At the moment, there are no entries available for display
Basel III Computation of Liquidity Coverage Ratio – All Currencies
Amount (LKR ’000) | ||||
31 December 2023 | 31 December 2022 | |||
Item | Total un-weighted value |
Total weighted value |
Total un-weighted value |
Total weighted value |
Total stock of High-Quality Liquid Assets (HQLA) | 152,762,344 | 151,562,260 | 102,328,523 | 101,602,039 |
Total adjusted level 1A assets | 148,747,554 | 148,747,554 | 99,703,368 | 99,703,368 |
Level 1 assets | 148,747,554 | 148,747,554 | 99,703,368 | 99,703,368 |
Total adjusted level 2A assets | 2,306,603 | 1,960,612 | 1,674,550 | 1,423,368 |
Level 2A assets | 2,306,603 | 1,960,612 | 1,674,550 | 1,423,368 |
Total adjusted level 2B assets | 1,708,187 | 854,094 | 950,605 | 475,303 |
Level 2B assets | 1,708,187 | 854,094 | 950,605 | 475,303 |
Total cash outflows | 584,446,642 | 89,080,919 | 504,176,302 | 89,429,232 |
Deposits | 300,166,130 | 26,997,638 | 272,209,694 | 24,203,659 |
Unsecured wholesale funding | 109,168,821 | 53,262,615 | 106,359,474 | 53,600,766 |
Secured funding transactions | 43,752,861 | – | 4,092,627 | – |
Undrawn portion of committed (irrevocable) facilities and other contingent funding obligations |
130,623,427 | 8,085,263 | 117,507,661 | 7,617,961 |
Additional requirements | 735,403 | 735,403 | 4,006,846 | 4,006,846 |
Total cash inflows | 77,169,785 | 63,713,421 | 54,047,087 | 39,216,667 |
Maturing secured lending transactions backed by collateral | 26,780,604 | 25,793,392 | 22,184,855 | 21,240,548 |
Committed facilities | – | – | – | – |
Other inflows by counterparty which are maturing within 30 Days | 46,800,877 | 37,755,736 | 24,533,688 | 17,898,106 |
Operational deposits | 3,259,718 | – | 7,172,519 | – |
Other cash inflows | 328,586 | 164,293 | 156,025 | 78,013 |
Liquidity coverage Ratio (%) (Stock of high quality liquid assets/ total net cash outflows over the next 30 calendar days) *100 | 597.47 | 202.34 |
Basel III Computation of Liquidity Coverage Ratio – LKR only
Amount (LKR’000) | ||||
31 December 2023 | 31 December 2022 | |||
Item | Total un-weighted value |
Total weighted value |
Total un-weighted value |
Total weighted value |
Total stock of High-Quality Liquid Assets (HQLA) | 150,243,525 | 149,389,432 | 100,501,922 | 100,026,620 |
Total adjusted level 1A assets | 148,535,338 | 148,535,338 | 99,551,317 | 99,551,317 |
Level 1 assets | 148,535,338 | 148,535,338 | 99,551,317 | 99,551,317 |
Total adjusted Level 2A assets | – | – | – | – |
Level 2A assets | – | – | – | – |
Total adjusted level 2B assets | 1,708,187 | 854,094 | 950,605 | 475,303 |
Level 2B assets | 1,708,187 | 854,094 | 950,605 | 475,303 |
Total cash outflows | 464,356,185 | 58,215,737 | 407,234,696 | 61,192,077 |
Deposits | 264,288,518 | 23,433,959 | 242,096,752 | 21,192,364 |
Unsecured wholesale funding | 55,509,591 | 28,093,184 | 62,200,762 | 30,953,525 |
Secured funding transactions | 43,752,860 | – | 4,092,627 | – |
Undrawn portion of committed (irrevocable) facilities and other contingent funding obligations |
100,069,813 | 5,953,191 | 95,675,249 | 5,876,882 |
