Country’s leasing industry:
LASL optimistic
Charumini DE SILVA
With the economic stability of the country, the Leasing Association
of Sri Lanka (LASL) is optimistic about the future of the Sri Lankan
leasing industry. With the opening of the Northern and the Eastern
provinces there will be more economic activities in the country with the
positive economic environment, the Leasing Association of Sri Lanka (LASL)
Chairman, Sanjeewa Bandaranayake told the Daily News Business.
The majority of the leasing companies have reduced their interest
rates drastically with the positive economic atmosphere in the country
and this year the LASL will concentrate more in formulating a vision for
the industry, which will be in line with the Government’s policies of
assisting the SME sector in the country.
It is important for the leasing industry to expand their services in
rural areas to commence their operations targeting the rural community
and to provide more facilities to the SME sector, he said.
“At present, Leasing and Finance sectors enjoy the benefits of a
highly effective dialogue with the Central Bank through the regular
fortnightly meetings with the Governor and the key officials. With a
view of facilitating the long term development, growth and
sustainability of the two sectors operating more or less in the same
market space, it is timely and opportune to look at the possibility of
aligning our vision at a macro level with that of the policymakers in
the Government to achieve the mutually desired goal of greater economic
development,” he said.
“We believe that the promulgation of a common vision encapsulating
the aspirations of all of the stakeholders in the Leasing and Finance
sectors will facilitate the development of strategies, policies, fiscal
incentives and regulations, which would provide the required conditions
that would ensure the long-term stability of the leasing and finance
industry whilst meeting the pressing macroeconomic and development needs
and objectives of the country.
The performance of the leasing industry during last year was slightly
down, but this year the LASL expects a higher growth in the industry and
to contribute to the country’s economy in a larger manner,”
Bandaranayake said.
He said that with the Central Bank’s firm observation the finance
sector was not affected by the global economic downturn or from the
credit fraud companies in the country. Due to the unregistered financial
companies in the country, the customers lost their faith in the finance
companies, especially in the private companies and that affected the
business terrifically.
But at present with the economic stability and the Government
promising the customers have gained confidence. The volumes are
increasing, which shows the positive trend of the customers, he said. |