Fitch upgrades Siyapatha Finance’s Ratings to ‘A(lka)’; Outlook Stable

Siyapatha Finance PLC’s National Long-Term Rating was recently upgraded to ‘A(lka)’ from ‘BBB+(lka)’ by Fitch Ratings, reflecting a positive evaluation of the institute’s robust financial profile, creditworthiness and firm linkage maintained with its parent bank.

Siyapatha’s upgraded rating is attributed to the steady growth of the company’s financial profile amidst socio-economic shocks, reflecting the entity’s creditworthiness, stability of the credit profile and overall enhanced financial performance, the company said in a media release.

“The stable outlook builds confidence in the institute’s ability to continue to carry out its financial commitments amidst low probability for changes and strengthen the national economy in the long run.The rating action is further supported by Fitch’s assessment on the actions of Siyapatha’s parent bank, Sampath Bank PLC ‘(AA-(lka)/Stable)’, following the recent sovereign upgrade and recalibration of the rating agency’s Sri Lankan national rating scale,” the statement said.

Moreover, the rating demonstrates the remarkable steady support rendered by its parent bank, primarily backed by the bank’s stake in the finance subsidiary, brand sharing, degree of integration and overall role within the group.