Institutional Capital

Institutional capital at DFCC Bank encapsulates the intangible, non-financial aspects of the organisation, such as its accumulated knowledge, systems and processes, corporate culture, values, and brand. Collectively these contribute to the Bank’s value creation process and performance, which shape its unique work style and culture, as well its distinctive identity.


Organisational Knowledge

Since its very inception, DFCC Bank has amassed a vast body of knowledge including systems, processes, and protocols that define its way of doing business. The Bank’s accumulated knowledge is perpetuated by in-house experts who educate and mentor staff on various aspects of banking. Through this collective learning, senior staff members pass on their knowledge to the next generation. The Bank’s intranet, WeConnect, serves as a repository of policies, knowledge, procedures, and regulations that staff can access with ease. Through these efforts the Bank promotes a culture of learning and remains true to our tagline, “Keep Growing”.

The transfer of knowledge from an outgoing staff member to a new employee is facilitated through a formal handover process. This process involves the outgoing staff member sharing their understanding of job processes and procedures with the incoming employee. The supervisor also plays a role in guiding the new employee and offering additional support as needed. Additionally, a work buddy system has been established to provide new employees a support network to assist them to integrate better with the workplace as well as acquire the necessary level of comfort and confidence in their new job roles while formal onboarding and familiarisation sessions are also conducted for all new entrants to the Bank.

Furthermore, the Training Unit of the Bank provides access to varied knowledge sharing and learning and development opportunities through classroom and virtual sessions, the e-learning platform, job rotations, special assignments, etc. to enable employees exposure to internal as well as external experts, thereby providing them with access to varied thinking as well as information on new developments.

Corporate Culture

DFCC Bank’s core values form the pillars of our corporate culture and are intrinsic and integral to the Bank’s interactions with all stakeholders. These core values comprise ethics, customer-centricity, innovation, professionalism, accountability, team orientation, social responsibility, stewardship and diversity, equity and inclusion (DEI), with the latter two being introduced in 2022. New employees undergo intensive orientation intended to inculcate the Bank’s values and expected behaviours. Regular refresher programmes are organised to reinforce these values among all employees.

In 2022, an intensive internal communication effort was launched to enhance staff awareness of the company’s values and expected behaviours. This included the use of electronic direct mail (EDMs), employee testimonials, and videos. The CEO emphasised the importance of these values in his inaugural address to staff and further emphasised them during his visits to regional branches. The CEO also communicated updates through various meetings, forums, and a periodic bulletin.

In line with the introduction of the diversity, equity, and inclusion (DE&I) value, the existing secure environment framework was reviewed and broadened in scope. Employees were educated on the new DE&I policy through flyers and interactive means such as quizzes. The policy is also easily accessible to all employees on the Bank’s intranet. Ensuring a safe and secure environment free of harassment and bullying as well as focus on the mental and physical well-being of our staff continue to be areas of strong priority.

DFCC Bank actively fosters a work environment that is inclusive, open and supportive, promoting diversity of opinion and transparent communication through a multitude of varied channels. We pride ourselves on enabling transparent, equitable and inclusive opportunities for all which encapsulates all aspects of the employee journey including reward and recognition, access to learning, career advancement, performance management, etc.

Integrity and Ethics

The Bank’s operations are guided by a strong foundation in ethics and integrity, which are strictly observed in all its business dealings and relationships. These aspects are integral to all areas of the Bank’s functionality, including relationships with employees, business partners and customers. Aspects such as honesty, fairness, trust and respect are intrinsic to all the Bank’s operations, processes and practices. A Whistleblowing Policy is in place for employees to report instances of ethical violations, and cross-functional committees and other mechanisms have been established for employees to raise their concerns.

Digital Banking Strategy and Innovation

DFCC Bank based its digital strategy around six key pillars: digital channels, digital payments, digital operations, digital services, digital analytics, and DFCC Agile, the Bank’s innovation centre of excellence (established in 2021). These six pillars serve as the foundation and starting point for the various products and services introduced over time. The Bank’s digital strategy roadmap is aligned with its aim of becoming the most customer-focused and technologically advanced bank by 2025. The methods and strategies for achieving this roadmap continue to evolve as new technologies emerge to meet changing customer needs.

