|Project Name||SENIOR UNSECURED LOAN TO DFCC VARDHANA BANK LIMITED|
|Borrower/Company||DFCC Bank PLC
|Type or Modality of Assistance||
|Strategic Agendas||Inclusive economic growth
|Drivers of Change||Private sector development
|Sector / Subsector||
Finance / Banking systems and nonbank financial institutions - Housing finance
|Gender Equity and Mainstreaming|
|Responsible ADB Department||Private Sector Operations Department|
|Responsible ADB Division||Portfolio Management Division, PSOD|
|Responsible ADB Officer||Doukidis, Doukas|
|Objectives and Scope||The facility will be used exclusively for mortgage onlending and housing rehabilitation loans. ADB will restrict the use of its funds for owner-occupied residences and will target a minimum of 30% of the facility for loans outside Colombo in the North, East and tsunami-impacted areas.|
|Status of Development Objectives||The project is intended to contribute directly to an increased share of private commercial banks, especially tier two banks, in the housing finance sector in Sri Lanka, which is important given that state-owned banks have the dominant share of the market. Increasing the private sector's share of the housing finance market by supporting the growth of mid-tier banks, is expected to improve competition in the sector and lead to the development of competitive pricing and better products and services. Other indirect development impacts of housing finance include the contribution of the construction sector to overall economic growth and employment generation, through its many backward and forward linkages. In addition, mortgage lending capacity development though the TA will enable the bank to better expand and cater services more efficiently and sustainably, contributing to further economic growth.|
|Linkage to Country/Regional Strategy||The investment supports institutional and financial sector development through the deepening of the financial sectors by the expansion of housing finance lending and technical assistance.|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||DVB's business activities have minimal or no adverse environmental impacts.|
|Involuntary Resettlement||The project involves only small loans for purchase of existing homes or housing construction or small scale renovation for individual or family housing with insignificant impacts and no involuntary resettlement involved.|
|Indigenous Peoples||The project will not be lending to estate developers, which may affect indegenous peoples as a community.|
|Stakeholder Communication, Participation, and Consultation|
|Timetable for assistance design, processing and implementation|
|Concept Clearance||09 Apr 2012|
|Credit Committee Meeting||21 Jun 2012|
|Approval||29 Aug 2012|
|PDS Creation Date||20 Jun 2012|
|Last PDS Update||30 Sep 2014|
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
|Title||Document Type||Document Date|
|Proposed Senior Unsecured Loan DFCC Vardhana Bank Housing Finance Project||Reports and Recommendations of the President||Aug 2012|
|Senior Unsecured Loan to DFCC Vardhana Bank Limited: Project Data Sheet (Sinhala Translation)||Translated PDS||Jul 2012|
|Senior Unsecured Loan to DFCC Vardhana Bank Limited: Project Data Sheet (Tamil Translation)||Translated PDS||Jul 2012|
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
None currently available.
Evaluation Documents See also: Independent Evaluation
None currently available.
None currently available.
The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
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