The Central Bank of Sri Lanka on Thursday increased the minimum capital requirements for new and existing banks saying it was to ensure “a stronger and dynamic banking sector”. Banks have to reach these levels by end 2020, three years from now.
Accordingly, the minimum capital requirement for new licensed commercial banks (LCBs) is Rs. 20 billion while the requirements for licensed specialised banks (LSBs) is Rs.7.5 billion. In the case of foreign banks its Rs. 10 billion by end 2020.
In terms of existing LCBs and LSBs, the same minimum levels apply while it is Rs. 5 billion for a foreign bank with assets below Rs. 100 billion and double that (Rs. 10 billion) for foreign banks with assets above Rs. 100 billion.
"Enhancing minimum capital requirement will support the implementation of Basel III framework in Sri Lanka to strengthen the resilience of banks, and may lead to consolidation in the banking sector," the banking regulator said in a media release.
Tamar Amitai, a 25-year-old Israeli tourist who went missing in Uppuveli, Trincomalee, was found safe after a three-day joint search operation today.
President Ranil Wickremesinghe is firm about the President’s five-year tenure, the President’s Media Division (PMD) said.
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