a key weakness and reviving the economy is a one of the objective of the Govt. and CBSL.”

In line with our expectations (as mentioned in the pre policy report dated 28th Feb) CBSL held its policy rates steady at the meeting held on March 5, 2020 while allowing the impact of previous policy actions to materilise. “However, as a COVID-19 relief measure CBSL reduced policy rates by 100bps in 3 emergency instances reducing the SDFR and SLFR rate to 5.50% and 6.50%.” With the recent reduction of SRR by 2%, liquidity position surged over LKR 200Bn and bulk of the excess liquidity of banks is likely to be parked in SDFR facility provided by CBSL at 5.50% rather than allocating for lending.

“In order to discourage banks using the SDFR facility we consider the possibility of a major rate cut resulting SDFR a less attractive option for LCBs.”

“With the recent reduction of SRR additional LKR 115Bn of liquidity was injected into the banking system, allowing banks to accelerate credit flows into the economy, while reducing cost of funds.” “We expect LKR 100 billion top-up, in the existing refinance scheme which may enhance additional liquidity to the domestic money market above LKR 250 billion. At the current level excess liquidity is already at a 16-year high. Further top -up in existing refinance scheme may push CBSL Holding (printed money) closer to LKR 500 billion from current LKR 311billion.

“To dissuade banks from keeping excess money with the CBSL without lending, we believe that the CBSL has to reduce its policy rates substantially both ; SDFR, the rate at which commercial banks can keep overnight liquidity with the CBSL, and the SLFR, as a stimulus to boost the credit growth”

“As a result of injection of liquidity to the system CBSL holdings recorded a significant increase of more than LKR 200 billion since March 13, 2020.”

“Considering the recent reduction of SRR by 300bps to 2% we believe that further SRR cut is not required as O/N liquidity has reached all time high levels at the moment.”

The Oluvil branch of the Bank of Ceylon relocated to its new premises and was opened on June 22.

The relocated BOC Oluvil branch is situated at LightHouse Road, Oluvil with the objective of providing more efficient and friendly service to its customers with more sophisticated facilities. Relocated Oluvil branch opening was presided by Branch Manager A.L. Mowjood and the Eastern Province Assistant General Manager Kumudini Yogaratnam was the Chief Guest at this event.

Eastern Province Operations Manager Damith Ekanayakka, Ampara Area Manager U.L. Jayathilaka, Batticaloa Area Manager A. Pradeepan, Trincomalee Area Manager B. Pradeepan and Marketing Manager Rahuraj graced the occasion as guests.

The new branch is equipped with a Cash Recycling Machine (CRM) for the convenience of the customers. Eastern Province Operations Manager Damith Ekanayakka opened the CRM.

Sri Lanka Insurance at the recently held Annual General Meeting declared that the company has closed year 2019 in a positive note recording phenomenal growth with exceptional service innovations.

Sri Lanka Insurance recorded stellar performance in 2019 to record 15% growth in profit before taxation reaching a Profit before taxation of Rs. 8.2 billion for the year, a marked improvement on the Rs.7.1 billion in the year 2019.

In the year of 2019 Sri Lanka Insurance reported 12 % growth in life insurance premium increasing to Rs.14.8 billion whilst general insurance premium grew to Rs.18.9billion. The company achieved a combined Gross Written Premium (GWP) growth rate of 6.5 % during the year. General insurance contributed 56% towards the total GWPwhilst Life Insurance contributed 44 %.

In continuing with its tradition of leadership, Sri Lanka insurance in 2019, surpassed its own record to declare a sum of Rs.7.6 billion as bonus to policyholders. The cumulative life insurance bonus paid out during the past 10 years tops a massive Rs.50 billion making the SLIC bonus payout unmatchable.

“Sri Lanka Insurance further strengthens its strategy of diversification that is largely attributed as the key catalyst for the Company’s precipitated growth during the year. Whilst the growth in our core business contributed towards greater profitability, we are cognizant of the contribution from SLIC’s diversified portfolio in achieving a consolidated profit that is in fact unprecedented,” noted Jagath Wellawatta, Chairman of SLIC.

“We will further strengthen internal capabilities to serve the nation through innovative and affordable insurance solutions which cater to all Sri Lankans. Sri Lanka Insurance will be shifting paradigms in the insurance industry and we strive to continue providing the best protection for Sri Lankans. ”

“In 2019 we remained as the largest and the strongest insurance provider in Sri Lanka. Our performance during the year has re- affirmed our status as the most robust Insurance company in the industry” noted Chandana L. Aluthgama, Chief Executive Officer of SLIC.

‘Our progressive business approach has enabled us to proactively benefit from the opportunities that arose, and will continue to arise, even though the times are defining. We are confident that going forward, our strategy will continue to accelerate the momentum of growth of SLIC” he further stated.

Established in 1962, Sri Lanka Insurance Corporation is the largest government-owned insurance company in Sri Lanka, with a managed asset base of over Rs.211 billion and a Life fund of Rs. 116 billion, the largest in the local insurance industry.

Amana Takaful PLC (ATL) was reaffirmed ISO 9001:2015 recertification for both its General and Family (Life) Takaful businesses recently. The renewal underscores the company’s continuous efforts to provide the highest service standards to its valued customers.

The ISO 9001:2015 certificate is a certification that is awarded to organisations that meet with the highest quality management standards stipulated by the International Standards Organization (ISO).

The prestigious certification confirms that an organisation has met the requirements for a quality management system that showcases its ability to consistently provide products and services that meet customer expectations as well as applicable statutory and regulatory requirements. Based in Geneva, Switzerland, ISO is an independent, non-governmental international organization with a membership of 164 national standards bodies.

ATL obtained the certification in January 2011 and it has been renewed periodically ever since.The Accreditation Auditors, DNVGL Business Assurance Lanka, carried out an in-depth assessment of ATL’s overall operations for General and Life Takaful and subsequently awarded the recertification at the conclusion of the audit.

As the pioneer Takaful provider, ATL operates 38 branches and is set to expand further to better serve customers across the country. ATL continuously reaches out to customers from all segments of society and offers innovative and state-of-the-art insurance products that are convenient, affordable and reliable.

