Sunday, February 5, 2023
No 1 epaper in Sri Lanka
  • News
  • Politics
  • Sports
  • Foreign
  • Entertainment
  • Business
  • Political Analysis
  • Inside Politics
  • EPAPERPDF
  • සිංහලSINHALA
No Result
View All Result
  • News
  • Politics
  • Sports
  • Foreign
  • Entertainment
  • Business
  • Political Analysis
  • Inside Politics
  • EPAPERPDF
  • සිංහලSINHALA
No Result
View All Result
Mawratanews.lk | Sri Lanka Latest Sinhala News and Headlines
No Result
View All Result
Home News

CBSL looking into banks’ recapitalisation plans

August 23, 2022
in News
A A
CBSL looking into banks’ recapitalisation plans

The Central Bank of Sri Lanka (CBSL) is investigating bank recapitalisation plans in the event of rising Non-Performing Loans (NPLs), with the economy expected to contract by 8% in 2022, according to CBSL Governor Dr. Nandalal Weerasinghe.

The CBSL Governor told Bloomberg Markets and Finance yesterday (22), that the Central Bank has been holding discussions with each bank in Sri Lanka, looking at their risks, uncertainties, and challenges, as well as how to recapitalize if necessary and the support the banks, require in such a situation.

He also stated that potential recapitalization plans are currently being discussed. However, he stated that banks are in a very good position and that they are currently exceeding the Basel III requirements, which include market discipline, supervisory review processes, and minimum capital requirements.

The Basel III framework addresses market liquidity risk, stress testing, and bank capital adequacy.

“Obviously, if NPLs rise, there will be some risks in the banking sector; we are in a position to handle this in collaboration with the banking sector to mitigate the risk,” Dr. Weerasinghe said.

Dr. Weerasinghe stated last week at the CBSL’s Monetary Policy Review that the CBSL expects NPLs as a percentage of all bank loans to reach 8% in 2022, up from 4.5% in 2021, and that the economy will contract by around 8%, a revision to its previous forecast of a 7.5% contraction.

Banks’ quarterly financials released in the last two weeks show a significant increase in impairments. Commercial Bank recorded impairment provisions of Rs. 35.2 billion for 1H 2022, and Rs. 29.3 billion for 2Q 2022 alone, while Sampath Bank recorded a total impairment charge of Rs. 28.2 billion, Bank of Ceylon recorded Rs. 49.5 billion in loan and advance impairment provisions, and HNB recorded Rs. 40.1 billion in 2Q 2022 impairment provisions.

Share50Tweet32SendShare13
Previous Post

Water Board alerts Speaker: VIPs’ Rs. 13 mn payment arrears

Next Post

CBSL governor says Inflation will peak in September, but not surpass 70% as projected 

MORE NEWS

A single man bravely objected to Wijedasa-Karuta-Ruwan-Rosi, who had come to garland D. S. Senanayaka’s statue, surrounded by guards! VIDEO
News

A single man bravely objected to Wijedasa-Karuta-Ruwan-Rosi, who had come to garland D. S. Senanayaka’s statue, surrounded by guards! VIDEO

February 4, 2023
Hartal begins in the north while freedom is celebrated in the south! The stores are closed. The black flags have been raised! A large crowd has begun to walk to Batticaloa! VIDEO
News

Hartal begins in the north while freedom is celebrated in the south! The stores are closed. The black flags have been raised! A large crowd has begun to walk to Batticaloa! VIDEO

February 4, 2023
Catholic fathers are taking to the streets against the police and thugs in Maradana’s struggle! VIDEO
News

Catholic fathers are taking to the streets against the police and thugs in Maradana’s struggle! VIDEO

February 4, 2023
The police break into the Socialist Party office in search of Maradana activists! A tense situation! A serious charge that the cops arrived drunk! Here it is: the video! VIDEO
News

The police break into the Socialist Party office in search of Maradana activists! A tense situation! A serious charge that the cops arrived drunk! Here it is: the video! VIDEO

February 4, 2023
The police have identified the couple who murdered SHADES owner, a millionaire businessman! The couple has not yet left the country!
News

The police have identified the couple who murdered SHADES owner, a millionaire businessman! The couple has not yet left the country!

