News & market updates

AIA Group CEO Lee Yuan Siong visited Sri Lanka, reaffirming AIA's commitment, meeting bancassurance partners National Development Bank (NDB), DFCC Bank and Commercial Bank, and AIA Sri Lanka pledged a LKR 50 million donation to the 'Rebuilding Sri Lanka' initiative.

National Development Bank (NDB) has deepened its strategic partnership with IFC on three fronts: a Risk Sharing Facility under IFC's Small Loan Guarantee Program, a trade finance guarantee under the Global Trade Finance Program, and advisory support to upgrade transaction/supply-chain finance and climate risk management.

IFC announced a $166m financing package for Sri Lanka, providing a $50m loan to NTB, $80m in RSFs ($60m to Commercial Bank, $20m to NDB) and $36m in trade finance to NTB and NDB to expand SME, women-led and trade financing.

IFC is investing $166 million in Sri Lanka to expand SME and trade finance through three banks: a $50m loan to NTB, $80m in RSFs ($60m to Commercial Bank, $20m to NDB) and $36m in trade finance. $7.5m of the NTB loan is earmarked for women-owned SMEs and IFC will provide digital and climate-risk advisory to NDB.

CIM has appointed a Sri Lanka Professional Member Support Committee led by Dr. Lewie Diasz; the panel includes senior marketing executives from Lion Brewery, Hayleys, National Development Bank, HNB, DIMO and The Kingsbury.

Government has consolidated MSME financial facilities into a single digital Rs.95 billion framework and the NCGI will issue Rs.7,000 million in credit guarantees in 2026 to unlock about Rs.10,000 million in MSME lending. Sixteen banks, including HDFC, Commercial Bank, NDB, HNB, Sampath, Seylan, DFCC, Nations Trust and Cargills Bank, will participate in channeling concessional and disaster-relief loans.

FINEXT 2025 career fair at the University of Sri Jayewardenepura linked undergraduates with finance, technology and professional services firms; participating shortlisted companies included UAL.N0000, CALH.N0000, VLL.N0000, WLTH.N0000 and NDB.N0000. A panel on the export-oriented knowledge and professional services sector and onsite interviews provided recruitment and industry insights.

HNB CEO Damith Pallewatte said exceptional loan growth in 2025 and a shift from government securities to lending are squeezing bank margins, tightening liquidity and raising funding costs. He warned deposit and lending rates are rising and that vehicle imports and lower single-borrower limits are reshaping credit and capital markets.

NDB Bank joined the ‘Revive Sri Lanka - Rising Stronger’ initiative at Kandy City Centre on 20 December to support SME/MSME recovery after Cyclone Ditwa. The event drew over 800 participants and included Commercial Bank, Sampath, DFCC and HNB among participating financial institutions.

National Development Bank (NDB.N0000) appointed tech veteran Shanil Fernando as an Independent Non-Executive Director. Fernando has 25+ years in global IT, held leadership roles at Virtusa and Sysco Labs, and is an independent director at Keells Food Products (KFP.N0000).

NDB Bank renewed its partnership with Clean Ocean Force Lanka to extend three coastal and marine initiatives—Adopt a Beach, lagoon & mangrove cleanups, and underwater/coral-bed conservation—removing over 16,500 kg of waste in 2025.

The inaugural Sri Lanka Fintech Summit 2025 set industry priorities and KPIs, recommending bank–fintech partnership frameworks, a national cloud policy, digital ID expansion, CBDC research and a target to reduce cash-in-circulation from 4.5% to 3.5% of GDP in three years. Sessions included CBSL, the Ministry of Digital Economy, BOI and banking leaders.

National Development Bank PLC (NDB.N0000) and Central Depository Systems (CDS) have signed a service agreement to provide a streamlined digital dividends pay-out system for CSE-listed companies, offering EFT, cheque processing and other disbursement options to speed dividend distribution.

Seminar on safeguards under the amended Companies Act No. 12 of 2025 will be held on 27 Jan (2–5pm) at NH Collection, Colombo 3. Organisers say the amendments place new responsibilities and stricter penal sanctions on company secretaries and directors; speakers include HNB and LOLC Insurance chairs.

Opposition MP Faiszer Musthapha warned amendments to the Colombo Port City Economic Commission Act would allow the Port City Commission to issue offshore banking licences outside the Banking Act, creating shadow-banking and systemic risk. He said permitting Port City offshore banks to borrow from domestic banks and lower capital requirements could strain FX reserves and disadvantage local banks.

