Capital infusion for BOC
Budget Speech para. 239: "We have already commenced the implementation of the Basel III requirements for our banking sector where the targets are to be met by 2019. However, out of the 6 banks designated by the Central Bank of Sri Lanka to be Domestic Systemically Important Banks (D-SIBs), 3 State banks, i.e.,the Bank of Ceylon (BoC), Peoples Bank (PB) and the National Savings Bank (NSB), are facing capital pressures. Both BoC and NSB have accessed the international capital markets, successfully on the strength of their own balance sheets signifying that our State banks are now mature enough to raise their own capital from the markets. It is in this context that we will allow the BoC and the PB to raise both debt and equity capital. In raising equity capital, the State will not relinquish the controlling ownership, but is willing to allow the divestitures, provided that the depositors and the employees are given the option of becoming shareholders. However, in the interim, we will infuse Rs. 5 billion as equity to BoC in 2017 and a further Rs. 5 billion in 2018. We will also infuse Rs. 2.5 billion as capital into the Pradeshiya Sanwardana Bank in 2017."
- Allocation (Rs. Mn) : 5,000
- Sector : Banking & Finance
- Ministry / Government Institution : Ministry of Finance
(Previously the Ministry of Finance and Mass Media)
Openness Tracker Open
Information on progress was made available on the website of the Bank of Ceylon. Further, information was also provided in response to a request made by email to the responsible government agency.
Progress Tracker Fulfilled
Based on the information made available, progress as at 31 December 2018 was 100% of the target set for 2018.
Sources of Information
- Over the counter