Pan Asia Bank concerned over rising interest

The Pan Asia Banking Corporation PLC (PABC) saw its post tax profit for the year ended December 31, 2015 (FY15) increasing by 151 per cent to surpass the key milestone of achieving a billion rupee profit, but has expressed concern over rising interest rates, offcials said. ”Rising interest rates and predictions on further hikes remain a concern,” an official told the Business Times. The bank closed the year with a post tax profit of Rs. 1.04 billion supported by the above average growth in gross loans and advances, higher margins and improved efficiency. The bank has grown its net loans and receivables by 40 per cent or Rs. 23.9 billion during the year to Rs. 84.2 billion, which is by far the highest growth in net loans and advances recorded by a licensed commercial bank in 2015, a media statement said.

Commenting on the results in 2015, the bank’s Director and Chief Executive Officer Dimantha Seneviratne was quoted as saying, “This performance reflects the immense potential of Pan Asia Bank and our contribution to the economy where we have disbursed our funds in to all sectors and regions in the country. Our Retail, SME and Corporate segments reached out to all areas of the country uplifting many industries and living standards of the people whilst creating financial inclusion”. In order to support its lending drive, the bank raised Rs. 4 billion in debentures at very competitive rates which was oversubscribed on the opening day itself the statement said.

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