NSB aims for Rs. 12 b profit this year

Tuesday, 17 March 2015 01:18 - - {{hitsCtrl.values.hits}}

Aggressive plans underway to expand locally and internationally

By Charumini de Silva Marking 43 years of financial strength and stability, National Savings Bank (NSB) was optimistic of achieving a 12% growth in deposits, while aiming at a profit of over Rs. 12 billion by the end of the year, a senior official said. Last year NSB made a profit of over Rs. 10.5 billion and with strategic plans underway, the bank was confident it could reach the set targets in 2015. “The bank is working out some new strategies especially by focusing on the international market, IT and marketing. Aggressive plans are underway to expand the branch network locally and internationally, capturing untapped markets,» NSB Chief Executive Officer and General Manager Dhammika Perera told the Daily FT. Noting that the bank does not have a large market share in the international arena, he said NSB planned to widen its scope and services in remittances and other international banking services.

The bank also intends to open 10 new branches during this year, expanding its existing network, while relocating six branch buildings to provide a better and more convenient service to its customers. “We have invested around Rs. 30 million to Rs. 40 million in expanding our branch network currently,” he added. Perera emphasised that NSB was strictly adhering to the guidelines issued by the Central Bank with regard to the 15% special interest scheme imposed for senior citizens. Commenting on the interest rates, he said that it would remain the same for the next six months. “With the reduced lending rates there was a significant demand for personal, housing loan facilities. We are planning to introduce a few more lending products in corporate syndicated loans, housing loans and personal loans in the near future,” he added. The main event of the 43rd anniversary of NSB was held yesterday (16) at the NSB head office under the patronage of NSB Chairman Aswin De Silva, Director Suranga Naullage, Chief Executive Officer/General Manager Dhammika Perera, corporate management and other members of NSB’s staff. Perera attributed the success of the bank to its prompt response, innovative measures, trust, mutual respect and integrity which it extends to all its different classes of depositors, particularly those in the rural sector.

“Millions of people in this country who have chosen NSB as their savings and banking partner confirm that we have acted in line with our vision and the interests of our valued customers and all other stakeholders,” he opined. Speaking at the main event, NSB Chairman Aswin de Silva said: “As envisioned by our founders, our bank was mandated to inculcate the virtue of saving among the people, especially among the rural sector. As we celebrate our achievements of the past 43 years, I am indeed honoured to be appointed the Chairman of this great institution which has created a solid savings base for the country and partnered our people in the country’s development agenda. “As our nation has emerged in a new era of national development, we will play a larger role in supporting the national vision. We will remain committed to empowering the nation to achieve financial excellence and economic strength as Sri Lanka moves towards financial security, rural development and regional influence. I, together with the National Savings Bank team members, would like to express our sincere gratitude to our citizens for the confidence placed in us.” the Chairman added. From modest beginnings as a Post Office Savings Bank, NSB has risen to the status of Sri Lanka’s largest specialised bank and the third largest of all banks in terms of deposits. With an asset base exceeding Rs. 700 billion and a customer base surpassing 10 million, the bank reaches citizens in all corners of the nation through its 5,000 customer access points. In addition, NSB is the first and only local bank to receive a AAA (lk) credit rating from Fitch Ratings Lanka and maintain the same rating for 12 consecutive years.