Additional requirements | 735,403 | 735,403 | 3,169,306 | 3,169,306 |
Total cash inflows | 46,552,914 | 37,336,837 | 32,372,540 | 26,682,615 |
Maturing secured lending transactions backed by collateral | 24,551,225 | 23,564,013 | 20,794,949 | 19,850,642 |
Committed facilities | – | – | – | – |
Other inflows by counterparty which are maturing within 30 Days | 21,673,103 | 13,608,531 | 11,421,566 | 6,753,960 |
Operational deposits | – | – | – | – |
Other cash inflows | 328,586 | 164,293 | 156,025 | 78,013 |
Liquidity coverage Ratio (%) (Stock of high quality liquid assets/ total net cash outflows over the next 30 calendar days) *100 | 715.50 | 289.85 |
Maturity of Assets and Liabilities
As at 31 December 2023 | Up to 1 month LKR ’000 | 1-3 months LKR ’000 | 3-6 months LKR ’000 | 6-12 months LKR ’000 | 1-3 years LKR ’000 | 3-5 years LKR ’000 | Over 5 years LKR ’000 | Total LKR ’000 |
Financial assets | ||||||||
Cash and cash equivalents | 14,478,468 | – | – | – | – | – | – | 14,478,468 |
Balances with Central Bank of Sri Lanka | 2,107,776 | – | – | – | – | – | – | 2,107,776 |
Placement with banks | 29,138,098 | – | – | – | – | – | – | 29,138,098 |
Derivative financial assets | 98,653 | 810,321 | 796,764 | 1,651,425 | 7,010,475 | 6,131,533 | – | 16,499,171 |
Financial assets measured at fair value through profit or loss | – | 532,135 | – | 798 | – | – | 1,207,995 | 1,740,928 |
Financial assets at amortised cost – Loans to and receivables from other customers | 48,084,553 | 54,748,269 | 40,674,588 | 21,241,905 | 122,647,623 | 25,580,497 | 35,790,031 | 348,767,466 |
Financial assets at amortised cost – Debt and other instruments | – | 1,979,930 | 52,045 | – | 23,853,009 | 25,680,592 | 16,465,737 | 68,031,313 |
Financial assets measured at fair value through other comprehensive income | 16,726,256 | 29,092,254 | 36,568,960 | 7,571,404 | 11,945,976 | 16,442,286 | 16,555,629 | 134,902,765 |
Other assets | 2,825,314 | 548,088 | 232,347 | 20,066 | 22,622 | 19,002 | 6,902,111 | 10,569,550 |
Total financial assets | 113,459,118 | 87,710,997 | 78,324,704 | 30,485,598 | 165,479,705 | 73,853,910 | 76,921,503 | 626,235,535 |
Financial liabilities | ||||||||
Due to banks | 43,372,338 | 6,471,052 | 2,950,074 | – | – | – | – | 52,793,464 |
Derivative financial liabilities | 147,240 | 234,413 | – | – | – | – | – | 381,653 |
Financial liabilities at amortised cost – Due to depositors | 44,666,732 | 81,884,008 | 82,358,004 | 88,754,856 | 29,537,126 | 55,818,311 | 24,206,276 | 407,225,313 |
Financial liabilities at amortised cost – Due to other borrowers | 3,229,347 | 9,886,030 | 3,949,723 | 7,610,382 | 22,284,106 | 21,277,149 | 3,785,997 | 72,022,734 |
Debt securities in issue | – | 4,832,618 | 290,688 | – | 6,777,101 | – | 4,411,170 | 16,311,577 |
Other liabilities | 2,714,034 | 884,053 | 68,956 | 141,728 | 519,793 | 370,474 | 867,269 | 5,566,307 |
Subordinated term debt | – | 396,257 | – | 69,537 | 8,401,546 | 204,925 | – | 9,072,265 |
Total financial liabilities | 94,129,691 | 104,588,431 | 89,617,445 | 96,576,503 | 67,519,672 | 77,670,859 | 33,270,712 | 563,373,313 |
