fbpx 48302-001: Proposed Loan to Hatton National Bank for Supporting Infrastructure Development | Asian Development Bank

Sri Lanka: Proposed Loan to Hatton National Bank for Supporting Infrastructure Development

Nonsovereign (Private) Project | 48302-001 Status: Active

Project Details

Project Officer
Gunawardhena, Manohari Private Sector Operations Department Request for information
Country
  • Sri Lanka
Sector
  • Finance
 
Project Name Proposed Loan to Hatton National Bank for Supporting Infrastructure Development
Project Number 48302-001
Borrower/Company HATTON NATIONAL BANK PLC
Country Sri Lanka
Location
Type or Modality of Assistance
3229 Loan Ordinary capital resources USD 75.00 million Committed
69 B-Loan Other USD 25.00 million Committed
Strategic Agendas Inclusive economic growth
Drivers of Change Private sector development
Sector / Subsector

Finance / Finance sector development - Infrastructure finance and investment funds

Gender Equity and Mainstreaming No gender elements
Responsible ADB Department Private Sector Operations Department
Responsible ADB Division Portfolio Management Division, PSOD
Responsible ADB Officer Gunawardhena, Manohari
Project Sponsor(s)
Description The project consists of a loan of up to $100 million for onlending to infrastructure projects.
Objectives and Scope By working with one of Sri Lanka''s leading private commercial banks and providing long-term debt financing and balance sheet support, ADB has a unique opportunity to promote private sector participation in the Sri Lankan financial sector and to support needed infrastructure development.
Linkage to Country/Regional Strategy The proposed project is directly aligned with the government's development policy framework, which aims to accelerate economic growth, improve access to finance, address inadequate and poor quality of infrastructure as a major constraint to rapid economic growth, and increase the low level of private sector investment. ADB's 2012 to 2016 country partnership strategy for Sri Lanka is built on the government's development policy framework and Strategy 2020, and calls for ADB support for private sector development, including projects that accelerate the pace of private sector participation and promote financial sector development. The project also supports inclusive and sustainable economic growth as outlined in the country partnership strategy, as the project will contribute to these objectives through infrastructure development. It is also consistent with ADB's country operations business plan to catalyze private investment and promote inclusive growth in Sri Lanka and to support financial sector development through ADB's Private Sector Operations Department. ADB has supported the private finance sector since the conflict. It provided a $15 million senior loan to DFCC Vardhana Bank in 2012 to support housing finance and a $15 million senior loan to Nations Trust Bank in 2013 to support SME finance in Sri Lanka. Eight Sri Lankan banks are active in ADB's Trade Finance Program.
Safeguard Categories
Environment FI
Involuntary Resettlement FI
Indigenous Peoples FI
Summary of Environmental and Social Aspects
Environmental Aspects FI
Involuntary Resettlement FI
Indigenous Peoples FI
Stakeholder Communication, Participation, and Consultation ADB's engagement with HNB will play an important role in developing and supporting HNB's adherence to high corporate governance standards, as well as the adoption of market leading risk management, social, and environmental standards thereby enhancing risk management, environmental, and social responsibility at one of Sri Lanka's largest financial institutions.
Timetable for assistance design, processing and implementation
Concept Clearance 30 Jun 2014
Credit Committee Meeting 06 Nov 2014
Approval 04 Dec 2014
Last PDS Update 03 Apr 2018

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.

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Related Publications

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