Business
Concessionary measures to Micro, Small and Medium Enterprises and individuals affected by the present macroeconomic conditions
The Central Bank of Sri Lanka (CBSL) has implemented several schemes of debt moratoria and concessions to assist the borrowers affected by the COVID-19 outbreak and subsequent macroeconomic developments, through Financial Institutions (FIs) supervised by CBSL. These schemes included extended repayment periods, concessionary rates of interest, working capital loans, debt moratoria and restructuring/rescheduling of credit facilities for affected borrowers.
These concessions greatly assisted the small and medium enterprises of many affected sectors including tourism, apparel, plantation, information technology, logistic service providers, transportation, operators of school vans, lorries, small goods transport vehicles and buses, and private sector employees. The last phase of the moratoria granted to COVID-19 affected borrowers of the banking sector and Non-Banking Financial Institutions (NBFIs) Sector ended on 30.06.2022 & 31.03.2022, respectively.
In July 2022, considering the need to unwind moratoria in a sustainable way, in order to prevent any elevated strain on the financial system, CBSL requested Licensed Banks (LBs) and NBFIs to provide appropriate concessions to affected borrowers in all economic sectors including MSMEs on a case-by-case basis for a period of 6 months through Circular No.02 of 2022 and Circular No.01 of 2022 issued to LBs & NBFIs, respectively, to enable such borrowers to agree on suitable repayment arrangements based on their new repayment capacity. In the meantime, CBSL has required the FIs to set up Post COVID-19 Revival Units in order to identify and assist under-performing and non-performing borrowers affected by the pandemic for the purpose of reviving viable businesses with the potential of contributing to the national economic growth.
During the different phases of moratoria and concessions, FIs have approved over 3.3 million requests for concessions, amounting to a total of Rs. 5,994 billion.
In January 2023, subsequent to the conclusion of the last phase of concessions, several requests for further concessions were made to CBSL and Government Authorities by borrowers representing various economic sectors, to tide over the challenges on repayment of loans amidst extraordinary macroeconomic conditions. Accordingly, with a view to encouraging MSMEs and individuals with a potential to revive their businesses/income streams to commence repayment of loans, while preventing any elevated strain on the financial sector, FIs have been requested to provide appropriate concessions to the affected borrowers including the following.
a. Concessions for credit facilities: Restructuring/rescheduling of performing and non-performing credit facilities, on a case-by-case basis, consequent to an objective assessment by FIs, on the future repayment capacity/viability of the business.
b. Suspension of recovery actions: Suspending recovery actions against credit facilities classified as non-performing on or after 01.01.2020, on a case-by-case basis, consequent to an objective assessment by FIs on the future repayment capacity/viability of businesses, upon the condition that the borrower submits an acceptable repayment plan.
c. Early settlement of facilities: LBs to consider the requests made by borrowers to settle their credit facilities early, without paying any additional fee. In the case of lease facilities, recovery of future interest also to be waived off. NBFIs to consider early settlement of existing performing or rescheduled credit facilities, by applying a reduced rate for early settlement charges and recovery of future interest.
CBSL has requested the respective FIs to communicate the above requirements across their branch network to ensure effective and speedy implementation of the respective concessions to MSMEs and individual borrowers.
Accordingly, FIs are requested to provide appropriate concessions with a view to facilitating the eligible borrowers to carry on their income generating activities and gradually commence repayment of their facilities. Eligible borrowers are requested to contact the respective financial institutions with relevant information and documents to discuss and agree on repayment plans. Borrowers are expected to commence repayment as agreed with the FIs, as non-repayment of loan obligations for a longer period, would result in unwarranted strains on both FIs and on borrowers.
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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