Total net financial assets/(liabilities) | 19,329,427 | (16,877,434) | (11,292,741) | (66,090,905) | 97,960,033 | (3,816,949) | 43,650,791 | 62,862,222 |
Contingencies | ||||||||
Guarantees | 18,942 | 27,161 | 151,660 | 6,889 | 6,506 | 5,018,307 | 2,797 | 5,232,262 |
Acceptance | 2,615,760 | 2,403,046 | 607,234 | 53,625 | 77,310 | 7,500,795 | – | 13,257,770 |
Performance bonds | 1,563,866 | 2,573,281 | 709,602 | 1,385,011 | 950,284 | 19,534 | – | 7,201,578 |
Forward contracts | 7,243,553 | 16,137,790 | 2,068,220 | 4,221,152 | 17,717,145 | 16,546,837 | – | 63,934,697 |
Documentary credit | 2,621,469 | 3,951,661 | 825,789 | 816,964 | 162,845 | 5,796,714 | – | 14,175,442 |
Total contingencies | 14,063,590 | 25,092,939 | 4,362,505 | 6,483,641 | 18,914,090 | 34,882,187 | 2,797 | 103,801,749 |
Commitments | ||||||||
Commitments in ordinary course of business – Commitments for unutilised credit facilities | 89,301,635 | – | – | – | – | – | – | 89,301,635 |
Capital commitments | 889,386 | – | – | – | – | – | – | 889,386 |
Total commitments | 90,191,021 | – | – | – | – | – | – | 90,191,021 |
Total commitments and contingencies | 104,254,611 | 25,092,939 | 4,362,505 | 6,483,641 | 18,914,090 | 34,882,187 | 2,797 | 193,992,770 |
As at 31 December 2022 | Up to 1 month LKR ’000 | 1-3 months LKR ’000 | 3-6 months LKR ’000 | 6-12 months LKR ’000 | 1-3 years LKR ’000 | 3-5 years LKR ’000 | Over 5 years LKR ’000 | Total LKR ’000 |
Financial assets | ||||||||
Cash and cash equivalents | 16,122,565 | – | – | – | – | – | – | 16,122,565 |
Balances with Central Bank of Sri Lanka | 9,030,868 | – | – | – | – | – | – | 9,030,868 |
Placement with banks | 11,202,407 | 4,022,285 | – | – | – | – | – | 15,224,692 |
Derivative financial assets | 20,473,544 | – | – | – | – | – | – | 20,473,544 |
Financial assets measured at fair value through profit or loss | – | – | 795,434 | – | – | 633,715 | – | 1,429,149 |
Financial assets at amortised cost – Loans to and receivables from other customers | 23,967,594 | 44,360,180 | 31,882,504 | 46,264,751 | 96,627,094 | 56,313,580 | 69,656,327 | 369,072,030 |
Financial assets at amortised cost – Debt and other instruments | 1,745,661 | 9,759,633 | 2,371,958 | 1,650,524 | 18,844,407 | 11,992,192 | 4,583,551 | 50,947,926 |
Financial assets measured at fair value through other comprehensive income | 3,717,657 | 11,490,644 | 13,510,430 | 18,263,819 | 5,798,500 | 2,079,021 | 8,458,989 | 63,319,060 |
Other assets | 2,070,333 | 19,592 | 91,545 | 111,576 | 5,274,666 | 104,057 | 133,195 | 7,804,964 |
Total financial assets | 88,330,629 | 69,652,334 | 48,651,871 | 66,290,670 | 126,544,667 | 71,122,565 | 82,832,062 | 553,424,798 |
Financial liabilities | ||||||||
Due to banks | 11,954,501 | 3,903,493 | – | – | – | – | – | 15,857,994 |
Derivative financial liabilities | 84,670 | – | – | – | – | – | – | 84,670 |
Financial liabilities at amortised cost – Due to depositors | 33,038,328 | 69,852,202 | 82,296,428 | 95,814,357 | 31,704,690 | 40,565,243 | 17,042,778 | 370,314,026 |
Financial liabilities at amortised cost – Due to other borrowers | 1,862,870 | 2,700,393 | 2,555,979 | 7,533,527 | 27,331,823 | 25,833,178 | 13,327,922 | 81,145,692 |