Central bank lending to banks rose to Rs48 billion on Jan 08 as state banks faced a severe cash crunch, raising liquidity concerns. Analysts warned the government's 'domestic buffer' withdrawals could strain interbank markets, prompt central bank accommodation and pressure interest rates, inflation and the rupee.

NDB Bank participated in the "Revive Sri Lanka | Rising Stronger" initiative on 20 December at Kandy City Centre, joining over 800 participants to support SME/MSME recovery after the DITWA cyclone. The event brought together major banks (Commercial, Sampath, DFCC, HNB) and highlighted public-private collaboration and NDB's SME digital banking focus.

NDB.N0000 (National Development Bank PLC) represented Sri Lanka at APICTA 2025 in Taiwan with nominations for its TradeLinc 2.0 supply-chain finance platform and Secure360 2.0 AI security platform. The participation follows national wins at NBQSA 2025, highlighting NDB's digital innovation credentials.

National Development Bank PLC (NDB.N0000) was nominated at APICTA 2025 in Taiwan for its TradeLinc 2.0 supply‑chain finance platform and Secure360 2.0 security platform. Both solutions also won top honours at NBQSA 2025, underscoring NDB's tech-led strategy.

Merchant Bank of Sri Lanka & Finance PLC (MBSL) recalibrated the MBSL Midcap Index effective 1 January 2026, setting the midcap market-cap range at Rs. 8.45 billion–Rs. 84.5 billion and selecting 25 constituents. New inclusions include Sierra Cables, Aitken Spence, Vallibel Finance, Lanka IOC, JAT Holdings and Prime Lands; Citizens Development, CIC, Ceylon Grain Elevators, John Keells, Hayleys Fabric, Teejay Lanka and Watawala Plantations were excluded.

Colombo market rose for a ninth straight session as the ASPI gained 1.21% to 23,292.91, with market turnover about Rs. 6.6bn; banking counters led activity and top positive contributors included HNB, COMB, JKH, NDB and SAMP.

Colombo stocks rose as the ASPI gained 1.21% to 23,292.91 and the S&P SL20 hit a six-week high of 6,379.11, led by gains in HNB, Commercial Bank, John Keells, NDB, Sampath Bank and Lanka IOC.

NDB Bank partnered with IMPACT IT to integrate NDB’s Host-to-Host banking with the ENIMBUS360 ERP, enabling direct, real-time transmission of approved payments and payroll from the ERP to NDB to automate and accelerate corporate and SME payment processing.

National Development Bank PLC has partnered with IMPACT IT to integrate NDB's Host-to-Host banking solution with ENIMBUS360, enabling direct, real-time transmission of approved ERP transactions to the bank. The integration allows corporate and SME clients to automate payments and payrolls from their ERP, reducing manual entry and errors.

National Development Bank (NDB) was the Official Banking Partner of Kandy City Centre's Splash Shopping Fiesta 2025 (24–28 Dec), offering NDB cardholders discounts of up to 20% and extending its Santa Promo at the event.

Government will launch a concessionary pledge loan scheme from 1 Jan to help SME paddy millers access loans up to Rs.50 million at 7% for 180 days. Fifteen banks will participate, including COMB.N0000, HNB.N0000, SAMP.N0000, DFCC.N0000, NDB.N0000, NTB.N0000, ABL.N0000, CBNK.N0000 and PABC.N0000; total disbursements ~Rs.10bn.

NDB Bank was the Official Banking Partner of Splash Shopping Fiesta 2025 at Kandy City Centre (24–28 Dec), offering NDB cardholders discounts of up to 20% and extending its Santa Campaign to the event to enhance customer engagement.

Aggregate profits of 273 listed companies fell 12% YoY to Rs.176.5 billion in Sep-25, ending a seven-quarter growth streak. Banks (Rs.52bn, +39% YoY) and diversified financials (Rs.39bn, +112% YoY) underpinned a QoQ rebound, while food, beverage & tobacco and capital goods posted steep declines.

Namunukula Plantations bought 4,039,426 ordinary shares (0.95%) of National Development Bank from Arpico Insurance for Rs. 555.41 million at Rs. 137.50 per share. The transaction is a related-party, non-recurrent deal between subsidiaries of Richard Pieris & Co and falls within CSE Listing Rules limits.

National Development Bank (NDB) hosted an Education Expo at its Kandana branch for Privilege and Elevate clients, attended by over 60 customers and representatives from more than 20 universities across seven countries. The event, run with education consultant International Scholar, promoted NDB's Student File education finance proposition and aimed to deepen HNW client relationships.