The turn of the global monetary policy cycle this year, with rate cuts in the US, Eurozone, and other major economies, has significantly contributed to investor confidence and a relatively benign global macro and credit environment, according to Fitch Ratings in its latest Risk Headquarters report. However, geopolitical and political risks, deflationary pressures in China,
Fitch Ratings announced that Sri Lanka’s ongoing economic recovery, combined with moderating inflation and lower interest rates, is set to drive the growth of finance and leasing companies (FLCs) in the financial year ending March 2025 (FY25). The positive outlook is also supported by the potential relaxation of vehicle import restrictions, which have been in
Fitch Ratings has noted that political risks to Sri Lanka’s debt restructuring process have reduced following the authorities’ endorsement of the IMF programme targets and agreement to proceed with debt restructuring terms established with international bondholders in September. The election of Anura Kumara Dissanayake as president in September had initially caused uncertainty, raising concerns over
Fitch Ratings has reaffirmed LB Finance PLC’s National Long-Term Rating at ‘BBB+(lka)’ with a Stable Outlook. The rating reflects LB Finance’s solid financial standing, characterized by superior profitability and asset quality compared to its peers. However, the company’s significant exposure to market risk through its extensive gold-backed lending business offsets these strengths. The rating also
Amana Bank has declared its seventh consecutive annual dividend, marking its highest payout to date, totaling Rs. 661 million. This represents a significant doubling of the dividend compared to 2023. The bank announced an Interim Cash Dividend of Rs. 1.20 per share to its shareholders, with a total of 551,125,746 ordinary shares issued as of
Siyapatha Finance PLC recently announced steady financial growth for the first half of 2024, ending June 30. The company achieved a profit after tax (PAT) of Rs. 513 million, marking a remarkable 189% increase compared to the same period last year. Profit before tax (PBT) also saw substantial growth, rising by 133% to Rs. 1,215
Fitch Ratings has downgraded the Maldives’ credit rating from CCC+ to CC, citing a decline in foreign reserves and the upcoming repayment of foreign debt and sukuk bonds starting next year. As of July, the country’s gross foreign reserves had fallen to 395 million USD, down from 492 million USD earlier. Domestic reports highlight growing
Sri Lanka’s banking sector outlook has stabilized, with the Central Bank’s decision to prevent dividend repatriation playing a key role in the sector’s recovery. According to Maninda Wickramasinghe, Managing Director and CEO of Fitch Ratings Lanka Ltd., Sri Lanka can expect a sovereign rating upgrade immediately after the completion of its debt restructuring. At an
Fitch Ratings has upgraded the national long-term rating of Habib Bank Limited – Sri Lanka Branch (HBLSL) to ‘AA-(lka)’, up from ‘A(lka)’. The outlook for the rating is stable. This upgrade follows the improved credit profile of HBLSL’s head office, Habib Bank Limited (HBL) in Pakistan, due to the recent upgrade of Pakistan’s sovereign rating.
Sampath Bank announced a significant financial performance for the first half of 2024, with a 45% increase in profit after tax (PAT) to Rs. 11.1 billion, up from Rs. 7.7 billion in the same period last year. The profit before tax (PBT) also saw a notable rise, reaching Rs. 18.5 billion, a 40% increase compared