Debt securities in issue | – | 1,028,128 | 294,729 | – | 8,786,545 | 1,783,541 | 4,411,172 | 16,304,115 |
Other liabilities | 5,783,555 | 362,616 | 75,273 | 129,041 | 518,832 | 425,091 | 820,236 | 8,114,644 |
Subordinated term debt | – | 3,583,075 | – | 6,215,834 | 8,396,255 | 204,827 | – | 18,399,991 |
Total financial liabilities | 52,723,924 | 81,429,907 | 85,222,409 | 109,692,759 | 76,738,145 | 68,811,880 | 35,602,108 | 510,221,132 |
Total net financial assets/(liabilities) | 35,606,705 | (11,777,573) | (36,570,538) | (43,402,089) | 49,806,522 | 2,310,685 | 47,229,954 | 43,203,666 |
Contingencies | ||||||||
Guarantees | 16,387,487 | – | – | – | – | – | – | 16,387,487 |
Acceptance | – | 1,229,460 | 632,593 | 31,110 | – | – | – | 1,893,163 |
Performance bonds | 7,748,815 | – | – | – | – | – | – | 7,748,815 |
Forward contracts | 2,740,603 | (5,688,538) | (755,520) | 2,472,326 | 20,540,444 | 21,712,235 | 8,458,978 | 49,480,528 |
Documentary credit | – | 2,041,986 | 449,934 | 3,137,249 | – | – | – | 5,629,169 |
Total contingencies | 26,876,905 | (2,417,092) | 327,007 | 5,640,685 | 20,540,444 | 21,712,235 | 8,458,978 | 81,139,162 |
Commitments | ||||||||
Commitments in ordinary course of business – Commitments for unutilised credit facilities | 87,696,786 | – | – | – | – | – | – | 87,696,786 |
Capital commitments | 293,579 | 1,000 | – | 1,980 | – | – | – | 296,559 |
Total commitments | 87,990,365 | 1,000 | – | 1,980 | – | – | – | 87,993,345 |
Total commitments and contingencies | 114,867,270 | (2,416,092) | 327,007 | 5,642,665 | 20,540,444 | 21,712,235 | 8,458,978 | 169,132,507 |
Maturity Gap Analysis of Foreign Currency Denominated Assets and Liabilities – USD
As at 31 December 2023 | Up to 1 month USD ’000 | 1-3 months USD ’000 | 3-6 months USD ’000 | 6-12 months USD ’000 | 1-3 years USD ’000 | 3-5 years USD ’000 | Over 5 years USD ’000 | Total USD ’000 |
Total assets | 88,182 | 51,823 | 22,253 | 30,111 | 51,801 | 34,200 | 26,899 | 305,269 |
Total liabilities | 21,800 | 66,700 | 57,338 | 113,435 | 85,318 | 74,311 | 21,607 | 440,509 |
Total net financial assets/(liabilities) | 66,382 | (14,877) | (35,085) | (83,324) | (33,517) | (40,111) | 5,292 | (135,240) |
As at 31 December 2022 | Up to 1 month USD ’000 |
1-3 months USD ’000 |
3-6 months USD ’000 |
6-12 months USD ’000 |
1-3 years USD ’000 |
3-5 years USD ’000 |
Over 5 years USD ’000 |
Total USD ’000 |
Total assets | 63,622 | 52,837 | 25,752 | 19,989 | 50,798 | 26,250 | 26,108 | 265,356 |
Total liabilities | 28,949 | 40,466 | 31,110 | 84,920 | 76,282 | 74,921 | 37,952 | 374,600 |
Total net financial assets/(liabilities) | 34,673 | 12,371 | (5,358) | (64,931) | (25,484) | (48,671) | (11,844) | (109,244) |
Sensitivity of Financial Assets and Financial Liabilities
BANK As at 31 December 2023 |
Up to 1 month LKR ’000 |
1-3 months LKR ’000 |
3-6 months LKR ’000 |
6-12 months LKR ’000 |
1-3 years LKR ’000 |
3-5 years LKR ’000 |
Over 5 years LKR ’000 |
Non-interest bearing LKR ’000 |
Total LKR ’000 |
Financial assets | |||||||||
Cash and cash equivalents | 828,589 | – | – | – | – | – | – | 13,649,879 | 14,478,468 |
