Retiring Dimantha recaps success in 34-year banking career; shares key insights to future

NDB Director/CEO Dimantha Seneviratne 

Veteran and professional banker NDB Director/CEO Dimantha Seneviratne retires from service at the end of January 2024 after 34 years of an illustrious career of which over 10 years was in the capacity of CEO, both at PABC and the NDB, having led the banks in acutely 

challenging times. Daily FT, in this exclusive interview spoke to Dimantha to hear his valued insights about the past and the future.

Q: Can you recap your long banking career, and how you reached these levels?

A: Yes, indeed it’s long, and one that saw major transformations in the economic and social spheres of the country and some unprecedented challenges too. My career as a banker started in 1990, counting over 34 years experience in banking, and over 10 years of it in the capacity of a CEO. In hindsight I think it was God’s plan all the way for me to enter the sector. Graduating from the Sri Jayewardenepura University, with a well-recognised IT qualification, an easy choice would have been the IT field. Back then, there was a growing demand for IT that seemed quite attractive in its booming phase. Alternatively, I had the opportunity of joining the banking sector, as Sampath Bank was recruiting entry level staff. The calling for me was more towards banking and thus I became a career banker, starting at Sampath Bank.

I then moved to the Gulf and joined the Saudi British Bank in the KSA that is part of the HSBC Group. Thereafter, I moved to HSBC Sri Lanka in 2000. My stay with HSBC was quite rewarding, starting as a Corporate Banking Relationship Manager, I shifted to the credit control function and was eventually elevated as Chief Risk Officer for Sri Lanka and the Maldives. During this time for a period of six months in 2010, I also functioned as the Chief Risk Officer for Bangladesh based there, overseeing operations of three jurisdictions simultaneously. I then got an International secondment as Chief Risk Officer of HSBC Thailand for three and a half years. All these postings were at Country Leadership level, that gave me much insight and exposure. 

After a period of over 15 years in the HSBC Group I returned to Sri Lanka, to take over as CEO of PABC. I served in the position from March 2014 to December 2016 during which time I led its growth to an active mid-sized bank, and thereafter moved to become CEO of NDB on 1 January 2017.  

Over the years, the journey has been rewarding, with several esteemed banking entities, here at home and overseas. These opportunities afforded me the experience of dealing in multiple jurisdictions, exposure to cross-cultures and interaction with many individuals in different walks of life, and also the platform to transform the respective entities I led.   I’ve crossed paths with many talented professionals with the privilege of working with them over the years.

To answer your question how I reached these levels, I attribute it to God’s will, and of course my unending passion for my work, dedication, continuous self-development, agility in evolving to emerging conditions and the desire to stay ahead of the game. I am also thankful to all my mentors, team members and other stakeholders who have contributed to my professional development, my family who supported my growth and above all, God for his plans and direction.

Q: Reflecting on your stint as a first time CEO, what were your key achievements as the CEO at PABC?

A: I would say many, and most significantly bringing about transformational change. At the time I assumed duty as CEO of PABC, it portrayed a Balance Sheet of Rs. 65 billion. By the time I was leaving PABC, it had risen to a Balance Sheet of Rs. 129 billion, with a 3 year CAGR of 26%, profitability surpassed LKR 1 billion by end 2016, thereby doubling assets and tripling profitability in a span of three years. This earned PABC the fastest growing commercial banking status in the country. I strongly believe the impetus I provided in propelling the bank forward has set it on a sustainable growth path, because once you get into that mode it’s unlikely you would go backward, but rather forward. I would also like to think that I left the legacy of having groomed the next level, capable of taking over the reins, sustaining and elevating that growth mode, that is currently evident. 

Q: What were your wins at NDB, and the strategies you introduced and executed to make it the strong entity it is today?

A: When I assumed duty as the CEO of NDB in 2017, it was a sleeping giant. Sleeping because it was not as active or aggressive as it ought to have been for a commercial banking entity in a very intensely competitive sector. A giant because, NDB had many unmatched strengths, such as its development banking prowess, strong ties with international funders, an excellent and competent team, a relatively strong branch network spread across the country, a deep sense of true national development catering to SMEs, etc. Given my intrinsic knack for promptly sensing what possesses potential and my desire and passion to transform the good to the best, I saw so much potential in the NDB. This is why in 2019, within three years since assuming duty, the Bank rose to fourth position from seventh among commercial banking entities in Sri Lanka, crossing the Rs. 500 billion mark in total assets.

The Bank has posted some of the most impressive growth rates, not in isolation in a single year, but continually over the years. The compound annual growth rates over the five years for total assets, gross loans and customer deposits at NDB have been at high levels well ahead of peer banks and industry averages.