The Bank’s strategy for digital banking and innovation resulted in a range of new concepts and products being developed and tested by workstreams through DFCC Agile. To support the innovation roadmap, 25 internal teams participated in immersion sessions, leading to the creation of a roadmap with 9 themes and 79 recommendations, along with 5 quick-win activities by way of collaboration with external innovation partner Innovation Quotient (Pvt) Ltd. In addition, 45 staff members received training in design thinking and the process is being integrated into the new product development policy. Seven teams presented solutions for investment review and approval by the leadership team, with 49 recommendations grouped into 7 workstreams for development and implementation.

34 staff members were awarded certificates based on evaluation by the trainers and peers. Training was conducted by experts from the Innovation Quotient (IQ) team with whom the Bank collaborated.This workshop is part of the DFCC Agile Innovation Centre of Excellence project to introduce designing thinking methods and tools to help develop value propositions, solutions to effectively manage the challenges of the modern marketplace caused by automation, adoption of artificial intelligence, leveraging big data, emergence of new entrants and rapid changes in consumer behaviour. The approach was through offline and online clinics which covered identifying a value proposition, testing, building prototypes, business case preparation, pitching the story for investment and business integration.

The Business Technology Road Map and Data Evangelism workstream were also initiated as part of the DFCC Agile program which is ongoing. Two quick-win initiatives were launched and resulted in the introduction of new products and services, such as the “Wish Engine” campaign and improvements to the use of digital touchpoints and content creation for the marketing and business teams. The design thinking process will also be incorporated into the new product development policy, with 5 new products, services, and processes to be launched during the year 2023. Staff are strongly encouraged to share ideas, recommendations via multiple channels that are reviewed by internal teams. Investment for innovation and collaboration was approximately LKR 12 Mn during 2022.

Given below are the noteworthy improvements to our digital infrastructure.

  • ATMs: new offsite ATM at MAS Fabric Park was launched to support the communities.
  • CRMs: 16 new CRMs deployed. Total CRMs live have risen to 80.
  • Cheque deposit kiosks: 7 new cheque deposits kiosks deployed.
  • Pay&Go Kiosks – 5 Pay&Go machines deployed.
  • MySpace locations – 14 new locations branded with MySpace.
  • New offsite CRM installed at the Templeburg Industrial Zone.

Upgrades to the Online Retail Banking Platform.

  • My Portfolio page upgrade.
  • Transaction history – optimisation (PDF output/download button/search criteria/transaction narration).
  • Password – show/hide password option.
  • Logout confirmation prompt.
  • Profile settings option.
  • Dashboard account widget optimisation to improve visibility
    of joint accounts.
  • Manage payees and biller screen optimisation.
  • Live chat integration.
  • Default OTP channel selection.
  • Speed improvements.

New Features in Development to be launched in 2023.

  • Online FD upliftment.
  • Online cash back loan.
  • Transaction history UI improvement.
  • Utility bill outstanding retrieval.
  • Mobile Banking App.
  • Enabling government payments (Eg: Payments to Inland Revenue Department).

DFCC Bank recently made several changes to DFCC Virtual Wallet to improve its internal processes, risk management, and user experience. The Debit Card onboarding was updated with validations against information in the core banking system when customers self onboard for DFCC Virtual wallet for better internal process and risk management. Additionally, a Dialog Number Validation was added to ensure the correct number was stated and enhance the user experience. The Utility Transaction flow was also changed for better process, as well as the Top Up and Return to Bank Transaction flow. To improve the user experience and process, a Credit Card number validation was added for DFCC Virtual Wallet.

In terms of user experience, the Bank enabled receipt sharing via WhatsApp for transactions done via the DFCC Virtual Wallet to meet user expectations and changed the Dialog Broadband popup messages for a better user experience. The Bank also integrated the OnePay Payment gateway to enable customers to make e-commerce transactions. The Bank conducted a salary week promotion to add value to users, and added 5 new billers to provide more convenience to users when making payments. These changes demonstrate the Bank’s commitment to providing a seamless and user-friendly experience.

The Mobile Teller doorstep banking service has undergone several updates to include new features. This has led to a significant increase in the growth of M-Teller collections, which rose by 158%, and the growth of active branches increased by 31%. The service is now available in 82% of the network, providing a widespread and convenient option for customers. Security features have also been enhanced to provide a seamless and secure banking experience. The WhatsApp channel was added to DFCC Chatz in August 2022 and improvements made to responses of the chatbot.