February 4, 2023
Peaceful protesters detained last night denied access to lawyers – Saliya Pieris
News

Peaceful protesters detained last night denied access to lawyers – Saliya Pieris

February 4, 2023
Load More
Leave Comment

Free Newsletter

Register for our weekly epaper for latest news updates.

MORE NEWS

A single man bravely objected to Wijedasa-Karuta-Ruwan-Rosi, who had come to garland D. S. Senanayaka’s statue, surrounded by guards! VIDEO
News

A single man bravely objected to Wijedasa-Karuta-Ruwan-Rosi, who had come to garland D. S. Senanayaka’s statue, surrounded by guards! VIDEO

February 4, 2023

A lone worrier showed his opposition to Wijedasa, karu, Rosi, Ruwan...

Read more
Hartal begins in the north while freedom is celebrated in the south! The stores are closed. The black flags have been raised! A large crowd has begun to walk to Batticaloa! VIDEO

Hartal begins in the north while freedom is celebrated in the south! The stores are closed. The black flags have been raised! A large crowd has begun to walk to Batticaloa! VIDEO

February 4, 2023
Catholic fathers are taking to the streets against the police and thugs in Maradana’s struggle! VIDEO

Catholic fathers are taking to the streets against the police and thugs in Maradana’s struggle! VIDEO

February 4, 2023
The police break into the Socialist Party office in search of Maradana activists! A tense situation! A serious charge that the cops arrived drunk! Here it is: the video! VIDEO

The police break into the Socialist Party office in search of Maradana activists! A tense situation! A serious charge that the cops arrived drunk! Here it is: the video! VIDEO

February 4, 2023
The police have identified the couple who murdered SHADES owner, a millionaire businessman! The couple has not yet left the country!

The police have identified the couple who murdered SHADES owner, a millionaire businessman! The couple has not yet left the country!

February 4, 2023
Peaceful protesters detained last night denied access to lawyers – Saliya Pieris

Peaceful protesters detained last night denied access to lawyers – Saliya Pieris

February 4, 2023
Load More

One of the best Sri Lanka Latest News Website and Sinhala language newspaper with Sunday editions, published by Free Media Independent Networks Pvt Ltd.

Browse by Category

  • Business
  • Entertainment
  • Foreign
  • Gurudawa
  • My Serendib
  • News
  • Politics
  • Rajya Rahas
  • Sports
  • Uncategorized

Latest news

A single man bravely objected to Wijedasa-Karuta-Ruwan-Rosi, who had come to garland D. S. Senanayaka’s statue, surrounded by guards! VIDEO

A single man bravely objected to Wijedasa-Karuta-Ruwan-Rosi, who had come to garland D. S. Senanayaka’s statue, surrounded by guards! VIDEO

February 4, 2023
Hartal begins in the north while freedom is celebrated in the south! The stores are closed. The black flags have been raised! A large crowd has begun to walk to Batticaloa! VIDEO

Hartal begins in the north while freedom is celebrated in the south! The stores are closed. The black flags have been raised! A large crowd has begun to walk to Batticaloa! VIDEO

February 4, 2023

Free Newsletter

Register for our weekly epaper for latest news updates.

Copyright © 2019 -2021 Free Media Independent Networks Pvt Ltd, All Rights Reserved. Solution by hodama.net

No Result
View All Result
  • News
  • Politics
  • Sports
  • Foreign
  • Entertainment
  • Business
  • Political Analysis
  • Inside Politics
  • EPAPER
  • සිංහල

Copyright © 2019 -2021 Free Media Independent Networks Pvt Ltd, All Rights Reserved. Solution by hodama.net

Go to mobile version