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‘Seylan Bank records impressive Profit After Tax of LKR 2.29 Bn in Q1 2024’

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  • Profit before Tax increased 115% to LKR 3,704 Mn

  • Profit after Tax grew 102% to LKR 2,295 Mn

  •  Overall Statutory Liquid Assets Ratio (SLAR) at 39.42%

Seylan Bank has announced an impressive growth in its Q1 2024 financial results as at 31 March 2024, with a Profit Before Tax (PBT) of LKR 3,704 Mn, marking a 115% increase compared to Q1 2023. The Bank’s Profit After Tax (PAT) also witnessed a remarkable growth of 102%, standing at LKR 2,295 Mn. Despite a challenging environment, Seylan Bank has reported a strong financial performance.

The Bank’s Net Interest Income decreased by 17.71%, from LKR 11,388 Mn to LKR 9,371 Mn over the previous year. While the Net Interest Margin also recorded a reduction from 5.76% in 2023 to 5.24% in Q1 2024. The Bank’s Net Fee-based Income recorded a growth of 3.62%, mainly due to an increase in Card Related Income, Commission on Guarantees, and Income from Trade.

The Bank’s Total Operating Income was at LKR 11,707 Mn, a decrease of 12.51% compared to the corresponding period of 2023, driven mainly by a reduction in Net Interest Income. However, other income captions comprising of net gains from trading activities, net gains from de-recognition of financial assets, and net other operating income, reflected an overall increase of 127.22% compared to the corresponding period of 2023.

The Bank recorded an impairment charge of LKR 1,555 Mn in Q1 2024, a reduction of 75.57% over the corresponding period mainly due to enhanced credit quality and strengthening of recovery initiatives.

Total Operating Expenses recorded an increase of 15.42% from LKR 4,441 Mn to LKR 5,126 Mn for the 3 months ended 31st March 2024. Personnel expenses increased by 21.49% from LKR 2,237 Mn to LKR 2,718 Mn mainly due to increases in staff benefits based on the recently concluded collective agreement. Other Operating Expenses and Depreciation and Amortization expenses also increased by 9.25% due to increase prices in consumables and services over the period demonstrating the Bank’s continued measures to curtail costs through various cost reduction initiatives.

Income tax expenses surged 140.67% to LKR 1,409 Mn from LKR 585 Mn in the comparative period due to higher profits. Value Added Tax on Financial Services increased by 57.77% from LKR 735 million to LKR 1,160 Mn for the first three months of 2024. Additionally, Social Security Contribution Levy rose by 37.35% from LKR 117 Mn to LKR 161 million during the same period.

The Bank’s Total Assets were recorded at LKR 712 Bn as of 31st March 2024. Loans and Advances net of Impairment were recorded at LKR 427 Bn. Deposits reflected a marginal reduction to LKR 590 Bn. Local currency deposits increased by LKR 15.46 Bn, while foreign currency deposits contracted by LKR 16.61 Bn mainly due to local currency appreciation.

The Bank’s performance metrics have also showed improvement during the period under review. The Bank’s Asset Quality Ratios indicated an Impaired Loan (Stage 3) Ratio of 3.89% and an Impairment (Stage 3) to Stage 3 Loans Ratio of 66.75%. Return on Equity (ROE) stood at 14.94% compared to 10.88% in 2023, while Earnings per Share for Q1 2004 increased to LKR 3.61 from LKR 1.79 in Q1 2023.

Key financial ratios and indicators of Seylan Bank PLC remained sound as of 31st March 2024. The capital adequacy ratios were well above the regulatory minimum requirements and recorded 12.69% as Common Equity Tier 1 Capital Ratio and Total Tier 1 Capital Ratio and 15.84% as the Total Capital Ratio.

In addition to its financial achievements, Seylan Bank opened six (06) ‘Seylan Pahasara Libraries’ during the quarter, bringing the total number to 231 as of 31st March 2024.

(Seylan Bank)



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A sustained wave of Indian assistance to Sri Lanka showcases defining shift in developmental diplomacy

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Transport Minister Bimal Rathnayake and Indian High Commissioner Santosh Jha at the plaque unveiling ceremony for the Moragahakanda Bridge project, supported by Indian grant assistance.

By Sanath Nanayakkare

An evolving approach to regional diplomacy was brought into sharp focus with the recent foundation-laying ceremony for the Moragahakanda Bridge in Matale.

Jointly launched by Indian High Commissioner Santosh Jha and Minister of Transport, Highways and Urban Development Bimal Rathnayake, this 175-metre span is far more than a routine civil engineering project. It serves as the physical manifestation of a broader USD 450 million reconstruction package deployed by India in the wake of Cyclone Ditwah, which severely fractured the island’s transport arteries.

Foreign aid is too often discussed in cold, macroeconomic abstractions. Yet, every so often, a consistent pattern of targeted assistance alters the landscape of bilateral relations, offering a clear window into how regional partnerships evolve out of necessity and goodwill.