The DFCC website underwent several significant changes to improve its functionality and user experience. The Loan Inquiry forms were upgraded with additional data fields for a more comprehensive loan application process. The Sustainability and Remittance web pages were also revamped for a more user-friendly experience. The Online Account Opening User experience was upgraded based on recommendations from the innovation team for a more seamless account opening process. To improve the website’s visibility, all pages were optimised for search engines, and keywords were ranked to appear in the top 10 search engine results pages. In addition to these upgrades, several new product pages were created in English, Sinhala, and Tamil, which were completed during the year. New landing pages were also created for various products, including the DFCC Aloka micro site, Aloka event section page, Sustainability webpage revamp and Remittance webpage revamp. These changes demonstrate the Bank’s commitment to providing customers with a comprehensive and user-friendly online experience and create better awareness of its products and services online.

In 2022, the Bank introduced several new and improved digital banking services to enhance the customer experience. One of these was to continuously update and optimise verification of all branches on Google My Business, providing customers with up-to-date information on each branch’s location and services. Additionally, JCB acquiring services were enabled on ATMs and CRMs, offering customers greater flexibility in their banking transactions. Furthermore credit card number validation was introduced to cash deposits to CRMs.These new digital banking services further demonstrate DFCC Bank’s dedication to providing customers with a comprehensive and convenient banking experience.

Given below is a summary of DFCC’s digital transactions in terms of value and volume over the past year:

  • The number of active users of DFCC Virtual Wallet (Hybrid Mobile App) increased by 27%.
  • The volume of DFCC Virtual Wallet transactions increased by 41%, while the value grew by 92%.
  • Bill payments volume grew by 63% and value grew by 306%.
  • 79% total CEFTS transactions are routed through the DFCC Virtual wallet.
  • Transactions through cheque deposit machines grew by 160%.
  • Cash deposit volumes through CRMs increased by 25%.
  • Off-us transactions on ATMs/CRMs grew by 60%.
  • 85% of total transactions were conducted through digital channels compared to counter transactions.
  • Fees and commissions from digital channels increased by 28%.
  • The rating of DFCC Virtual Wallet on the Play Store was 4.5 stars and on iOS 4.2 stars.
  • 185,000 customers were registered for DFCC Alerts in the year 2022.
  • 70,874 customers were registered for e-Statements.
Volumes 2022 2021 2020
ATM/CRM withdrawals 2,765,004 2,018,343 1,469,390
CRM cash deposits 608,278 533,159 146,792
Cheque deposit machine transactions 424,162 390,437 75,849
DFCC Virtual Wallet transactions 2,692,799 1,902,240 627,861
Growth % 2021 (Jan-Dec) Vs 2022 (Jan-Oct)
2020 Vs 2021
ATM/CRM withdrawals 37 37.30
CRM cash deposits 14 263.20
Cheque deposit machine transactions 8.6 414.80
DFCC Virtual Wallet transactions 42 203.00

Core Banking System

DFCC Bank’s new core banking system has significantly improved productivity and operational efficiency, reduced operational costs, and broadened the reach and accessibility of the Bank.

Marking its first year of operation, the system has enabled the Bank to offer 24x7 non-stop banking services to customers. It is integrated with other systems through APIs, creating an agile platform that can respond quickly to changing conditions. The system offers a variety of features and capabilities, including the ability to offer a wide range of products to customers and a 360-degree view of each customer, including core banking information, to support better decision making.

The new online banking platform allows customers to open fixed deposits, create new accounts, make payments, and more, without the need to visit a physical branch. It also provides a savings goals feature, where customers can set a target balance and automatically transfer funds on a regular basis until the goal is reached.

In addition, the new LPOPP interface by LankaClear was integrated into the core banking system, enabling online payments to multiple institutions, such as the Inland Revenue Department, Customs Department, Ports Authority, and Employees’ Provident Fund

Robotic Process Automation (RPA)

During the year, the Bank implemented several process automations and enhancements. One of these was the implementation of the first Human-BOT RPA for online credit card application processing. Another RPA was introduced to automate the change of profiles for the core banking system users, streamlining a previously manual process. The entire RPA platform was also upgraded to the latest version.

A new workflow was introduced to automate the approval process for vehicle loans and loans related to PFS. Further updates are expected on the Visa Secure platform, POS units, and DFCC Pay App.