Yet another aspect I take pride in terms of achievements is the diversity in performance that NDB went on to achieve and the dynamism it attained as a competitive commercial banking entity in the country. During my tenure, the Bank’s performance was shaped by two distinct strategies launched back to back. The first was Transformation 2020 spanning 2017-2020 devised and implemented alongside the professional input by the International Finance Corporation (IFC), the very successful execution of which was followed by Voyage 2025, internally developed and implemented, ably supported by  Stax on implementation tracking and communications. These two strategies respectively revamped not just financial performance of the NDB but multiple other performance aspects.

A major digital drive, encompassing both internal processes and customer solutions was iconic in both strategies. This brought in organisation realignment and a deep mindset change within the bank with a strong inclination towards digitisation. Dedicated teams were established to drive this with the direct leadership of the CEO. And the results were exceptional. NDB went on to launch several industry first digital solutions such as, interoperable mobile app for individuals – NEOS, mobile app for SMEs (NEOSBIZ), VKYC enabling remote account opening from anywhere in the world, back-to-back fully integrated digital loan facilities, ability to obtain CRIB reports and CRIB scores from the NEOS mobile app, etc. and more recently NEOS Corporate for driving transaction banking, to name some significant capabilities.

Simultaneously, the drive to digitise and automate internal processes also took a similar thrust that saw a large number of processes leaned out, using technologies such as work flow and robotic process automation (RPA). The NDB was one of the pioneering banks in deploying RPA and was swift in converting a large number of manual processes into digitised solutions. These have led to significant efficiency enhancements and cost reductions, helping us attain one of the best cost to income ratios among peer banks. Ultimately, enhanced processes have also led to a swifter and seamless experience for our customers and employees.

Our focus on empowering the women’s market segment is also another area fortified during my tenure. The strategic initiative Banking on Women, was devised and deployed after research indicating a concerning deficit of funding for women-led businesses in the country and untapped potential in terms of women’s contribution to economic development. It’s under this strategic agenda that the NDB went on to launch some of the iconic initiatives such as NDB Araliya, a diverse and fully-fledged financial cum advisory proposition for females, and also the flagship initiative, Sri Lanka Vanithabhimana, that NDB and MBC News First have been collaborating on for the fourth consecutive year as a national level initiative to reward, recognise and empower high performing women. 

On the dynamism of NDB’s performance are many points. In summary we excelled in several aspects, wide ranging and impactful, such as our contribution to fighting climate change, preserving the environment through tree planting initiatives, etc., community empowerment, support to customers through the toughest of times, ensuring staff well-being, etc.

Such dynamic performance did not go unnoticed by external parties, and duly, the NDB has been endorsed in multiple instances with numerous awards locally and globally. Some of the top awards are becoming the Best Bank in Sri Lanka as judged by renowned entities such as The Banker UK, Global Finance USA and Euromoney, in multiple years.  

NDB also went on to become the most awarded corporate in Sri Lanka as per the rankings of LMD for two consecutive years, in 2021 and 2022.

Furthermore, my tenure at the NDB was marked by several unprecedented external shocks, particularly the COVID-19 pandemic in 2020-2021, and then the sovereign debt default followed by the economic crisis in 2022. All these shocks demanded out of the box thinking, visionary leadership, and an exorbitant amount of empathy towards our stakeholders and prudent, tactical strategic manoeuvring in ensuring the stability of the entity I served. It is with contentment that I look back on how we surmounted these challenges, with the unwavering commitment of my leadership team and the rest of the NDB team.

Q: How did you align the NDB group to achieve success, as NDB comprises several subsidiaries in the financial field?

A: I can quote a few factors. One was unifying the team, and rallying them around one goal, and dream. At the very outset of my tenure, we launched probably NDB’s most transformational strategy as I mentioned previously. A key finding of the pre-strategy diagnostic stage was the need to align the team culturally, as we represented many backgrounds. Parallel to the strategy, we launched an organisational change management program, a key aspect of which was bringing the team together, unifying them and aligning them, which we did under the newly launched culture identity, “One NDB”. This was a rewarding effort, carried out with the views of all staff members through an organiation-wide survey. Also taking care of the team, affording them opportunities to grow in their careers as well as in personal capacity have earned us a very loyal employee base. 

Next was placing the customer at the very centre of everything that we do. Customer-centricity has been the essence of all our strategies. This has enabled us to achieve excellence in customer service, curate most productive solutions to them and be empathetic towards them. This proved true mostly during the recent economic crisis, where our customers faced many hardships. 

Embracing digitisation has also been a decisive success factor for us, enabling us to devise seamless solutions for our customers, enhance internal efficiencies, optimise cost structures thereby preserving profitability and further our pledge as an environmentally responsible corporate. 

Yet another important factor is the agility we have maintained throughout. Our compact size, versatile team and digitised platforms enabled us such agility. This is why when unforeseen catastrophes hit such as the COVID-19 pandemic, we were able to swiftly adapt and forge ahead.

Q: Your intervention in the banking sector has extended beyond that of a CEO. How has your leadership impacted the sector?

