Colombo, October 4, 2006.
The International Finance Corporation’s SouthAsia Enterprise Development Facility will help NDB Bank develop an integrated retail banking strategy. This will enable the bank to enhance its overall retail offering, including the services it provides to small and medium enterprises, as well as institute guidelines for a consumer risk management framework.
The proposed strategy for retail banking will focus on products and services to SMEs and managers and staff of SME clients. The strategy will entail emphasis on developing an integrated distribution network which currently caters mainly to the SME segment of the clientele while also looking at alterative distribution channels. A detailed market study will also be carried out through a specialized market research company as an initial step which will provide the background information required for the development of an integrated consumer banking strategy.
Anil Sinha, General Manager of IFC’s facility, said at the signing, “This project is another step in IFC’s policy of strengthening Sri Lanka’s banking sector. IFC-SEDF is pleased to work with NDB Bank to help it develop a retail banking strategy that will enhance its product offering, establish appropriate delivery channels and sales mechanisms, and enable a more comprehensive service offering to its clientele.”
“IFC will help us build capacity to evolve our five-year business plan; review our operating, credit and risk management systems; and recommend improvements that will strengthen our competitiveness in a sustainable manner,” added Nihal Welikala, CEO of NDB Bank.
About IFC
The International Finance Corporation, the private sector arm of the World Bank Group, is the largest multilateral provider of financing for private enterprise in developing countries. IFC finances private sector investments, mobilizes capital in international financial markets, facilitates trade, helps clients improve social and environmental sustainability, and provides technical assistance and advice to businesses and governments. From its founding in 1956 through FY06, IFC has committed more than $56 billion of its own funds for private sector investments in the developing world and mobilized an additional $25 billion in syndications for 3,531 companies in 140 developing countries. With the support of funding from donors, it has also provided more than $1 billion in technical assistance and advisory services. For more information, visit
www.ifc.org
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About SEDF
SEDF Sri Lanka Maldives is a multidonor facility managed and operated by IFC and funded by IFC and the governments of the Netherlands and Norway. It works to promote the growth of small and medium enterprises in Sri Lanka and the Maldives, increase their access to finance and quality business development services, support value addition to firms, and help create an enabling business environment.
About NDB Bank
National Development Bank Ltd. (NDB Bank) was originally set up as National Development Bank of Sri Lanka (NDB) as a fully government-owned development bank. In 1993 the government sold its share holding in the Colombo Stock Exchange and converted it to a privately owned development bank still operating under the original act of parliament. In October 2001, NDB acquired the local operations of ABN AMRO Bank and began running them as a separate entity under the name of NDB Bank. In June 2005, NDB converted to a public limited liability company, and in August 2005 NDB and NDB Bank were merged, creating National Development Bank Ltd., which is registered as a limited liability company.
