Business
‘People’s Bank continues to maintain steadfast performance’
People’s Bank today announced the results for its nine months period ended September 30, 2022, recording pre-tax profit of LKR 17.0 billion on a Bank solo and LKR 21.0 billion consolidated basis.
The total operating income rose by 41.3% to reach LKR 91.0 billion, whilst total operating expenses grew by only 9.6% to LKR 31.4 billion reflecting prudent cost management amidst a highly challenging macro-economic environment characterized by, amongst other, an 80.0% currency devaluation and primarily arising therefrom close to 70.0% inflationary pressure. The Bank’s cost to income ratio was 40.9% for 9 months period ended as compared with 52.3% during the same period 2021, reflecting both top line growth and controlled cost increases.
Net interest income grew by 12.7% to reach LKR 66.5 billion whilst interest expenses rose by 89.6% during the nine months 2022. As a result, net interest margins slipped to 3.12% from 3.27% in the same period 2021. Fees & commission income grew by 128.0% to reach LKR 12.8 billion as compared with LKR 5.6 billion in the same period 2021. Excluding extraordinary items, growth was close to 30.0%, reflecting the Bank’s ongoing effort to improve its non-funded sources of income, more so in a highly volatile interest rate environment.
Impairment charges rose significantly reflecting challenged macro level circumstances and the elevated level of risk across its key customer segments. Post tax profit was LKR 12.7 billion, dipping by 15.6% over the same period 2021.
Total deposits grew by 10.4% to reach LKR 2,286.3 billion whilst net loans amounted to LKR 1,811.0 billion, contracting by a marginal 1.3%. Total assets reached LKR 3,028.5 billion growing by 14.4% from end 2021.
The Bank’s Tier I and Total Capital Adequacy Ratio was 11.2% and 15.6%, respectively on a Bank solo basis (end 2021: 12.6% and 17.8%) whilst, on a consolidated basis, it was 12.4% and 16.3%, respectively (end 2021: 13.4% and 17.9%). The Bank’s solvency reflected its efforts to augment its regulatory capital since the roll out of Basel III on July 1, 2017 with further efforts in this connection ongoing.
Commenting on the results, the Chairman of People’s Bank, Sujeewa Rajapakse, stated that: “All factors and circumstances considered, we are pleased with the Bank’s results. Irrespective of sector or nature of business, 2022 is not a year where performance is measured by top or bottom line but one of resilience, prudence, solvency without any regulatory forbearance and, more importantly, customer centricity in their time of dire need. During the last several years, People’s Bank has played a pivotal role by putting country first by supporting the internal eco system function without any disruption to the best of its abilities and has facilitated, amongst many other, bulk of the country’s imports relating to crude oil, coal, fertilizer, and essential medicine. We remain committed to serving the nation and are already in the process of implementing several additional measures to better equip the Bank meet the increasing needs of its various stakeholders”
The Chief Executive Officer/ General Manager of People’s Bank, Ranjith Kodituwakku, stated that: “With the economy set to contract this year, excluding the impact of the currency devaluation, most balance sheets are likely to contract. Whilst profitability is not the focal point, bolstering liquidity, strengthening capital, and bringing about productivity and efficiency enhancements in these difficult times through digital and other means are the key focus areas. Needless to say, whilst the process of recovery will be a long and arduous one and one which hinges on many moving parts, we remain optimistic that we are currently on the right path to recover. In all probability, the changes which have taken place, those currently taking place and, more importantly, those likely to take place will shape the country’s future for the better.
People’s Bank is the country’s Premiere Licensed Commercial Bank with Sri Lanka’s largest banking footprint composed of 743 branches and service centers. With a history spanning 61 years, the Bank benefits from a staff strength close to 7,500 who tirelessly and diligently serve over 14.5 million customers and over 19.0 million account relationships, which is by far the largest for any financial services provider in the country.
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.”
US sports envoys to Lanka to champion youth development
Rahuman questions sudden cancellation of leave of CEB employees
