Sept 13, Colombo: Fitch Ratings has maintained the Rating Watch Negative (RWN) on SANASA Development Bank PLC’s (SDB) National Long-Term Rating of ‘BB+(lka)’.

KEY RATING DRIVERS

The resolution of the RWN with an affirmation of the ratings could occur when there is further clarity around the sovereign debt restructuring process pointing to a reduction in stresses that have affected the banking sector in the past several quarters.

Debt Restructuring Weighs on OE: We believe risks to Sri Lankan banks’ operating environment (OE) remain high despite the exclusion of the banks’ holdings in Sri Lankan rupee-denominated government securities from the sovereign domestic debt restructuring. This is due to the banks’ predominant exposure to the very weak domestic economy and debilitated sovereign’s credit profile, which continues to hinder banks’ operational flexibility.

Full Report

ColomboPage - Recent 10 Stories :: Six wild elephants killed in collision with trains -- [31 minutes ago] Suspect arrested with Rs 10 million worth of ‘ice’ -- [47 minutes ago] Seylan Credit Cards and Union Assurance join hands to offer hassle-free life insurance payment options -- [1 hour and 40 minutes ago] Three wild elephants killed after being hit by a night mail train -- [9 hours ago] Providing loan guarantees for the upliftment of small and medium enterprises later this year -- [9 hours ago] Colombo Port City investor interest grows as Colombo Port City Economic Commission delivers rapid progress in 2023 ComBank conducts hackathon for staff to display problem-solving ingenuity President calls on all Muslims to come together to overcome the nation’s challenges Sri Lankan cricketer Danushka Gunathilaka found not guilty of sexual assault in Sydney First phase of East Container Terminal of Colombo Port to start operations in June next year