Dialog Axiata PLC, Sri Lanka’s premier connectivity provider, had the distinction of being awarded the title ‘Sri Lanka’s Most Valuable Brand’ for the second consecutive year by Brand Finance, the world’s leading independent brand valuation consultancy, at the 17th edition of its annual review. Dialog also retained its brand rating of AAA for the sixth consecutive year and the title of ‘Most Valuable Telecommunications Brand’ for the 13th consecutive year, reaffirming the brand’s ethos of empowering and enriching Sri Lankan lives and enterprises.

The ‘Most Valuable Brand 2020’ and ‘Most Valuable Telecommunications Brand’ accolades recognise Dialog’s passion to deliver ‘Service from the Heart’ and its commitment to create “The Future. Today”. This is a testament to the company’s salient and meaningful efforts to differentiate and drive the nation’s digital transformation through a range of products and services underpinned by inclusivity, affordability and accessibility to technology for all Sri Lankans, whilst creating unparalleled experiences.

The strength of the Dialog brand has been attributed to its commitment to empower and enrich lives in a connected world, whilst positioning itself as a trusted digital companion in the hearts of over 15 million customers. Dialog’s strategic focus on organization and digital transformation, culture and customer experience has paved the way to create value and ensure it continues to lead in the respective business verticals with unique experiences, resulting in enhancing its brand equity.

Commenting on the awards, Supun Weerasinghe, Group Chief Executive of Dialog Axiata PLC said, “We are honoured to once again be awarded the highly coveted title ‘Sri Lanka’s Most Valuable Consumer Brand’ for the second year running and the ‘Most Valuable Telecommunications Brand’ for the 13th consecutive year. The awards are a representation of the world-class services and solutions that have enriched lives of over 15 million Sri Lankans’ and their continued trust and confidence placed in us to always deliver the Future.Today. This recognition also embodies the Dialog team’s ongoing commitment to placing the company at the forefront of innovation while delivering Service from the Heart.”
 
Ruchi Gunewardene, Managing Director of Brand Finance Lanka commented “ Dialog’s core success has been its ability to bring new technologies into the country and by implementing unique marketing strategies which enable rapid customer adoption. This, together with the single brand approach, which straddles many digital interphases, enables them to drive a compelling brand proposition across many customer touchpoints”.  
 
Brand Finance is the world’s leading independent brand valuation consultancy, with offices in over 20 countries including Sri Lanka. Brand Finance bridges the gap between marketing and finance by quantifying the financial value of brands. Brand Finance calculates the values of the brands in its league tables using the Royalty Relief approach – a brand valuation methodology compliant with the industry standards set in ISO 10668. It involves estimating the likely future revenues that are attributable to a brand by calculating a royalty rate that would be charged for its use, to arrive at a ‘brand value’ understood as a net economic benefit that a brand owner would achieve by licensing the brand in the open market.
 

BEIJING—Chinese exports rose unexpectedly in April, bucking a pandemic-induced economic slump that has crimped demand and disrupted supply chains world-wide.

But economists warned that Chinese exporters may be enjoying a temporary reprieve and aren’t likely immune to a global downturn that remains highly uncertain—a reality underscored by a surprise plunge in Chinese imports. “While demand in emerging markets is resilient, it’s not enough to offset declines from other major trading partners in European and the U.S., which will feed through to weaker exports in coming months,” said Liu Xuezhi, an economist with Bank of Communications.

(https://www.wsj.com/)

NDB Bank hosted its 15th Annual General Meeting as a hybrid meeting giving the option to shareholders to attend the meeting physically or through a virtual platform, keeping in line with the post-COVID health and safety guidelines.

The Bank’s hybrid AGM concluded, further re-affirming the Bank seamlessly stepping into the digital arena.

The AGM was held at the NDB/DHPL Auditorium where various safety guidelines including pre-registration, mandatory health checks and sanitization were in place for shareholders. However, shareholders were encouraged to join the meeting via digital means and those shareholders also were able to interact in a flawless manner during the meeting proceedings.

The Bank has always been in the digital forefront pre-COVID and as companies are looking for more and more automation and streamlining opportunities, NDB’s organizational efficiency and effectiveness was in no way hindered by the digital transformation necessary for the current situation, with over 70% of the Bank’s transactions occurring via digital channels. NDB Bank is a premier commercial Bank with over 113 branches across the island, serving millions of Sri Lankans through a host of financial services.

Bourse ended in the negative territory after a 9 day continuous rally while the market surpassed YTD foreign outflow of 20 billion.

ASPI was dragged down predominantly due to the dip in prices of JKH & TJL. The market experienced a down-trend since the beginning of the session and hit its intraday low of 5,143 during mid-day, thereafter moved upwards and experienced a slight dip before the final 30 minutes of trading. Later index recorded an uptrend once again, and closed at 5,154 losing 10 points. Parcel trades boosted the turnover, contributing 27% of the total.

The secondary market yield curve remained broadly unchanged whilst the overall market witnessed moderate volumes.

During the early hours of trading, buying interest was seen on 01.09.23 trading at 6.10% while mixed activity was seen on 15.01.23 and 15.07.23 trading at 5.95%-6.20% levels, in addition, 15.09.24 traded at 6.53%-6.60% levels. At the primary bond auction held today, 15.12.22 and 15.08.27 bonds were accepted at weighted average yields of 5.86% and 6.97%, respectively.

Brandix was awarded the highest accolade under the ‘Best Liquidity & Investment Solution’ category at The Asset Triple A Awards 2020 for its global Interest Enhancement (IE) solution facilitated by HSBC.

The IE solution, effective across Australia,India, Hong Kong, Mauritius, Singapore, Sri Lanka, United States and the United Kingdom, provides Brandix with an innovative and best-in-class solution to optimise its cash and interest yields globally within complex regulatory settings.

It also enables Brandix to increase visibility and control globally via a single banking platform for all payments and collections, including standardised processes for effective management. This transformation took place following thecentralisation and setting up of Brandix’s Treasury hub, collections and trading arm in Singapore, during which HSBC played an integral role as the company’s consultative partner as well. Priyanke Perera, Head - Global Treasury of Brandix commented on the achievement, “We are honoured to be recognized at The Asset Triple A Awards 2020 for our efforts towards excellence in operational efficiency and optimisation of cash through the IE solution. When exploring the option for a flexible and scalable solution to meet our unique business model, HSBC provided us with a solution leveraging their global network, capabilities and technology to best suit our needs.” “As a result, we are better able to centralise liquidity globally across Asia Pacific, United States and the United Kingdom with automated payments and reconciliation.”