A: Well, as a banking CEO, we serve thousands, even millions of our citizens. We provide strategic foresight and leadership to product innovation, process enhancements, banking sector human resource development, digital drive, etc. So I think in the ordinary course of leading the NDB, since we excelled in all these aspects there was much contribution we made in shaping the sector. For example, when one bank introduces new technology it sets a precedence for fellow banks to follow, and when that happens many more customers benefit. So just as much as we are a competitive industry, I would like to see us as a close-knit eco-system that learns and grows from one another, the ultimate benefits of which are a better developed banking sector and more empowered customers across the board.

In more specific terms, I think my contribution to the banking sector was heightened during my time as President of Sri Lanka Banks’ Association (SLBA). This was in 2020, when the country was hit by the COVID 19 pandemic. The pandemic and its effects had a debilitating impact on the sector, our customers, employees, etc. The situation needed agile, prompt solutions to safeguard the interests of the entire ecosystem. Together with fellow banking CEOS, and also in concurrence/ direction of the Central Bank of Sri Lanka we devised some impactful solutions such as moratoriums to customers, concessionary rated loan scheme, doorstep ATM facilities to customers, etc. These measures were crucial in ensuring the stability of the banking sector, and also the overall economy.

Then came the economic crisis – an unfortunate incident that could have been avoided. The NDB had a considerable exposure to sovereign bonds similar to several other peer banks and it was essential that amicable solutions were arrived at, that safeguarded the interest of individual banks, the banking sector as a whole and ultimately the country. Together with peer bank CEOs, I was involved in discussions with international advisors in both legal and financial capacity in arriving at optimum debt negotiation solutions.

In earlier years, I’ve been an active member of the Association of Professional Bankers (APB) having held several positions of the Executive Council and later as President in 2009/2010.  I have authored a number of articles on contemporary topics of interest in the banking sector, was Chairman of the Publications and Educational Committee of several APB Anniversary Volumes, and was an Academic Advisory Council Member of the Institute of Bankers Sri Lanka (IBSL) that spear-headed the introduction of a new syllabus, updated with timely developments of the banking sector and wider economy in 2008/2009. During my stint as President of APB, along with the IBSL, we introduced offering Continuous Professional Development [CPD] points for participation at APB guest lectures in a bid to encourage the IBSL membership to participate in such guest lectures and update their knowledge and awareness, and this process remains to date. I have also had the opportunity to share knowledge as a resource contributor at numerous forums spanning a wide scope of subjects including at The Centre for Banking Studies of the Central Bank of Sri Lanka.

My directorships with LankaClear Ltd., and the Credit Information Bureau of Sri Lanka - two critical entities that drive the sound functionality and health of the banking system afforded me the opportunity to drive through leadership and pragmatic implementations in the sector.

Q: What are your views on the future of banking?

A: The relevance of banking will accentuate in the future, but with greater shift into more digitised, convenience-driven and speedy solutions. Emerging AI technologies would revolutionise banking sooner than later, but bankers would still require retaining the human aspect and connectivity that is essential in a banker-customer relationship. In my view it is a unique relationship that cannot be fully replaced by advanced technology. Banks are also coming under increasing scrutiny to channel funds in environmentally and socially responsible ways, hence, integration with ESG will not be a choice for them any longer. Furthermore, as the country gradually emerges from the economic crisis, the sector will have much to do in supporting all participants across all strata of the social and economic pyramid in achieving financial resilience and prosperity. Banks would also have to strategise on capital augmentation and solid funding plans to bolster envisaged growth and build buffers to weather any potential shocks.

Q: Any parting message?

A: There is much pride and esteem in being a banker, because as bankers day in and day out, we support and empower thousands of individuals, micro ventures, SMEs or top-notch blue chips to prosper financially, achieve financial resilience and thereby support achieve their dreams and enhance the quality of life. A banker shoulders the prosperity of an economy by providing financial and advisory support and helping customers in making critical decisions that spur growth. Only a few jobs can make such a deep and wide impact. In my belief the critical virtues that nurture a true banker and a leader role in the sector are integrity, honesty, commitment and empathy towards your customers and other stakeholders. In the new age where environmental and social injustice are the most defining challenges, we as bankers need to align our thinking and behaviour, so environmental and social empathy are also important.

Q: What are your post 

retirement plans?

A: I strongly believe in calling it a day in your career when you are at your peak, because from then on, you still have so much left in you to contribute to the industry and the country at large, there is still much vigour and impact in what you do. I think there cannot be a more pressing time than now, where the county needs professional input in a wide plethora of aspects linked to banking and financing, focused towards rectifying and fortifying our economy. Given the expertise that I carry to my credit, I intend to put these exposures into beneficial usage thereby making a lasting impact on the industry and the country as a whole. And on the other hand, life should be a balanced one in terms of family, spirituality and career. In most cases, however much you try to balance it especially in these challenging times, it’s difficult to strike a balance. I think with retirement, especially from a highly demanding role of a CEO, I will have that much needed time to have a balanced approach in life, while continuing to serve the people and my country, a mission I will not relent on for as long as I can.