October 19, Colombo (LNW) The Central Bank of Sri Lanka (CBSL) has issued a directive to all banks to establish dedicated business revival units aimed at helping customers revive failed businesses. These units offer a range of services, including financial grants, reduced loan interest rates, and extended loan repayment periods to support business recovery.
It was noted that some banks had already set up such units prior to the CBSL’s directive. These existing units are now being upgraded to enhance their efficiency and provide more customer-friendly services. New systems are being implemented to further improve the effectiveness of these units.
The CBSL has also reduced its policy interest rates on several occasions, emphasizing the responsibility of banks to pass on the benefits of these reductions to their customers. CBSL Governor Dr. Nandalal Weerasinghe has urged banks to use the lower policy interest rates to reduce loan interest rates, providing relief to businesses and encouraging economic recovery.
In response to the CBSL’s directive, many banks have already begun offering loans at lower interest rates. For instance, Russell Fonseka, Chief Executive Officer and General Manager of the Bank of Ceylon (BOC), confirmed that BOC currently operates 11 such business revival centres across provincial levels, with one additional centre located at the BOC headquarters in Colombo.