Major PR Greshan Physiotherapist Officer, SERRIC, Lt. Col KPM De A. Wijesinghe SOI (Admin), SERRIC, Sonia Kottegoda Chairperson, SERRIC, Shashika Senerath Chief Marketing Officer, Mobitel, Nuwan Perera  District Manager, Mobitel, Shihan Zahir Assistant Manager, PR & CSR, Mobitel Savani Dissanayake, Assistant Manager, Broadband, Mobitel  

Upholding its well-respected credentials as a caring mobile service provider, Mobitel continues its national duty to the nation by swiftly responding to urgent needs of citizens during the prevailing situation that the country.

In its latest endeavor, Mobitel partnered with Senehasa Education Resource Research and Information Centre (SERRIC) to provide free connectivity, enabling children with special needs at SERRIC to continue their learning activities via online platforms such as ZOOM and MS Teams.

Senehasa Education Resource Research and Information Centre operates under the supervision of the Ministry of Defence, providing therapeutic and academic facilities while functioning as a resource and information centre for caregivers and teachers of special needs children.

These students have been confined to their homes due to the pandemic but need to remain in touch with their teachers until normalcy returns, so that they do not fall back on their learning. Many of the special needs students at the Institute are children of war heroes who themselves provide a selfless service to the nation. By providing free connectivity, Mobitel has ensured that the students located across the country can afford to continue their education via online learning platforms.

Mobitel’s customer centric approach is demonstrated by its prompt response to the current crisis by extending superior connectivity and value-added packages to empower customers to push through during challenging times such as the COVID-19 pandemic situation.

This is one more amongst a host of impactful and meaningful initiatives done by Mobitel to support the nation’s fight against the COVID-19 pandemic whilst leading Sri Lanka towards an info com and knowledge rich society. 

Pakistani scientist specializing in Organic Chemistry Professor Atta-Ur-Rahman called on policymakers to recognize the importance of the youth in the future prosperity of the economy. Rahman was delivering the keynote address at the Organization of Professional Associations 33rd Annual Conference.

Rahman said, “it is only with the creative potential of the youth that we can move forward.”

He later added “Sri Lanka only invests .1 percent of GDP into investment. Please increase it to 1 percent. That is the secret.”

Rahman said the key to a strong economy is know-how. He said “the key is being in a strong knowledge economy. It is our only hope for equitable sustainable economic development.”

Rahman called on the scientific community to realize the strides made in material science in the recent past. Rahman said materials like Graphene and Self Healing Materials developed by NASA would likely spark a revolution.

Rahman had visited Sri Lanka in 1974 under then-leader Sirimavo Bandaranaike and established strong relations with the science community in Sri Lanka. This relationship created multiple opportunities for collaboration between Sri Lankan and Pakistani institutions.

The 32nd Joint Meeting of the UNWTO Commission for East Asia and Pacific (CAP) and the UNWTO Commission for South Asia (CSA) which is UNWTO’s principal annual event in the Asia and the Pacific Region was scheduled to be hosted by Sri Lanka Tourism in Colombo from June 29 to July 1, 2020.

However, in view of the COVID-19 pandemic and the global restrictions on international travel, it was decided not to hold a physical meeting this year as it was initially planned. Therefore, CAP-CSA will be held virtually on June 30, 2020 under the theme “Impacts of COVID-19 on the Tourism Sector and the Recommendations for the Recovery Process”.

The meeting will be attended by the Secretary-General of UNWTO including the UNWTO Officials, Tourism Ministers of Asia and the Pacific region.

Sri Lanka will be represented by Prasanna Ranatunga, Minister of Tourism and Aviation, Secretary S. Hettiarachchi and Sri Lanka Tourism Chairperson Kimarli Fernando.

Sri Lanka has also been given the opportunity to host the 33rd Joint meeting of the two Commissions next year in Colombo.

Some of the health regulations may pose a threat to the construction industry, a study by PricewaterhouseCoopers (PwC) Sri Lanka said based on Post Recovery Strategies webinar on Real Estate and Construction.

“The biggest risk seems to be the continuation of work and providing accommodation in line with social distancing measures. Unlike other companies, the workforce of engineering and construction companies must be on the job site.”

Beyond providing them with appropriate protective gear, companies can take additional steps to help them stay safe, such as staggering shifts, mandating safe distances between workers, and banning visitors.”

“In other countries, there are Apps that can help keep a track of workers’ locations while on the job, in full compliance with privacy regulations, so management can quickly identify potential exposures to the virus.”

Given the dependency on overseas suppliers by Sri Lankan Engineering and Construction companies, it is an extraordinary challenge to obtain visibility into and manage the behaviors of their supply chains. “To find vulnerabilities in the supply chain and choose how to respond, you need to maximize visibility. Reach out to your suppliers, gather data, and build a dashboard that you continue to update and refine over time.Based on what the dashboard reveals, consider the legal and financial implications, as well as their impact on margins, cash flow, loan repayments, and terms. Make sure that your project controls, risk management, and governance processes can handle all the supply chain changes you consider.”

“For critical suppliers whose long-term prospects are sound, Companies may want to offer contractual flexibility (if appropriate) and technical support, including help in tapping government funding as part of the recovery and stimulus programs all over the world. Yet you also must be ready to pivot to new suppliers as needed. The report predicts that when the pandemic ends, companies will face a new world. The dynamics of the marketplace will change, as the Government may have different views on infrastructure development.”

Meanwhile, in other countries, portfolios are also changing rapidly due to the new emphasis on sustainability and resilience.

“Cities are likely to have a shift, to accommodate more residents who are working from home. Hence, commercial real estate is likely to undergo a prolonged downturn. Based on our discussions with developers, the market for condominium apartments is expected to be depressed in the short-medium run. However, that being said, companies that can emerge from this crisis with solid finances, a resilient supply chain, skilled workers, and the capacity to gather and analyze the data that decision-makers need, will be well-placed to pivot and seize new opportunities. Those organizations will be market leaders no matter how the post-COVID world evolves.”

PricewaterhouseCoopers (PwC) Sri Lanka is an independent entity which is a part of the PwC global network. (SS)

Ceyline Group, chartered a SriLankan Airlines flight to Cochin to repatriate 120 Indian seafarers who had completed contracts and signed off from ships off the port of Galle.

The A321 aircraft departed Colombo Bandaranaike International Airport (BIA) carrying marine crew from seven International Ship Management companies.