Balances with Central Bank of Sri Lanka | – | – | – | – | – | – | – | 2,107,776 | 2,107,776 |
Placements with banks | 28,583,114 | 74,161 | – | – | – | – | – | 480,823 | 29,138,098 |
Derivative financial assets | – | – | – | – | – | – | – | 16,499,171 | 16,499,171 |
Financial assets measured at fair value through profit or loss | – | – | 532,186 | 748 | – | – | – | 1,207,994 | 1,740,928 |
Financial assets at amortised cost – Loans to and receivables from other customers | 117,771,062 | 49,406,263 | 22,906,727 | 27,649,675 | 23,576,099 | 38,290,720 | 43,767,384 | 25,399,536 | 348,767,466 |
Financial assets at amortised cost – Debt and other Instruments | – | 4,276,077 | 244,290 | – | 21,364,617 | 25,680,592 | 16,465,737 | – | 68,031,313 |
Financial assets measured at fair value through other comprehensive income | 16,776,751 | 28,142,777 | 37,518,437 | 7,571,405 | 11,945,975 | 16,442,286 | – | 16,505,134 | 134,902,765 |
Other assets | – | – | – | – | – | – | – | 10,569,550 | 10,569,550 |
Total financial assets | 163,959,516 | 81,899,278 | 61,201,640 | 35,221,828 | 56,886,691 | 80,413,598 | 60,233,121 | 86,419,863 | 626,235,535 |
Financial Liabilities | |||||||||
Due to banks | 48,337,235 | 1,506,155 | 2,950,074 | – | – | – | – | – | 52,793,464 |
Derivative financial liabilities | – | – | – | – | – | – | – | 381,653 | 381,653 |
Financial liabilities at amortised cost – Due to depositors | 124,662,425 | 72,215,659 | 75,780,831 | 78,566,344 | 8,432,074 | 34,722,025 | 88,852 | 12,757,103 | 407,225,313 |
Financial liabilities at amortised cost – Due to other borrowers | – | 13,739,264 | 4,496,986 | 6,580,264 | 22,336,315 | 21,288,244 | 3,581,661 | – | 72,022,734 |
Debt securities in issue | – | 4,819,254 | 297,082 | – | 6,784,070 | – | 4,411,171 | – | 16,311,577 |
Other liabilities | – | – | – | – | – | – | – | 5,566,306 | 5,566,306 |
Subordinated term debt | – | 397,839 | – | 73,578 | 8,395,848 | 205,000 | – | – | 9,072,265 |
Total financial liabilities | 172,999,660 | 92,678,171 | 83,524,973 | 85,220,186 | 45,948,307 | 56,215,269 | 8,081,684 | 18,705,062 | 563,373,312 |
Interest rate sensitivity gap | (9,040,144) | (10,778,893) | (22,323,333) | (49,998,358) | 10,938,384 | 24,198,329 | 52,151,437 | 67,714,801 |
BANK As at 31 December 2022 |
Up to 1 month LKR ’000 | 1-3 months LKR ’000 | 3-6 months LKR ’000 | 6-12 months LKR ’000 | 1-3 years LKR ’000 | 3-5 years LKR ’000 | Over 5 years LKR ’000 | Non-interest bearing LKR ’000 | Total LKR ’000 |
Financial assets | |||||||||
Cash and cash equivalents | 1,566,636 | – | – | – | – | – | – | 14,555,929 | 16,122,565 |
Balances with Central Bank of Sri Lanka | – | – | – | – | – | – | – | 9,030,868 | 9,030,868 |
Placements with banks | 13,018,678 | 2,206,014 | – | – | – | – | – | – | 15,224,692 |
Derivative financial assets | – | – | – | – | – | – | – | 20,473,544 | 20,473,544 |
Financial assets measured at fair value through profit or loss | – | – | 795,433 | – | – | – | – | 633,716 | 1,429,149 |
Financial assets at amortised cost – Loans to and receivables from banks | |||||||||
Financial assets at amortised cost – Loans to and receivables from other customers | 139,846,895 | 95,477,247 | 31,372,076 | 35,969,173 | 26,025,656 | 20,603,728 | 8,175,011 | 11,602,244 | 369,072,030 |
