CB recognises LRA as acceptable Credit Rating Agency for ECAI

Central Bank of Sri Lanka has recognised Lanka Rating Agency Ltd (LRA) as an acceptable External Credit Assessment Institution (ECAI) for the purpose of Banking Act Direction No. 01 of 2016 on Capital Requirement Under Basel III for Licensed Commercial Banks and Licensed Specialised Banks. 

This is in addition to the Central Bank also recognising LRA to rate Licensed Finance Companies and Specialised Licensed Leasing Companies. 

LRA major institutional shareholders are Hatton National Bank PLC, Sampath Bank PLC, NDB Bank PLC, Commercial Bank of Ceylon PLC, Capital Alliance Holdings, Econsult Asia Ltd. and Pakistan Credit Rating Agency Ltd. (PACRA), the national credit rating agency of Pakistan. 

Lanka Rating Agency Chairman Anil Amarasuriya said: “We are honoured to be recognised as an ECAI by the Central Bank. The Central Bank has granted recognition based on our ability to produce credit assessments of sufficient high quality, consistency and robustness. The approval is testament to our credibility and will enable us to provide a fully-rounded portfolio of services to support our banking clients in evaluating their capital position under the Basel framework.”