This was the second SriLankan Airlines flight chartered by Ceyline. The first one was on June 20, where 50 Indian seafarers were brought to Sri Lanka from Cochin, to join ships off the Port of Galle. Since the COVID19 Pandemic has been successfully controlled in Sri Lanka it was able to come to the aid of the international shipping community by being a safe location for facilitating the change of ship’s crew, which is critical for the safe operation of ships.

This crew change logistics generate income streams for the local Shipping Agency companies, the ancillary service providers as well as the healthcare and hospitality industries.

The mandatory PCR tests are done at local hospitals and the seafarers stay at hotels which have been converted into secure Isolation Centers until their respective flights or ships arrive. These services are all paid for by international shipping companies, thereby generating foreign exchange earnings to the country during these turbulent times. “When President gave his consent to conduct crew changes in Sri Lanka he made a request from the shipping industry that SriLankan Airlines be used for marine crew transfers wherever possible. We thought we would honor that request. Ceyline will continue to support our national carrier despite cost benefits offered by other airlines” stated Capt. Ajith Peiris Chairman of Ceyline Group.

Crew change logistics and transfer operations at Ceyline is handled by a team which is headed by Mevan Peiris, Capt. Channa Abeygunawardena and Charmini Abeywickrama.

“We have got the support of two leading Shipping Associations in India to make this venture a success,” Mevan Peiris Group Director of Ceyline said.

Outgoing World Bank Country Director for Maldives, Nepal and Sri Lanka, Idah Z. Pswarayi-Riddihough said that although Sri Lanka has many human development indicators that are well above its regional neighbors, COVID-19 poses a threat to some of these gains.

Speaking about the highlights of her four years in Colombo she said that the country will therefore need to continue its concerted focus in these areas, while adjusting to a new normal.

Increasing fiscal space, managing debt and furthering competitiveness and trade too would be a challenge for Sri Lanka as well as many other countries.

“With a population that is rapidly ageing and women living longer than men, there is a need to re-evaluate the country’s social security and pension systems.”

Since the impacts of COVID-19 have led to a loss of overseas jobs - and hence lower remittances - replacement jobs that capitalize on the participation of both men and women will need to be rapidly created.

“Space will also need to be created to attract the private sector, which is the engine of growth in many emerging markets.” She said that it will be equally important to address the socio-economic impacts of the pandemic, including its impacts on the financial sector, particularly on SMEs which are the backbone of the country’s tourism and manufacturing industries. Commenting on opportunities for Sri Lanka she said that the COVID pandemic has demonstrated the country’s capacity to manage a health emergency of severe magnitude.

“Despite the crisis, Sri Lanka managed to sustain its food security. With more investment, the agriculture sector can grow into a sizable export industry, going beyond self-sufficiency in food.”

Sri Lanka has done an amazing job with respect to developing its hydropower. “Its next opportunity will lie in developing renewable energy, especially since technological advances have now made it possible to store solar energy in batteries for many hours.”

Sri Lanka has a high human capital index, the highest in South Asia. “Continued investment in the country’s youth and upskilling the current labor force will increase the number of workers that have the ability to perform higher-order and more resilient jobs – including becoming entrepreneurs who create jobs for others.”

“It is not surprising that Sri Lanka was nominated the best place to visit by the Lonely Planet magazine. Rebuilding the tourism industry post-COVID will ensure that the country once again enjoys this special honor.”

The World Bank is an apolitical and non-partisan development institution with vast global knowledge and expertise that can be tapped easily for a nation’s development. “It will continue to partner with the government of Sri Lanka as it works for the well-being of the people and the country.” (SS)

The Monetary Board of the Central Bank of Sri Lanka, at its meeting held on 26 June 2020, decided to implement a Credit Guarantee and Interest Subsidy Scheme to accelerate lending by banks to businesses adversely affected by the COVID-19 pandemic.

This scheme, which will be launched on 01 July 2020, will operate in parallel with the Saubagya COVID-19 Renaissance Facility and the new Facility approved by the Monetary Board under Section 83 of the Monetary Law Act, within the already announced threshold of Rs. 150 billion.

Under this Scheme, the Central Bank will provide a credit guarantee to banks, ranging from 80 per cent for smaller loans to 50 per cent for relatively large loans, enabling banks to grant loans to address working capital requirements of the affected businesses. With the Central Bank absorbing a significantly higher percentage of the credit risk, banks can extend their lending to vulnerable businesses focusing on the viability and cashflows of such businesses rather than collateral.

Banks are expected to use their own funds, particularly the additional liquidity of close to Rs. 180 billion provided by the Central Bank through the cumulative reduction in the Statutory Reserve Ratio (SRR) of 300 basis points thus far during the pandemic period, to grant loans at 4 per cent to businesses. The Central Bank will provide an interest subsidy of 5 per cent to cover the cost of funds of banks.

Operating instructions on this scheme will be issued to banks in immediate due course.

The Bourse ended the week on a positive note as the ASPI increased by 172.93 points (or 3.47 percent) to close at 5,163.35 points, while the S&P SL20 Index also increased by 134.32 points (or 6.23 percent) to close at 2,290.85 points.

Commercial Bank was the highest contributor to the week’s turnover value, contributing LKR 0.94Bn or 13.49 percent of total turnover value. HNB followed suit, accounting for 11.32 percent of turnover (value of LKR 0.79Bn) while Hemas Holdings contributed LKR 0.53Bn to account for 7.54 percent of the week’s turnover. Total turnover value amounted to LKR 6.98Bn (cf. last week’s value of LKR 7.08), while the daily average turnover value amounted to LKR 1.40Bn (-1.32 percent W-o-W) compared to last week’s average of LKR 1.42Bn. Market capitalization meanwhile, increased by 3.47 percent W-o-W (or LKR 80.75Mn) to LKR 2,411.11Bn cf. LKR 2,330.36Bn last week.

Liquidity (in Value Terms)

The Banks Industry Group was the highest contributor to the week’s total turnover value, accounting for 44.17 percent (or LKR 3.08Bn) of market turnover. Industry Group’s turnover was driven primarily by Commercial Bank, HNB, Nations Trust, HNB [NV] & Sampath Bank which accounted for 89.51 percent of the sector’s total turnover. The Capital Goods Industry Group meanwhile accounted for 22.76 percent (or LKR 1.59Bn) of the total turnover value, with turnover driven primarily by Hemas Holdings, JKH & Royal Ceramics which accounted for 76.72 percent of the sector turnover. The Diversified Financials Industry Group was also amongst the top sectorial contributors, contributing 10.55 percent (or LKR 0.74Bn) to the total turnover, with turnover driven primarily by LOLC Holdings accounting for 60.70 percent of the total turnover.

