News & market updates

Orient Finance PLC reported a 161% increase in profit after tax to Rs. 254.6 million for the nine months ended Dec 31, 2024. Net interest income rose 37% to Rs. 1.66 billion, loans grew 36% to Rs. 19.76 billion and total assets increased 28% to Rs. 25.3 billion, with capital ratios above regulatory minima.

Bimputh Lanka Investments has appealed to the Supreme Court (case SC/HC/LA 12/2025) against a Commercial High Court order to liquidate it after Housing Development Finance Corporation Bank filed for liquidation. Bimputh reduced nine-month losses to Rs.81.6m but retained a cumulative loss of Rs.2.18bn and ceased lending/deposit-taking after Central Bank orders.

President Anura Kumara Dissanayake told parliament importers have opened letters of credit worth US$207 million to import cars so far. He said authorities are monitoring daily amid fears the surge could drain foreign exchange reserves, noting existing forex shortages and recent rate cuts.

Gold hit a record high, peaking at $3,028.24 and trading around $3,023.30 an ounce, as investors sought havens amid Middle East tensions and U.S. tariff plans. ANZ raised its 3- and 6-month forecasts to $3,100 and $3,200 and UBS set a $3,200 target for the year.

President Anura Dissanayake met Industry Ministry officials to discuss maintaining and regulating import restrictions to strengthen local industries. He instructed swift tax exemptions for tourists to boost the gem and jewellery sector, prioritising local suppliers in construction procurement, expediting release of ministry lands and supporting SMEs.

Royal Asset Holdings Pvt. Ltd. was named Upcoming Gold Loan Service Provider of the Year (2024) at the Pinnacle Sri Lanka Awards and Best Emerging Company of the Year (2024) at the People’s Excellency Awards. Founded in 2021, it operates 20 branches offering loans, pawning and microfinance across Sri Lanka.

Union Bank reported Profit Before Tax of Rs. 1.2 billion and Profit After Tax of Rs. 300 million for 2024, with gross loans up 28% to Rs. 88.3 billion and deposits reaching Rs. 103.7 billion.

Fitch affirmed Asia Asset Finance PLC's national long-term rating at 'A+(lka)' with a Stable outlook and affirmed its secured and senior unsecured debentures at 'A+(lka)'. Fitch cited expected extraordinary support from parent Muthoot Finance and noted ~70% of AAF's net loans are gold-backed.

People’s Leasing & Finance PLC relocated and upgraded its Hingurakgoda branch to a larger, modern facility at Govi Mawatha to improve service capacity and customer experience. The branch was inaugurated by Chairman Prof. Ajantha Samarakoon and the company also contributed to an elephant fence for a local school.

China's central bank bought 5 tonnes of gold in January 2025, raising official holdings to 2,295 tonnes (about 5.9% of reserves). The World Gold Council said the purchases could support local investor sentiment amid strong dollar gold price gains.

HNB Finance PLC (HNBF) relocated and reopened its Mullaitivu branch on 23 December 2024 and launched a Gold Loan Service Centre, offering gold loan products plus leasing, deposits, savings, business and home loan services.

HNB Finance PLC relocated its Mullaitivu branch to Main Street and opened a Gold Loan Service Center on 23 December 2024. The branch offers gold loan products (Gold Loan, Gold Plan, VIP Gold Loan) alongside leasing, deposits, savings, business and home loans with flexible repayments.

Vallibel Finance (VFIN.N0000) opened two new branches in Kekirawa and Elpitiya. The firm said the branches will offer its suite of products — including leasing, deposits and gold loans — and highlighted its 2021–2023 Best Finance Company awards.

Union Bank hosted 'Product Power 2025', a staff training forum to boost product and sales knowledge for front-line branch staff, with over 200 branch staff participating. CEO Dilshan Rodrigo addressed the event and outlined the Bank’s strategic vision and goals for 2025.

Softlogic Finance PLC posted profit of 42.2 million for the nine months to 31 Dec 2024 and has commenced a tech-driven digital transformation. Total assets were 7.9 billion, customer deposits 4.3 billion, customer advances 4.7 billion, equity 2.8 billion, with Tier I and total capital ratios at 24.4%.

