Twenty-two users, including the Central Bank, two key state banks, Central Depository System – Colombo, leading commercial banks and key primary dealers in Sri Lanka have formed Lanka Financial Services Bureau Ltd (LFSBL) and partnered with Suntel to provide a secure, cost-effective solutions to benefit National Payment System.

The formation of the Suntel – LFSBL alliance was announced at a function held in Colombo last week. This is the first ever SWIFT Service Bureau for Sri Lanka which will facilitate inter-bank transactions which becomes a critical application and an integral part of National Payment System of Sri Lanka.

Mihindu Ratnayake, General Manager, LFSBL said that this is an important milestone in the history of the National Payment System of Sri Lanka with a strategic partnership with Suntel Ltd as the managed service provider for LFSBL.

Jeremy Huxtable, MD, Suntel said that they have become an integral part of this important national venture which is essentially tied to the financial heart of the nation itself. He said that they will continue to support the national cause through innovative and technologically advanced telecommunications solutions.
The partnership will save a huge expenditure, as earlier, though SWIFT services were available in Sri Lanka, a huge monthly cost was involved. Though Sri Lanka has been enjoying SWIFT facility since more than 20 years, all institutions had to have their own international lease circuit which cost them a huge sum in foreign exchange. The setting up of LFSBL is to reduce this monthly cost of connectivity of each of the financial institutions.

While the present system is highly cost effective, it enables LFSBL subscribers to use the same secure, convenient solution, without spending a lot of money. International lease circuits are shared to allow maximum usage at all times, making inter-branch transactions within the local context very efficiently and within the local network. This initiative to install a local hub saves lot of money and Suntel will host and manage the core services of this project. The services are also expected to be expanded to neighbouring countries such as Bhutan and Bangladesh.