Liquidity (in Volume Terms)

The Materials Industry Group dominated the market in terms of share volume, accounting for 17.80 percent (or 48.30Mn shares) of total volume, with a value contribution of LKR 0.50Bn. The Food Beverage & Tobacco Industry Group followed suit, adding 15.46 percent to total turnover volume as 41.94Mn shares were exchanged. The Industry Group’s volume accounted for LKR 0.32Bn of total market turnover value. The Banks Industry Group, meanwhile, contributed 39.53Mn shares (or 14.57 percent), amounting to LKR 3.08Bn.

Top Gainers & Losers

S M B Leasing [NV] was the week’s highest price gainer; increasing 50.0 percent W-o-W from LKR20.00 to LKR30.00 while Raigam Salterns (+25.0 percent W-o-W), Tess Agro (+25.0 percent W-o-W) and Equity Two PLC (+23.0 percent W-o-W) were also amongst the top gainers.

S M B Leasing was the week’s highest price loser; declining 25.0 percent W-o-W to close at LKR0.30. Shalimar (-22.7 percent W-o-W), Amana Life (-17.9 percent W-o-W) and Browns Investments (-13.8 percent W-o-W) were also amongst the top losers over the week.

Foreign investors closed the week in a net selling position, with the total net outflow amounting to LKR 1.48Bn relative to a net outflow of LKR 2.65Bn recorded last week(+44.1 percent W-o-W). Total foreign purchases decreased by 69.5 percent W-o-W to LKR 0.21Bn from a value of LKR 0.70Bn last week, while total foreign sales amounted to LKR 1.69Bn relative to LKR 3.35Bn recorded last week (-49.4 percent W-o-W). In terms of volume, Richard Pieris and HNB led foreign purchases while Hemas Holdings & Nations Trust led to foreign sales. In terms of value, Richard Pieris & HNB led foreign purchases while Hemas Holdings & Nations Trust led foreign sales.

Dividend Announcements

Company DPS (Rs.) Type XD Date; CENTRAL INDUSTRIES 2.00 Final 04-08-2020 SRI LANKA TELECOM 1.06 First & Final 16-07-2020 Company Proportion Shares to be Issued Type CENTRAL INDUSTRIES 21.25:1 930,279 Scrip

Key Economic Indicators May; Prime Lending Rate-9.28 percent Ave. Wtd. Deposit Rates-7.57 percent Ave. Wtd. Fixed Dep. Rates-9.26 percent CCPI Inflation Y-o-Y percent (Base 2013)-5.2 percent.

Point of View

An extended rally in domestic equities pushed the ASPI above the key psychological mark of 5,000 points this week as the benchmark index gained ~173 index points or 3.5 percent W-o-W to close at 5,163.35 points. Equity markets opened on a positive note, gaining ~56 points on Monday supported by an uptick in heavyweights JKH, COMB, and LOLC amid stronger retail-driven momentum. Consequently, the benchmark index crossed the 5,000 mark for the first time since mid-March at its close on Monday. This week’s gain on the index was predominantly supported by index heavyweight JKH amid an announcement stating that the International Finance Corporation had entered into a long-term financial agreement with the Group to support its investment pipeline.

saRenewed investor confidence in the blue-chip consequently led JKH to rise 9.6 percent W-o-W to Rs. 128.20, contributing 31.63 index points or 18.3 percent to the total market gain for the week. Furthermore, this week’s ~173 point gain helped trim the YTD loss on the ASPI to 15.5 percent.

Activity levels on the Colombo Bourse fell marginally however with average daily turnover levels amounting to Rs. 1.40Bn (cf. Rs. 1.42Bn last week) as local HNI and institutional participation remain muted this week. Consequently, crossings contributed a mere 11 percent to total turnover for the week (cf. last week’s 22 percent). Interest remained concentrated mainly on Hemas Holdings (32 percent of the total crossing) and select Banking sector stocks (COMB, HNB, & NTB accounted for 41 percent of total crossings this week).

Meanwhile, the foreign sell-off on Sri Lankan continued this week albeit at a slower pace, with net foreign outflow for the week totaling to Rs. 1.48Bn relative to a net outflow of Rs. 2.65Bn last week. This week’s net selling position on equities increased the YTD outflow from the Colombo Bourse to Rs. 19.8Bn. Markets in the week ahead are likely to take cues from further economic and political developments.

Trade Deficit Widens as Exports Fall Sharply

Sri Lanka’s trade deficit widened in Apr’20, to $840Mn from a deficit of $797Mn in Apr’19 as a result of a sharp decline in export earnings (-64.6 percent Y-o-Y) compared to a drop in import expenditure (-29.6 percent Y-o-Y) during the month. The drop in exports was largely due to disruptions in domestic production and export-related services caused by a nationwide lockdown during the month amid containment measures taken by global value chain hub regions. Consequently, export earnings fell from $798Mn in Apr’19 to $282Mn in Apr’20 with all major export categories recording significant declines (particularly in textile & garments, rubber products, and tea).

Meanwhile, import expenditure also experienced a decline in Apr’20 led by a significant fall in intermediate and investment goods amid import restrictions, an island-wide curfew, and lower commodity prices due to the Covid-19 pandemic. Consequently, import expenditure fell from $1.6Bn in Apr’19 to $1.1Bn in Apr’20 led by lower expenditure on fuel (due to lower import volumes and crude oil prices). In terms of service inflows.

Meanwhile, the significant outflow from capital markets moderated in Apr’20 as net outflows from Government securities amounted to $90Mn (cf. a net outflow of $261Mn in Mar’20 in the aftermath of the pandemic) while no foreign flows were recorded in equity markets due to the suspension of trading from mid-Mar’20.

Meanwhile, long term loans to GoSL created inflows amounting to $137Mn in Apr’20. Gross official reserves at the end of Apr’20 stood at $7.2Bn (cf. $7.5Bn in Jan’20) while the LKR depreciated ~2.8 percent against the USD so far this year, recovering from a sharp decline in Apr’20.

