NSB reaches milestone in $100 m deal
View(s):National Savings Bank (NSB) recently raised a US$ 100 million loan facility supported by Germany-based Commerzbank AG.
“The excellent relationship that NSB enjoys with its banking partners has allowed NSB access to a competitive interest rate despite the current global trend of interest rate increases. The facility was arranged jointly by Alpen Capital of Dubai and NDBIB of Sri Lanka,” the NSB said in a media release.
The funds were required as part repayment of $750 million which NSB borrowed from international markets in 2013 through an international bond issuance.
Having followed a transparent process, Commerzbank AG was identified as the most appropriate international lending partner. “NSB was able to leverage on its unique strengths of having a local credit rating of AAA (Ika), international rating of (B-) along with a strong financial and an operational track record of performance, in reaching a highly satisfactory agreement. NSB’s total capital adequacy ratio as at 30th September 2018 stands at 13.79 per cent with an asset base of over Rs. 1 trillion. Its NPA ratio is also highly commendable at below 1.7 per cent,” it said.