Mercantile Investments opened its 70th and 71st branches in Nelliady and Manipay, now fully operational and offering leasing, gold loans, fixed deposits and savings services to customers in the Northern Province.

Mercantile Investments opened its 70th and 71st branches in Nelliady and Manipay, expanding its Northern Province network and offering services including leasing, gold loans, fixed deposits and children's savings.

Fitch downgraded Bolivia to CCC- from CCC, citing continued money printing, dwindling foreign-exchange availability, rising bond yields (~22%) and low hard-currency reserves ahead of large eurobond maturities.

Richwin Investment and Credit Pvt. Ltd. won the Service Excellence Finance Award at the Pinnacle Sri Lanka Awards 2024 and was named Most Innovative Company of the Year at the People’s Excellence Awards. The group offers microfinance loans, investor returns and insurance benefits, and Richwin Plaza sells mobiles with easy payment plans.

UK 10-year gilt yields jumped to about 4.9% (a 17-year high) and 30-year yields hit about 5.4%, driven by concerns over government finances and slowing growth. Yields have risen roughly 100 basis points over the past year despite Bank of England rate cuts, reflecting weaker demand for long-term gilts.

Bolivia's central bank reported US$1,976m of net international reserves at end-2024 but only US$50m of liquid dollar reserves, with most reserves held as gold. BCB bought 14.54 tonnes of gold in 2024 and plans to mortgage gold and borrow abroad amid severe FX shortages and an unofficial rate near 11–12 per US$.

Cargills Bank has partnered with Sampath Information Technology Solutions to introduce gold loans and pawning services using SITS's Prime platform, providing fully digital onboarding, risk assessment and loan disbursal. This marks Cargills Bank's first entry into the gold loan segment.

Seylan Bank launched the Ethera Kaasi Savings Account for remittance beneficiaries, openable with Rs. 3,500 and requiring a remittance within 60 days to qualify. Benefits include first-year free ATM issuance and internet banking, waiver on early settlement for pawning/gold loans, participation in rewards, and fee concessions on leasing and retirement plans.

Former Indian Finance Minister and Prime Minister Manmohan Singh, architect of India’s 1991 economic liberalisation, has died at 92. His reforms — including a rupee devaluation to boost exports, ending the Licence Raj and banking reforms that lowered SLR/CRR and deregulated interest rates — reshaped India's economy.

Seylan Bank launched the Ethera Kaasi Savings Account for remittance beneficiaries, openable with LKR 3,500 and offering no ATM issuance fees and free internet banking for the first year. The account also includes waivers on early settlement of pawning and gold loans, access to rewards and discounted leasing fees.

Siyapatha Finance PLC opened its 53rd branch at No. 134, Station Road, Homagama. The branch will offer leasing, deposits, savings, gold financing, business and personal loans, SmartPay bill payments, and the company launched local CSR activities including tree-planting and donating computers to a school.

Singer Finance (Lanka) PLC won the Gold award for Excellence in Annual Reporting at the CA Sri Lanka TAGS Annual Report Awards 2024 in the Finance Companies category (assets Rs. 25–75 billion). The company also received special recognition for Sustainability Reporting, Corporate Governance and Integrated Reporting; ultimate parent Hayleys PLC is noted.

People's Leasing & Finance PLC's Islamic finance unit PLC Al-Safa won five awards at the 9th IFFSA Awards 2024, including Silver for Islamic Banking Unit of the Year and Silver for Digital Marketing Campaign. It also received a Merit award for its Wadi'ah Gold Safekeeping product plus other marketing recognitions.

PLC Al-Safa, the Islamic finance unit of People’s Leasing & Finance PLC, won five awards at the IFFSA Awards 2024, including Silver for Islamic Banking Window/Unit of the Year and recognitions for digital and marketing campaigns and its Wadi’ah Gold Safekeeping product.

Sampath Bank's fully owned subsidiary Siyapatha Finance PLC opened its 53rd branch in Homagama. The branch will offer leasing, loans, gold financing, deposits, factoring and Smart Pay services, and Siyapatha also ran local CSR activities including tree-planting and school donations.