The Central Bank of Sri Lanka (CBSL) has noticed several media reports that vests the responsibility of failure and subsequent cancellation of license of several finance companies which were licensed under the Finance Business Act, No. 42 of 2011 (FBA).

The CBSL carries out the regulation and supervision of licensed finance companies (LFCs) to ensure and strengthen the stability of the LFCs and in turn the stability of the financial system, which is one of the core objectives of the CBSL. Such stability is ensured through minimum capital, minimum liquidity, and provisioning requirements; regulation of investments to reduce concentration risk and corporate Governance requirements.

The LFCs are managed by boards of directors and key management personnel, which take independent business decisions and take full responsibility of managing the business. Such business decisions may lead to failure of such LFCs, despite continuous regulation and supervision carried out by CBSL. Cancellation of licence of an LFC, is the final step of number of supervisory measures, and is done only when it is established that continuation of the business of such LFC would be detrimental to interest of its depositors and other creditors. Further, cancellation of licence is a legitimate procedure performed under the provisions of the FBA. As per the provisions of the FBA, an LFC is obliged to take all reasonably necessary measures to repay deposits to its depositors.

The CBSL does not ensure that an LFC under its regulation and supervision does not fail but would take all possible efforts to prevent such failure. It is categorically stated that no banking regulator extends such assurance, which is evidenced by failures of many reputed international banking institutions during the last several decades. In this light, it is reiterated that CBSL does not guarantee the return of deposits of a regulated financial institution, and repayment of such deposits from CBSL funds.

In 2010, CBSL established the Sri Lanka Deposit Insurance and Liquidity Support Scheme (the scheme), which currently pays a maximum of Rs. 600,000 per depositor for each financial institution of which licence is cancelled or suspended.

The depositors of Central Investment and Finance PLC, The Standard Credit Finance Ltd, The Finance PLC and TKS Finance Limited (said LFCs), of which licenses were cancelled recently are being repaid out of the scheme, subject to the said maximum of Rs. 600,000, per depositor. Therefore, no CBSL or Government funds are used for deposit insurance payments to depositors of the said LFCs. Further, upon liquidation of the said LFCs the depositors may be entitled to further payments through proceeds received from disposal of assets.

The public is invited to be vigilant when depositing their money as to the soundness of the relevant LFC and CBSL would continue to improve the quality of information provided to customers to make this decision.

The attention of CBSL has also been drawn to the recent incident where a person has been allegedly assaulted and murdered by employees of an unauthorised financial institution, purported to be providing finance leasing facilities.

Registration under the Finance Leasing Act, No 56 of 2000 (as amended) (the FLA) is mandatory to carry out finance leasing business and any person carrying out finance leasing business without such registration commits an offence under the FLA. The said institution has not been registered by CBSL to carry out finance leasing business and therefore, any finance leasing business carried out by such institution constitutes an offence. Upon receipt of information, investigations into such unauthorized conduct would be carried out by CBSL.

CBSL invites the public to be vigilant when obtaining finance leasing facilities, which required the relevant institution to be registered under the FLA, while such registration is not required to carry out hire purchase activities under the Consumer Credit Act, No. 29 of 1982. The public is advised to obtain finance leasing facilities only from registered leasing establishments (RLEs), registered by the CBSL under the FLA. A list of the RLEs is available in the CBSL web-site. Only RLEs are subject to regulation and supervision of CBSL, including the debt moratorium announced through circulars No. 4 and 5 of 2020 issued by CBSL. It is emphasized that the said moratorium does not apply to entities other than licensed banks, licensed finance companies and other specialized leasing establishments registered under the FLA. Public is also encouraged to inform the CBSL of any such unauthorized organisations providing such leasing facilities and adopting unethical practices.

CBSL reiterates the requirement for enactment of a legal framework to regulate unregulated moneylending activities so that a better and more effective regulatory environment is crated for moneylending institutions in the future. Hence the need for the enactment of the proposed Microfinance and Credit Regulatory Authority Act, approved by the Monetary Board of the CBSL is vital.

Clearly, the global pandemic caused by the spread of the new coronavirus (COVID-19) already has an impact on the world economy and the broader market.

The Certificate in Services Marketing (CSM) offered by SLIM, the National Body for Marketing is the only professional qualification in Sri Lanka designed to introduce the dynamic nature of services marketing environment, concepts and strategies unique to the services and sharpen the skill set to manage services to ensure customer satisfaction.

CSM is ideal for those who are working in or managing service-oriented organisations and those who are directly interacting with customers in any form of business.

This three-month programme is a balanced blend of academic and professional orientation, along with insightful case studies. CSM consists of three modules Introduction to Services Marketing, Building Services Strategy, and Uplifting the Services Culture. Students who enroll in this programme can complete the course at SLIM Business School in Colombo and Kandy.

Commenting on the importance of service excellence in the backdrop of the prevailing pandemic, Roshan Fernando, President, SLIM said, “The world is adjusting to face the New Normal created by the COVID-19 pandemic. Hence, the service industry should also think of new ways to move forward. SLIM has already initiated a new campaign themed ‘Restart Sri Lanka’ under the guidance of the Prime Minister’s Office to reengineer the struggling Businesses and SMEs, including service-orient businesses. The programme CSM is the education product we launched in 2018 as a result of understanding the importance of service in today’s world.”

Under the Restart Sri Lanka national initiative, SLIM launched the ‘Made in Sri Lanka’ project in collaboration with the Sri Lanka Inventors Association (SLIC) where many inventors understand the need of service delivery problems and invented many new inventions and presented to the Made in Sri Lanka platform to restart the nation with positive vibes.

Nuwan Gamage, Vice President- Education, SLIM said, “As the National Body for Marketing, we are keen on reshaping the service economy of the country. As an educational service provider, we are also using novel methods such as online live lecturing, online student support systems, online payment processing, and online registrations systems to deliver our services more effectively and efficiently.”

“CSM is a professional qualification targeted at service marketing professionals and organisations. We believe that service excellence is the key to success and the only way of differentiating from the competition,” said Sanath Senanayake, Chief Executive Officer and Executive Director, SLIM.

Local software company Axienta that has been an innovator in the field of Sales Force Automation (SFA) for a large number of leading Blue chip companies in Sri Lanka and having forged a leadership position in the market in supporting the SME sector with their VANTAGE Solution, has now taken the leap to further expand their footprint into the African region.

