Oct 09, Colombo: Fitch Ratings Lanka has today affirmed the National Long-term rating of DFCC Bank (DFCC) at 'AA(lka)'.

According to analysts, ratings reflect DFCC's strong capital base and sustained high profitability, but also factors in the Bank's inherent lack of product and funding diversity as a development finance institution (DFI), as well as its relatively large exposure to riskier long-term project finance.

DFCC was established in 1955 as a licensed specialized bank under the recommendation of the World Bank to foster economic growth in Sri Lanka through the provision of long-term project finance. The bank was listed on the Colombo Stock Exchange in 1956. Entities related to the Stassens Group held 30.5% of DFCC's equity at FYE08, with Bank of Ceylon holding a 14.6% stake at FYE08.