Sunday, December 22, 2024
Follow Us
Treasury infuses Rs.250 million to rescue HDFC functioning under Sajith

Housing Development Finance Cooperation Bank of Sri Lanka (the bank of ‘HDFC) functioning under Housing Minister Sajith Premadsa has been able to meet the regulatory minimum core capital requirement of Rs.5.0 billion stimulated by the Central Bank, Monetary Authority said.

This was possible through internally generated reserves and Rs.250 million cash infusion by the General treasury via non-convertible perpetual debt which qualify as Additional Tier 1 (AT1) bond.

HDFC said in a stock exchange filing that the Monetary Board of the Central Bank of Sri Lanka has granted the final approval for the inclusion of aforesaid Rs.250 million raised via the issuance of AT1 bond in the additional Tier 1 capital of the Bank.

The bank successfully expanded its deposit base from Rs. 32.12 billion to Rs. 36.65 billion 207/2018 and it was 14.1 per cent increase.

Total asset base of the bank expanded by Rs.4 billion or 8.78 percent surpassing Rs.49.7 billion and it was mainly attributed to increase in loans and advances and receivables which was 15.5 percent growth.

Non-performing loan ratio of the bank had increased from 17.58 percent in year 2016 to 18.7 percent in year 2017.

Bank reported the profit before tax of Rs.557 million in 2017 which was 15.6 percent decrease against the previous year. Further, net interest income of the bank declined by Rs.91 million or 4.7 percent compared to year 2016.

Bank reported the profit before tax of Rs.557 million in 2017 which was 15.6 percent decrease against the previous year. Further, net interest income of the bank declined by Rs.91 million or 4.7 percent compared to year 2016.

(LI)