They recently signed a partnership agreement with TecnoZone IT Solutions, a software technology company operating in Malawi, which specializes in providing innovative Enterprise and Cloud based E-Learning and Social Learning Solutions, Retail Management Solutions and Support Services among many other services is with the aim of collaborating the expertise of both organizations to support SME companies in the African Region.Managing Director of TecnoZone IT Solutions Ruwan Kahawattage, stated, “Our partnership with Axienta reflects and demonstrates our commitment to adding continuous value to our customers through tailored technology solutions. The VANTAGE Solution we will be launching with Axienta will provide everything SME’s require to remain competitive by effortlessly optimizing their sales processes and in keeping track of their KPI, anytime and anywhere”.

Vice President of Axienta Stefan Fernando, added “the partnership with TecnoZone will enable Axienta to tap into the African region, which is a lucrative market with immense opportunities. We aim to play an active role in supporting the African SME’s segment in their journey towards growth and hope to encourage and co-develop innovative solutions that will transform the SME industry across the African region through this collaboration.”

Proven to increase efficiency, ease of use, inventory management and reporting and dashboards, both Axienta and TecnoZone intends to use their collective expertise to provide greater standardization and visibility of operations for SME’s in the African Region through VANTAGE.

Having commenced their journey in offering their solutions in the global arena initially with Vietnam, and recently setting up an office in USA in 2019, Axienta hopes to once again establish a secured market share in this region, as they have done in the other countries they currently operate in.

With Small and Medium enterprises (SMEs) representing almost 90% of the businesses around the world according to the World Bank, which points out the significance of SMEs in the economy of the world, Axienta hopes to be a leading software innovator for SME companies around the world and play an integral role in supporting their growth and success .

South Asia Textiles Limited, a leading Sri Lankan textile manufacturer specialized in producing exceptional quality weft knitted fabric for leading brands across the globe and HeiQ Materials AG, a Swiss based global leader in textile innovation creating some of the most effective, durable and high-performance textile technologies are collaborating to produce a specially treated fabric to be used for masks exported to the US (United States of America).

South Asia Textiles’ knitted jersey fabric combined with HeiQ’s recently launched anti-viral and anti-microbial agent, HeiQ Viro block NPJ03 was commissioned by a high-quality US brand working in close collaboration with partners in the US.

Commenting on the partnership, Prithiv Dorai, Managing Director and Chief Executive Officer, South Asia Textiles Limited said, “We are excited about the partnership with HeiQ and are hopeful that we can positively contribute towards the need of the situation. Our versatility and the ability to manufacture new technology enabled material within a short span of time is our key strength. The fact that we were nominated and selected for this project is a testament to consistency and superior quality standards that we maintain at South Asia Textiles”.

South Asia Textiles, a subsidiary of Ambeon Holdings PLC, commenced its commercial operations in 2004. The company also specializes in Knitting, Dyeing, Finishing, Printing, Brushing, Sueding and Preshrunk fabric for leading global brands such as Victoria Secret, Next, Marks & Spencer, Tesco, Calvin Klein, Decathlon and Adidas.

“At a time when the world is battling to create a better place amidst current global pandemic, the Ambeon Group is pleased to be able to continue support towards the betterment of the people of Sri Lanka and the world,” stated Murali Prakash, Group Managing Director Ambeon Capital PLC and Ambeon Holdings PLC.

HeiQ is the global leader in textile innovation specializes in research, manufacturing and marketing of high-quality, high-performance textile finishing. The Swiss-based material science organization with offices, R&D centres and manufacturing facilities on four continents continues to serve brands and textile mills globally.

Compared to untreated face masks, HeiQ Viro block treated FFP2 face masks showed greatly reduced virus infectivity of key virus types: H1N1, H5N1, H7N9, Coronavirus (229E), and RSV in face mask testing.

Musa Raibin, VP South Asia Brandforce said, “The Team at South Asia Textiles is one of most skilled in the region, with the necessary openness and eagerness to pursue innovation at the right time. We had a seamless on boarding process with the finishing team going above and beyond to ensure that every requirement was met perfectly.”

South Asia Textiles’ strategic location, attention to detail and superior levels of client servicing continues to assure these global giants that it is a credible Sri Lankan source for quality textiles that maintains the highest international standards while, at the same time, supplying products fast via short lead times.

The 51stAnnual General Meeting (AGM) of the Commercial Bank of Ceylon PLC, Sri Lanka’s benchmark private bank, was conducted on a virtual platform for the first time on June 25.

This was organised to maintain social distancing as necessitated by the COVID-19 pandemic. The proceedings were streamed live via Zoom from the auditorium of the Bank’s Union Place branch and shareholders were provided the facility to vote via an online voting platform called eBallot, the Bank said. One of Sri Lanka’s largest and most-awarded private bank, the Commercial Bank celebrated its 100th anniversary this year.

Citizens Development Business Finance PLC (CDB) has appointed Karthik Elangovan Chief Officer Corporate Affairs, as an Executive Director with effect from July 1.

He is a member of the corporate management team at CDB and served as the Director and CEO of Unisons Capital Leasing Limited (UCL), a subsidiary of CDB since 2015 which amalgamated with CDB recently.

Elangovan joined CDB as Assistant Manager, Marketing in July 2004, responsible for the development of the overall retail business and was instrumental in establishing brand CDB. He was appointed as the Deputy General Manager Marketing in 2011 and became Senior Deputy General Manager in 2014.

Mahesh Nanayakkara, Managing Director and CEO, CDB commented on the appointment. “At CDB we have always set ourselves apart by our approach to business, and being future ready. Karthik Elangovan has had a stellar career at CDB where he has stood out as a multi-disciplinary professional, ready to take the company to newer heights. Elangovan’s appointment as an Executive Director, represents the evolvement of the next generation of leaders, in line with CDB’s 2020 – 2030 succession plan”, he said. Karthik Elangovan is a Chartered Marketer, a Fellow of the Chartered Institute of Marketing of UK, and a Fellow of the Sri Lanka Institute of Marketing (SLIM).

Ranjith Kodituwakku assumed duties as the 17th Chief Executive Officer and General Manager of People’s Bank, recently.

Kodituwakku has over 37 years of banking experience in a wide spectrum of areas covering Consumer Banking, Commercial Banking, Corporate Banking, Off-shore Banking, Branch Banking, International Banking, Project Financing, Recoveries and Digitalization. He poses extensive local and international training/exposure and has worked in different capacities at different geographical locations.