Financial assets at amortised cost – Debt and other Instruments | 1,745,943 | 9,889,773 | 2,339,275 | 1,650,345 | 18,746,848 | 11,992,192 | 4,583,550 | – | 50,947,926 |
Financial assets measured at fair value through other comprehensive income | 3,797,959 | 11,490,644 | 13,510,430 | 18,263,819 | 5,783,110 | 2,080,095 | – | 8,393,003 | 63,319,060 |
Other assets | – | – | – | – | – | – | – | 7,804,964 | 7,804,964 |
Total financial assets | 159,976,111 | 119,063,678 | 48,017,214 | 55,883,337 | 50,555,614 | 34,676,015 | 12,758,561 | 72,494,268 | 553,424,798 |
Financial liabilities | |||||||||
Due to banks | 13,763,582 | 2,094,412 | – | – | – | – | – | – | 15,857,994 |
Derivative financial liabilities | – | – | – | – | – | – | – | 84,670 | 84,670 |
Financial liabilities at amortised cost – Due to depositors | 88,920,831 | 62,265,263 | 77,026,884 | 89,260,266 | 17,039,675 | 25,900,229 | 59,916 | 9,840,962 | 370,314,026 |
Financial liabilities at amortised cost – Due to other borrowers | 2,735,001 | 5,933,047 | 3,394,560 | 5,221,804 | 24,879,605 | 25,933,748 | 13,047,927 | – | 81,145,692 |
Debt securities in issue | – | 1,007,125 | 296,990 | – | 8,804,760 | 1,784,070 | 4,411,170 | – | 16,304,115 |
Other liabilities | – | – | – | – | – | – | – | 8,144,644 | 8,144,644 |
Subordinated term debt | – | 3,567,232 | – | 6,223,229 | 8,404,530 | 205,000 | – | – | 18,399,991 |
Total financial liabilities | 105,419,414 | 74,867,079 | 80,718,434 | 100,705,299 | 59,128,570 | 53,823,047 | 17,519,013 | 18,040,276 | 510,221,132 |
Interest rate sensitivity gap | 54,556,697 | 44,196,599 | (32,701,220) | (44,821,962) | (8,572,956) | (19,147,032) | (4,760,452) | 54,453,992 |
Key Regulatory Ratios – Capital and Liquidity
Item | 31 December 2023 | 31 December 2022 | ||
Bank | Group | Bank | Group | |
Regulatory capital (LKR ’000) | ||||
Common equity Tier 1 | 43,632,490 | 47,491,186 | 36,818,873 | 36,381,997 |
Tier 1 capital | 43,632,490 | 47,491,186 | 36,818,873 | 36,381,997 |
Total capital | 51,304,883 | 55,171,249 | 48,004,800 | 47,574,241 |
Regulatory capital ratios (%) | ||||
Common equity Tier 1 capital ratio (Minimum requirement – 7.00%) | 11.49 | 12.46 | 10.09 | 9.94 |
Tier 1 capital ratio (Minimum requirement – 8.50%) | 11.49 | 12.46 | 10.09 | 9.94 |
Total capital ratio (Minimum requirement – 12.50%) | 13.51 | 14.48 | 13.15 | 12.99 |
Computation of leverage ratio | ||||
Tier 1 capital | 43,632,490 | 47,491,186 | 36,818,873 | 36,581,997 |
Total exposures | 698,237,531 | 701,271,268 | 621,004,625 | 620,033,354 |
On-Balance sheet items | ||||
(excluding securities financing transactions, but including collateral) | 604,132,634 | 607,166,371 | 527,140,776 | 526,169,505 |
Derivative exposures | 72,602,003 | 72,602,003 | 68,966,546 | 68,966,546 |
Securities financing transaction exposures | 1,974,425 | 1,974,425 | 2,467,643 | 2,467,643 |
Other off-balance sheet exposures | 19,528,469 | 19,528,469 | 22,429,660 | 22,429,660 |
Basel III leverage ratio (%) (Tier 1/total exposure) | 6.25 | 6.77 | 5.93 | 5.87 |