Security and Infrastructure

The Bank upgraded its security and infrastructure measures by relocating its main production site and disaster recovery site to Tier 3 certified data centers. This enhances the resilience of the data center support infrastructure and offers an expected uptime of 99.982% with minimal downtime. Additionally, the Bank modernised its branch connectivity by implementing the latest SD-WAN technology, providing multiple redundant paths, cost savings, and high-level security.

Business Processes and Operational Efficiencies

The COVID-19 pandemic of the last two years led to a swift shift towards remote work, with most Bank employees working from home. In 2022, this “new normal” was maintained by the Bank, which allowed its staff to work from anywhere. By reducing the time spent on commuting, the Bank was able to offer its employees better work-life balance while also improving productivity and morale.

To accommodate this new way of working, the Bank switched to a stronger and more secure cloud-based remote work setup, providing a more flexible and enjoyable experience for employees while maintaining a secure environment for the Bank.

Marketing and Communications

The increase in digital consumption in Sri Lanka due to the COVID-19 pandemic has resulted in many people making social media a way of life. The DFCC Communications Strategy reflects this change and combines above-the-line and below-the-line promotional tactics to achieve marketing goals. The Bank’s communications and digital platforms are trilingual to reach all geographical segments of the country and are governed by the Communications and Social Media Policies to ensure compliance with regulatory requirements.

During the year under review, the Bank carried out several brand-building and product-specific campaigns with a focus on digital channels while still using above-the-line and below-the-line channels. These campaigns aimed to raise awareness for DFCC’s products and services, including new products and partnerships launched during the year, such as 30/5 Fixed Deposits, Make a Wish with DFCC Credit Cards, DFCC Virtual Wallet M-Cash Integration Campaign, DFCC Ethera Saviya Loan scheme, and the DFCC Pawning Campaign.

Due to the pandemic and political and social unrest, there were limited physical events. However, the latter half of the year saw an increase in physical events such as the Customer Week Forum and Town Storming Drives for deposit mobilisation across the country. To maintain brand recognition, the Bank intensified online events such as webinars, forums, and customer engagement initiatives.

Brand Equity

Over the years, DFCC Bank has experienced consistent growth in its brand equity. This success is attributed to the effective implementation of its brand strategy and communication mix, which has helped the bank establish itself as a leading full-service commercial bank with a unique history as a development bank that also offers commercial banking services. The Bank’s communication strategy has increased its visibility on digital and traditional platforms, enhancing its recall among stakeholders.

Despite the challenging economic climate, DFCC Bank continued to execute its marketing strategy effectively, with a focus on digital and strategic marketing campaigns. The Bank’s digital presence was strengthened through social media content marketing on platforms such as Facebook, Instagram, YouTube, LinkedIn, TikTok, and Twitter. This resulted in increased customer engagement and interaction with the brand.

To optimise its return on investment, the Bank’s digital strategy also included Google Display Network, search ads, and programmatic ads on third-party websites and apps, and every campaign was carefully measured. This has helped the Bank attract substantial followers, increase views on its products and services, and improve brand-related content impressions. For example, the Bank recently gained over 10,000 followers on Instagram.

The Bank’s content strategy adopted an audio and visual approach, as these modes of communication effectively convey emotions and messages, resulting in more impactful storytelling. This approach has allowed the Bank to build a positive connection with its audience and share meaningful, relevant, and relatable content. Digital has been a valuable tool for reaching and connecting with a wider audience at an economical cost.

The Bank has also continued to support its businesses through traditional above-the-line and below-the-line channels, with a variety of campaigns aimed at different target audiences for each product portfolio. These campaigns, such as the “DFCC Ethera Saviya’’, loan scheme for overseas jobs, fixed deposits campaigns, town storming drives, and strategic partnerships like the WCIC Prathibhabhisheka Women Entrepreneur Awards 2022 powered by DFCC Aloka and the “SAARC Ethnic Elegance” cultural event organised by the SAARC Women’s Association – Sri Lanka Chapter, have played a critical role in raising brand awareness and driving messages to multiple segments in the country. The Bank has also strengthened its public relations and online initiatives having placed fourth as a brand in public relations in the Banking sector and continues to be one of the top performers on Facebook and Instagram in terms of engagement.

DFCC Bank has evolved into one of the most digitally advanced banks, with a steady growth in its brand presence on social networks.

