Sri Lanka’s Nations Trust Bank gets US$50mn from Dutch lender
Oct 15, 2018 15:45 PM GMT+0530 | 0 Comment(s)
ECONOMYNEXT – Sri Lanka’s Nations Trust Bank (NTB) has for a syndicated loan of 50 million US dollars from FMO, a Dutch development agency, to support its business banking activities, mainly loans to small and medium enterprises.
A statement said FMO was able to blend tranches from commercial lenders and themselves to offer an overall facility with a five-year tenor that resulted in a maturity profile aligned well with the NTB’s needs.
“This syndicated transaction is FMO’s first repeat deal for Nations Trust Bank, following a subordinated loan which was provided eight years earlier to further the bank’s ambitious growth strategy,” it said.
Renuka Fernando, NTB Chief Executive Officer, said loan not only provided stable longer term funding to the bank but also opened doors to broad base funding options by establishing relationships with other commercial lenders some of whom are new to the Sri Lankan market.
The statement said the syndicated loan also enabled NTB to reach out to financiers such as Standard Chartered Bank, Abu Dhabi Commercial Bank, First Commercial Bank (Taiwan) and Atlantic Forfaitierungs, most of whom are lending to it for the first time.
FMO is known as Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. in Dutch or the Netherlands Development Finance Company.
(COLOMBO, 15 Octber, 2018)