Computation of net stable funding ratio | ||||
Total available stable funding | 448,446,564 | N/A | 438,464,296 | N/A |
Required stable funding – On balance sheet assets | 358,713,526 | N/A | 341,855,944 | N/A |
Required stable funding – Off balance sheet items | 1,181,497 | N/A | 4,629,317 | N/A |
Total required stable funding | 359,895,023 | N/A | 346,485,261 | N/A |
Net stable funding ratio (%) | 124.60 | N/A | 126.55 | N/A |
Basel III Computation of Capital Ratios
Item | 31 December 2023 | 31 December 2022 | ||
Bank LKR ’000 |
Group LKR ’000 |
Bank LKR ’000 |
Group LKR ’000 |
|
Common equity Tier 1 (CET1) capital after adjustments | 43,632,490 | 47,491,186 | 36,818,873 | 36,381,998 |
Common equity Tier 1 (CET1) capital | 61,524,384 | 66,919,617 | 52,778,734 | 56,909,694 |
Equity capital (stated capital)/assigned capital | 13,866,557 | 13,866,557 | 13,182,025 | 13,182,025 |
Reserve fund | 3,239,968 | 3,239,968 | 2,874,968 | 2,874,968 |
Published retained earnings/(accumulated retained losses) | 28,250,357 | 33,645,590 | 22,600,898 | 26,731,858 |
Published accumulated Other Comprehensive Income (OCI) | 2,387,663 | 2,387,663 | 341,004 | 341,004 |
General and other disclosed reserves | 13,779,839 | 13,779,839 | 13,779,839 | 13,779,839 |
Unpublished current year's profit/loss and gains reflected in OCI | – | – | – | – |
Ordinary shares issued by consolidated banking and financial subsidiaries of the Bank and held by third parties |
– | – | – | – |
Total adjustments to CET1 capital | 17,891,894 | 19,428,431 | 15,959,861 | 20,527,696 |
Goodwill (net) | – | 156,226 | – | 156,226 |
Intangible assets (net) | 1,926,287 | 1,945,030 | 2,198,042 | 2,218,827 |
Investment in capital of banks and financial institutions | 10,114,730 | 11,468,498 | 9,204,363 | 13,589,480 |
Others | 5,850,877 | 5,858,677 | 4,557,456 | 4,563,163 |
Additional Tier 1 (AT1) capital after adjustments | ||||
Additional Tier 1 (AT1) capital | – | – | – | – |
Qualifying additional Tier 1 capital instruments | – | – | – | – |
Instruments issued by consolidated banking and financial subsidiaries of the Bank and held by third parties | – | – | – | – |
Total Adjustments to AT1 capital | ||||
Investment in own shares | – | – | – | – |
Others (specify) | – | – | – | – |
Tier 2 capital after adjustments | 7,672,393 | 7,680,063 | 11,185,927 | 11,192,244 |
Tier 2 capital | 7,672,393 | 7,680,063 | 11,185,927 | 11,192,244 |
Qualifying Tier 2 capital instruments | 3,525,812 | 3,525,812 | 7,039,040 | 7,039,040 |
Revaluation gains | – | – | – | – |
Loan loss provisions | 4,146,581 | 4,154,251 | 4,146,887 | 4,153,204 |
Instruments issued by consolidated banking and financial subsidiaries of the Bank and held by third parties |
– | – | – | – |
Total adjustments to Tier 2 | ||||
Investment in own shares | – | – | – | – |
Others (specify) | – | – | – | – |
CET1 capital | 43,632,490 | 47,491,186 | 36,818,873 | 36,381,998 |
Total Tier 1 capital | 43,632,480 | 47,491,186 | 36,818,873 | 36,381,998 |
Total capital | 51,304,883 | 55,171,249 | 48,004,800 | 47,574,242 |
Item | 31 December 2023 | 31 December 2022 | ||
Bank | Group | Bank | Group | |