Facebook Instagram LinkedIn YouTube
Followers 156,682 10,655 46,789 3,050
Impressions/Number of Video views 65.4M 13.6M 734,475 263,413
Reach 52M 11.5M 293,098 N/A
Source – Annual Social Media Statistics Report, Fanpage
Karma (2022)

DFCC Bank leveraged the power of Facebook and Instagram to improve its annual reach and impressions on these platforms. The Bank’s Facebook follower base grew from 122,329 at the beginning of the year to 156,682 by year-end as a result of its aggressive content strategy and advertising efforts. The follower base on Instagram rose from 9,305 to 10,655 by the end of the year, earning the Bank the 5th place in terms of followers among banking brands. According to Fanpage Karma’s social analytics, DFCC Bank is the highest-ranked banking brand in terms of engagement ratio.

Additionally, the Bank’s LinkedIn following increased from 37,802 at the end of December 2021 to 47,051 by mid-December 2022, with strategies aimed at the professional demographic. On YouTube, the Bank’s following grew from 2,630 at the beginning of the year to 3,050 by year-end due to custom-made videos and advertising on the platform.

DFCC Bank has once again demonstrated its dedication to customer-centric and digitally innovative banking, as it was voted by Euromoney as the Market Leader in Cash Management in Sri Lanka for the second consecutive year in 2022. The Bank has also received recognition for Best Service this year. DFCC Bank’s “Salli Athin Allanne Na” digital marketing campaign to promote the DFCC Virtual Wallet was recognised as a finalist at the SLIM DIGIS 2.1 awards. The Bank prides itself as the Bank for Everyone.

The Bank was awarded Gold for the “Best Social Media Content Award (YouTube, Facebook)” at the 11th ACEF Asian Leaders Awards, competing against countries in South Asia. Its winning entry was a short film released during Customer Service Week, and it was the first-ever digital film created by a Bank in Sri Lanka. The content was based on a true story and went beyond the typical TV commercial, featuring an emotional content piece. This allowed the Bank to position itself as a pioneer and game changer in the industry, willing to think outside the box and connect with the target group in a relatable way. The content’s originality and meaningfulness helped foster an emotional connection with customers, creating Top of Mind (TOM) awareness of the brand.

Anti-Bribery and Corruption

The Bank’s Anti-Bribery and Corruption Policy (ABC Policy) is regularly updated, reviewed and approved by the Board of Directors. It governs the Anti-Bribery and Corruption Framework of the Bank, which is monitored by the Fraud Risk Management Committee (FRMC). The Policy applies to all directors, employees, and authorised representatives of the Bank. It also prohibits any business dealings with individuals or entities known to be associated with or susceptible to bribery and corruption. The FRMC regularly evaluates the policy through audits, compliance, and HR findings to ensure compliance with the zero-tolerance stance adopted by the Bank with regard to bribery and corruption. Employees and stakeholders are actively encouraged to report any concerns through the Bank’s Whistleblowing Policy or other available channels and are prohibited from making facilitation payments or political contributions. The Employee Handbook also covers employee conduct, including provisions regarding bribery and corruption.

Whistleblowing Policy

The Bank has implemented a policy to enable employees to raise any concerns regarding misconduct or improper behaviour either confidentially or anonymously. The Bank promises to maintain the confidentiality of the whistleblower and protect them from any retaliation. If the whistleblowing is done confidentially, the management will engage in a dialogue with the employee to gather more information and provide feedback on the actions taken in response to the concern raised. However, if the whistleblowing is done anonymously, two-way communication will not be possible but not withstanding this, an investigation is conducted on the matter surfaced.

Gifts and Inducements

The Bank has established a policy regulating the acceptance of gifts and inducements by employees. Accordingly, with the exception of token gifts of nominal value (not exceeding LKR 10,000) given in connection with a festive occasion, staff members are prohibited from soliciting or accepting gifts and inducements from customers and other third parties associated with the business of the Bank.


DFCC Bank adheres to all relevant environmental and legal requirements in Sri Lanka. During the review period, there were no instances of non-compliance related to the Bank’s operations, marketing, labeling, consumer data protection, or other processes, with the exception of a penalty of LKR 4,000,000 imposed by the Financial Intelligence Unit for violating provisions of the Financial Transactions Reporting Act No 06 of 2006 (FTRA). The Bank reaffirms its commitment to following all laws and regulations, including those set by the FIU, and has implemented stronger control systems to comply with the provisions of the FTRA and other directives from the FIU.