Fitch Ratings has assigned Hatton National Bank PLC (HNB, A(lka)/Stable) a final National Long-Term Rating of ‘BBB+(lka)’ for its proposed Sri Lankan rupee-denominated Basel III-compliant subordinated debentures, amounting up to Rs 12 billion. This final rating aligns with the expected rating assigned on April 4, 2024, following the receipt of documents confirming previously received information.
Fitch Ratings-Colombo/Singapore-25 July 2024: Despite a 22.5% tariff cut effective from 16 July 2024, Ceylon Electricity Board’s (CEB, BB+(lka)/Stable) cash flow will remain sufficient to service debt, according to Fitch Ratings. The agency anticipates no immediate impact on the Sri Lankan electricity distributor’s payments to independent power producers (IPPs). The lower tariffs are supported by
Fitch Ratings has reaffirmed the ‘A-(lka)’ National Long-Term Rating for Sri Lanka’s National Development Bank Plc (NDB), maintaining a Stable outlook. This decision reflects recent improvements in the operating environment, as indicated by macroeconomic indicators. Fitch anticipates that Sri Lanka’s stabilizing economic conditions will support NDB’s ability to grow and maintain business volumes. However, the
Fitch Ratings has affirmed the ‘BBB(lka)’ insurer rating for Sri Lanka’s National Insurance Trust Fund (NITF), maintaining a stable outlook but cautioning about the Fund’s difficulty in securing timely reinsurance cover. NITF’s major revenue source is from riots, civil commotion, and terrorism (SRCCT) premiums, with claims remaining low. Key points from Fitch’s assessment include: