IFC to help Sanasa Development Bank

IFC, a member of the World Bank Group, will provide advisory services to Sanasa Development Bank as it expands to include more micro and small businesses, cooperatives and retail clients.

The bank will now reach more rural small businesses across the country, boosting financial inclusion.

IFC has been a long term advisory partner with Sanasa Development Bank since 2010, and also invested in its equity in 2012. Within the next two years, IFC’s assistance will strengthen the bank’s overall operational capabilities and risk management framework.

“Sanasa Development Bank’s growth strategy involves long-term sustainable growth in three important sectors – SME, retail, and cooperative – to make financing more accessible to a larger number of people,” said Chief Executive Officer, Sanasa Development Bank PLC, Nimal C Hapuarachchi.

“A transition of this depth needs strong and timely partnerships. IFC’s long-term partnership with Sanasa Development Bank will significantly impact the bank’s value-creation process,” said Chairperson, Sanasa Development Bank PLC, Samadanie Kiriwandeniya.

“Supporting Sri Lanka’s largest private microfinance institution’s transformation into an SME and retail bank will help reach much needed financial services to micro, small and medium enterprises in rural parts of the country. As a long term partner to Sanasa, IFC will help the bank expand formal financial services to under-served cooperatives and rural micro and small businesses,” said IFC’s Regional Director for South Asia, Mengistu Alemayehu.

IFC’s committed portfolio in Sri Lanka is now $419 million and covers projects across a range of sectors, including infrastructure, tourism, renewable energy, finance and healthcare. IFC also provides advisory services to promote sustainable growth among small and medium enterprises by facilitating access to finance and offering capacity-building and training opportunities.