Business
Sarvodaya Development Finance, Sri Lanka’s first listed, impact investment company records historic year
Sarvodaya Development Finance PLC (SDF) made history in 2021, by becoming Sri Lanka’s first impact investment company to list on the Colombo Stock Exchange(CSE) and reported its best profits to date, for the financial year 2021-22.
SDF made its debut onto the Main Board of the CSE on November 23rd 2021, by raising Rs 1 billion in equity from its Initial Public Offering (IPO). The IPO was over-subscribed by noon, indicating the high level of investor interest and trust in the Sarvodaya Movement’s financial services arm, despite the prevailing global economic uncertainty.
SDF has a tried and tested mechanism to channel funds into the development of micro, small and medium enterprises, a majority of which are located outside the Western Province. Over 80% of SDF’s branches are located outside the Western Province and SDF also works with 5,400 Sarvodaya Shramadana Societies to channel funds to the end user, provide savings options and other support services, including business training and market development activities, for rural entrepreneurs.
It must be noted that SDF’s lending activities are restrained by the Sarvodaya principles. SDF does not lend towards activities deemed anti-social and/or inhumane. These excluded sectors include butcheries, alcohol related businesses, drugs and gambling etc…
A historic financial performance
The Rs 1 billion in new equity has enhanced SDF’s capital base to Rs 3.1 billion, which is comfortably above the statutory minimum of Rs 2.5 billion. The core capital ratio has improved to 27.37% against the minimum statutory requirement of 7%, and the total risk weighted capital ratio is 28.62% against the minimum statutory ratio of 11%.
The new capital also made it possible for SDF to rapidly expand business activities in the last quarter of the year. Business growth was supported by Central Bank approval to upgrade 21 SDF Customer Service Centres into full-service branches, expanding the branch network to 51.
Fuelled by growth in the lending portfolio, SDF recorded a profit after tax of Rs 215.5 million, which is a 17.5% growth compared to the profit after tax of Rs 183.3 million reported in the previous year. Total lending grew by 25.03% while agriculture sector remained the largest recipient of SDF credit, absorbing 48% of total disbursements during the year, which was Rs 3.91 billion. This is an increase of 87% from the previous year.
“While SDF’s lending has surged following the IPO, it is noteworthy that over 90% of the Company’s total lending is asset-backed lending.
SDF concluded the financial year 2021-22 by demonstrating its true potential to support the country’s economic recovery in this challenging juncture. As the financial services arm of the Sarvodaya Movement, SDF is committed to do everything within its power to create wealth for the nation, and looks forward to supporting the country’s entrepreneurs in the new financial year” said by its Chairman Mr Channa de Silva.
The Delegation of German Industry and Commerce in Sri Lanka (AHK Sri Lanka) proudly facilitated the first-ever Sri Lankan delegation’s participation at Drupa 2024, the world’s largest trade fair for the printing industry and technology. Held after an eight-year hiatus, Drupa 2024 was a landmark event, marking significant advancements and opportunities in the global printing industry.
AHK Sri Lanka played a pivotal role in organising and supporting the delegation, which comprised 17 members from the Sri Lanka Association for Printers (SLAP), representing eight companies from the commercial, newspaper, stationery printing, and packaging industries. This pioneering effort by AHK Sri Lanka not only showcased the diverse capabilities of Sri Lanka’s printing sector but also facilitated vital bilateral discussions with key stakeholders from the German printing industry.
Business
Unveiling Ayugiri: Browns Hotels & Resorts sets the stage for a new era in luxury Ayurveda Wellness
In a captivating reimagining of luxury wellness tourism, Browns Hotels & Resorts proudly unveiled the exquisite Ayugiri Ayurveda Wellness Resort Sigiriya. This momentous occasion, celebrated amidst a vibrant and serene grand opening on the 6th of June, heralds a new chapter in the Ayurveda wellness tourism landscape in Sri Lanka. Nestled amidst 54 acres of unspoiled natural splendour, Ayugiri features 22 exclusive suites and stands out as the only luxury Ayurveda wellness resort in the country offering plunge pools in every room, rendering it truly one-of-a-kind.
The grand opening of Ayugiri Ayurveda Wellness Resort was an enchanting event, where guests were captivated by the melodies of flutists and violinists resonating through Sigiriya’s lush landscapes. As traditional drummers and dancers infused the air with vibrant energy, Browns Hotels & Resorts’ CEO, Eksath Wijeratne, Kotaro Katsuki, Acting Ambassador for the Embassy of Japan and General Manager, Buwaneka Bandara, unveiled the resort’s new logo, marking a significant moment witnessed by distinguished guests from the French Embassy, Ayurveda and wellness enthusiasts along with officials from the Sigiriya area, LOLC Holdings and Browns Group.
“Our strategic expansion into wellness tourism with Ayugiri Ayurveda Wellness Resort Sigiriya symbolises a significant milestone for Browns Hotels & Resorts. Wellness tourism has consistently outperformed the overall tourism industry for over a decade, reflecting a growing global interest in travel that goes beyond leisure to offer rejuvenation and holistic well-being. By integrating the timeless wisdom of Ayurveda with modern luxury, we aim to set a new standard in luxury wellness tourism in Sri Lanka. Whether your goal is prevention, healing, or a deeper connection to inner harmony, Ayugiri offers a sanctuary for holistic well-being” stated Eksath Wijeratne.
Ayugiri encapsulates the essence of life, inspired by the lotus flower held by the graceful queens of the infamous Sigiriya frescoes. Just as the lotus emerges from the murky depths, untainted and serene,
Ayugiri invites guests on a journey of purity and rejuvenation, harmonised with a balance of mind, body and spirit, the essence of nature, echoes of culture and the wisdom of ancient Ayurvedic healing.
HNB General Insurance, one of Sri Lanka’s leading general insurance providers, has been honored as the Best General Bancassurance Provider in Sri Lanka 2024 by the prestigious Global Banking and Finance Review – UK.
The esteemed accolade underscores HNB General Insurance’s unwavering commitment to excellence and its outstanding performance in the field of bancassurance. Through dedication and hard work, the HNB General Insurance team has continuously endeavored to deliver innovative insurance solutions, cultivate strong relationships with banking partners, and provide unparalleled service to customers nationwide. This recognition is a testament to the team’s dedication and relentless pursuit of excellence in the bancassurance business.
“We are honored to receive this prestigious award, which reflects our team’s tireless efforts and dedication to delivering value-added insurance solutions and exceptional service through our bancassurance partnerships,” said Sithumina Jayasundara, CEO of HNB General Insurance. “This recognition reaffirms our position as a trusted insurance provider in Sri Lanka and motivates us to continue striving for excellence in serving our customers and communities.”
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