Across the country today, a remarkable narrative of multi-layered cooperation is unfolding.

From critical post-disaster infrastructure and maritime routes to grassroots agricultural uplift and institutional capacity-building, India’s developmental footprint is shifting unmistakably toward an organic, people-centric model of shared resilience.

What distinguishes this latest wave of assistance is its deliberate pivot from emergency support to permanent, climate-resilient transformation. When Cyclone Ditwah initially paralysed regional connectivity, India’s immediate response was marked by the rapid deployment of temporary Bailey bridges.

Today, that swift humanitarian intervention has matured into a structural blueprint: the Moragahakanda project stands as the vanguard of 13 permanent bridges being built across Sri Lanka’s provinces by IRCON International Limited, complemented by upcoming railway upgrades and modern signaling systems backed by a USD 250 million Line of Credit.

The true signature of this diplomatic shift lies in its breadth, operating simultaneously across multiple tiers of society:

Institutional Governance: Delegations of Sri Lankan parliamentarians and senior administrative officers regularly travel to India to study public policy frameworks, legislative systems, and administrative practices.

Economic Lifelines: Financial mechanisms, such as viability gap funding for the Nagapattinam-to-Kankesanthurai passenger ferry service, continue to shrink geographical distances, reviving coastal commerce and tourism.

Grassroots Empowerment: Specialised capacity-building programmes tailored for local stakeholders – ranging from state officials to rural dairy farmers -ensure that development reaches deep into the island’s hinterlands.

By aligning immediate disaster relief with long-term infrastructure, institutional capacity, and human capital, India and Sri Lanka are demonstrating how neighbours can build safer, more connected futures together, grounded firmly in mutual respect and tangible progress.

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Bring your own bag to book fair, CEA urges

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By Ifham Nizam

The Central Environmental Authority (CEA) yesterday urged visitors to the Colombo International Book Fair to bring reusable bags to carry their purchases, as part of a drive to reduce single-use plastic waste at the event.

CEA Director General R. S. P. Kapila Rajapaksha said large quantities of plastic, particularly “sili sili” bags, had been used to carry books at previous book fairs.

“We urge visitors to bring an environmentally friendly, reusable bag when they come to buy books. This simple step can help reduce the use of single-use plastic and protect the environment,” Rajapaksha said.

The book fair opens on September 25, with the CEA and the Sri Lanka Book Publishers’ Association launching an awareness programme targeting book sellers, food vendors and visitors.

The programme will be conducted under the theme “Read Smart, Carry Smart”, focusing on reducing polythene and plastic use throughout the exhibition.

The CEA said the use of plastic bags is also subject to regulations issued under the Consumer Affairs Authority Act. Gazette Extraordinary No. 2456/41, dated October 1, 2025, prohibits the free distribution of handled “sili sili” bags to consumers. Where such bags are sold, the charge must be included in the customer’s bill.

The CEA said food outlets at the book fair would also be required to comply with regulations prohibiting a range of single-use plastic products.

These include plastic straws and stirrers, disposable plastic plates, cups, spoons, forks and knives, as well as polythene-based food wrappers commonly known as lunch sheets.

The CEA said it had discussed the requirements with relevant stakeholders and reached agreement to ensure that prohibited products are not used at food outlets within the exhibition premises.

The authority urged both traders and visitors to cooperate with the initiative and help make this year’s book fair a more environmentally responsible event.

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Japanese investor Yoshimichi Watanabe backs Hunas Holdings

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Yoshimichi Watanabe / Tanaka - Director Hunas Holdings PLC

Partnership signals renewed foreign investor confidence in Sri Lanka as a destination and in the long-term growth of its hospitality sector

Japanese investor Yoshimichi Watanabe has entered into a partnership with Colombo Stock Exchange-listed Hunas Holdings PLC, in a move that comes as the diversified conglomerate prepares a significant expansion of its hospitality and real estate interests in Sri Lanka.

The partnership brings foreign capital and international market experience into one of Sri Lanka’s fastest-diversifying listed groups at a point when the Group is actively building out its pipeline across both sectors. Hunas Holdings is currently evaluating a series of hospitality and real estate developments in Sri Lanka, with further announcements expected in the coming months.

Hunas Holdings PLC operates across hospitality and leisure, real estate, renewable energy and agriculture, with a hotel portfolio that includes Hunas Falls in Elkaduwa

For Sri Lanka, the significance of the partnership extends beyond the two parties. Inbound investment of this nature, from an investor with direct and sustained experience of the market, is a measure of returning confidence in the country as a destination and in the underlying fundamentals of its hospitality sector, at a time when the industry is repositioning towards higher-value, experience-led travel.

Watanabe brings investment experience across e-commerce, hospitality and real estate in Japan and in international markets including Bali, Indonesia. He has also maintained a relationship with Sri Lanka over many years, having made multiple investments in the country, giving him first-hand insight into its business environment, regulatory landscape and long-term potential.

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