He also serves as a Director of People’s Insurance PLC, Lankan Alliance Finance Ltd., Bangladesh, Regional Development Bank Sri Lanka, Board of Financial Ombudsman Sri Lanka (Guarantee) Ltd., Credit Information Bureau of Sri Lanka and as an Alternate Director of the Lanka Financial Services Bureau.

Kodituwakku holds a Master’s Degree in Business Administration specialised in Finance from the University of Colombo, Bachelor of Laws (Honours) from the University of New Buckinghamshire, United Kingdom and is an Associate Member of the Institute of Bankers of Sri Lanka.

The first virtually facilitated Annual General Meeting of HNB Assurance PLC was held recently.

The Company effectively addressed all shareholders during the 18th Annual General Meeting supported by well equipped live streaming facilities. The initiative was co-ordinated keeping in line with all safety precautions imposed in the country due to the active pandemic situation.

Sharing her views on the Annual General Meeting, Chairperson of HNBA and HNBGI Rose Cooray said, “The Company led the discussion through digitally driven platforms as part of the well-thought measures initiated towards business continuation, and also in adherence to all compulsory safety guidelines. The uninterrupted streaming service facilities were efficient in addressing our valued Shareholders and related stakeholders effectively on business matters, all thanks to the planning and dedication of the management and IT staff of the Company”.

Managing Director and CEO of HNBA and HNBGI, Deepthi Lokuarachchi expressed his thoughts stating, “Careful management of our resources to achieve our business margins in such restricting times is for each of our stakeholders’ betterment, and the 18th ‘Virtual’ Annual General Meeting of HNBA has demonstrated comprehensive outcomes in this regard. I am thankful for the support of all staff involved, and also to our Shareholders for taking their valued time to adopt the relevant technology in making this event a success”.

HNB Assurance PLC (HNBA) is the one of the fastest growing Insurance Companies in Sri Lanka with a network of 63 branches.

Showcasing the transformational potential of 5G Technology, Mobitel Sri Lanka’s National Mobile Service Provider powered South Asia’s first 5G enabled Mixed Reality Live TV Show via its 5G Network in partnering with SLT Peo TV Charana TV Channel.

This historical moment in spearheading a new era of live TV Broadcasting with 5G Technology was graced by Oshada Senanayake, Director General of the Telecommunications Regulatory Commission of Sri Lanka (TRCSL) and Rohan Fernando, Chairman of SLT and Mobitel.

During the showcase, Oshada Senanayake, Director General of the Telecommunications Regulatory Commission of Sri Lanka (TRCSL) joined the live TV program ‘Aseema’ interactively, from his office premises via Mobitel’s 5G network coverage at the TRCSL.

The telecast was encompassed with Mixed Reality Technology for its viewers demonstrating how low latency and high-speed capabilities in 5G Technology can make virtual reality boundaries seamless by allowing geographically dispersed participants to be connected into the virtual events in real time.

Further, Mobitel recently demonstrated the latest 5G connectivity at One Galle Face Mall highlighting the country’s need for 5G technology and related services as the leader of Sri Lanka’s digital transformation.

Mobitel has been at the forefront of 5G deployments and public demonstrations leading the country’s future digital landscape.

On April 5, 2019 Mobitel showcased South Asia’s first 5G deployment over a Mobile Network, connecting a commercial Mobile smartphone to its 5G network. Following the demonstration of 5G Speed tests using a commercial 5G smartphone for the first time in South Asia on June 4, 019, Mobitel went on to achieve a new speed record of 1.55Gbps for South Asia on June 7 2019, making a momentous landmark on 5G deployments across the globe.

Furthermore, Ookla has declared Mobitel as the Winner of the Speed test Award for 2019, successfully winning the award for all four quarters consecutively as the Fastest Mobile Network in Sri Lanka due to the superior usage experience currently Mobitel offers to its loyal customer base well above other competitors.

Mobitel is proud to lead Sri Lanka’s Digital Transformation and will continue to enhance its world class network through 5G expansions in the near future. As the National Mobile Service Provider, Mobitel will stay true to its ‘We Care.

The Central Bank of Sri Lanka (CBSL) has taken steps to pay compensations up to Rs.600, 000 to all insured depositors of The Finance Company PLC (TFC) as per the Regulations of Sri Lanka Deposit Insurance and Liquidity Support Scheme.

The balance amount if any, will be settled after liquidation of properties belong to TFC. The compensation payments will be made through the People’s Bank as the agent bank appointed by CBSL for this purpose.

The first phase of the compensation payment for the individual depositors having a single deposit, will be commenced on June 7, 2020 at People’s Bank branch locations where TFC branches were previously operated.

The license issued to The Finance Company PLC (TFC) to carry on finance business has been cancelled with effect from 22.05.2020 in terms of the provisions of the Finance Business Act No. 42 of 2011.

Further details in this regard can be obtained from Central Bank and Peoples bank selected branches.

The Asian Development Bank (ADB) retained its first place ranking in the 2020 Aid Transparency Index (ATI), an independent measurement of aid transparency released today at the Brookings Institution in Washington, D.C.

In the index, spearheaded by British nongovernment organization Publish What You Fund, ADB’s sovereign portfolio is ranked in the “very good” transparency category of the ATI with the top score of 98.

“I take great pride in ADB’s first position in an index that is playing a key role in helping to promote greater transparency and openness among international agencies,” said ADB President Masatsugu Asakawa. “ADB has continuously worked to improve the disclosure of its aid data in terms of quality and scope. Our top ranking reflects the dedication of staff, across the organization, to ensure adherence to aid transparency standards.”

This is the second time that ADB ranked No. 1 in the ATI, which had its pilot run in 2011. The 2020 Index is the seventh full Index report to monitor and encourage progress toward aid transparency.

Data collection was carried out from December 2019 to April 2020, and focused on 35 indicators, grouped into five components: finance and budgets, joining up development data, organizational planning and commitments, project attributes and performance. The Index groups donors into five categories based on their overall scores (out of 100).

Ten other organizations among the 47 ranked were this year classified in the “very good” category with a score of at least 80%—the World Bank-International Development Association, the United Nations Development Programme, the African Development Bank–Sovereign portfolio, the Inter-American Development Bank, the United Nations Children’s Fund, the US Millennium Challenge Corporation, the Global Fund, UK Department for International Development, the Canada Global Affairs, and the Global Alliance for Vaccines and Immunization.