Total risk weighted assets (RWA) (LKR ’000) | ||||
RWAs for credit risk | 331,726,504 | 332,340,053 | 331,750,969 | 332,256,322 |
RWAs for market risk | 14,061,808 | 14,061,808 | 8,391,648 | 8,391,648 |
RWAs for operational risk | 33,950,018 | 34,615,939 | 24,960,190 | 25,491,894 |
CET1 capital ratio (including capital conservation buffer, countercyclical capital buffer and surcharge on d-sibs) (%) |
11.49 | 12.46 | 10.09 | 9.94 |
of which: capital conservation buffer (%) | 2.50 | 2.50 | 2.50 | 2.50 |
of which: countercyclical buffer (%) | N/A | N/A | N/A | N/A |
of which: capital surcharge on d-sibs (%) | N/A | N/A | N/A | N/A |
Total Tier 1 capital ratio (%) | 11.49 | 12.46 | 10.09 | 9.94 |
Total capital ratio (including capital conservation buffer, countercyclical capital buffer and surcharge on d-sibs) (%) |
13.51 | 14.48 | 13.15 | 12.99 |
of which: capital conservation buffer (%) | 2.50 | 2.50 | 2.50 | 2.50 |
of which: countercyclical buffer (%) | N/A | N/A | N/A | N/A |
of which: capital surcharge on d-sibs (%) | N/A | N/A | N/A | N/A |
Credit Risk under Standardised Approach – Credit Risk Exposures and Credit Risk Mitigation (CRM) Effects
As at 31 December 2023 | ||||||
Asset Class | Exposures before Credit Conversion Factor (CCF) and CRM | Exposures post CCF and CRM |
RWA and RWA density (%) |
|||
On-balance sheet amount LKR ’000 |
Off-balance sheet amount LKR ’000 |
On-balance sheet amount LKR ’000 |
Off-balance sheet amount LKR ’000 |
RWA LKR ’000 |
RWA Density(ii) % |
|
Bank | ||||||
Claims on Central Government and CBSL | 216,734,658 | 54,041,682 | 216,734,658 | 3,636,421 | 975,484 | 0 |
Claims on foreign sovereigns and their Central Banks |
949,477 | – | 949,477 | – | 189,895 | 20 |
Claims on public sector entities | 11,538,209 | – | – | – | – | 0 |
Claims on official entities and multilateral development banks |
– | – | – | – | – | 0 |
Claims on banks exposures | 28,526,230 | 24,111,920 | 28,526,230 | 490,765 | 11,097,901 | 38 |
Claims on financial institutions | 8,408,608 | – | 8,408,608 | – | 4,238,544 | 50 |
Claims on corporates | 159,844,091 | 31,226,911 | 132,593,701 | 13,697,160 | 143,434,881 | 98 |
Retail claims | 85,575,300 | 8,282,737 | 85,575,300 | 5,834,983 | 68,309,130 | 75 |
Claims secured by residential property | 10,244,972 | – | 10,244,972 | – | 3,585,740 | 35 |
Claims secured by commercial real estate | 50,132,495 | – | 50,132,495 | – | 50,132,495 | 100 |
Non-performing assets (NPAs) (i) | 36,160,648 | – | 36,160,648 | – | 42,336,825 | 117 |
Higher-risk categories | 532,628 | – | 532,628 | – | 1,331,570 | 250 |
Cash items and other assets | 17,231,388 | 87,463,894 | 17,231,388 | – | 6,094,039 | 35 |
Total | 625,878,704 | 205,127,144 | 587,090,105 | 23,659,329 | 331,726,504 | |
Group | ||||||
Claims on Central Government and CBSL | 216,797,386 | 54,041,682 | 216,797,386 | 3,636,421 | 975,484 | 0 |
Claims on foreign sovereigns and their Central Banks |
949,477 | – | 949,477 | – | 189,895 | 20 |
Claims on public sector entities | 11,538,209 | – | – | – | – | 0 |
Claims on official entities and multilateral development banks | – | – | – | – | – | 0 |
Claims on banks exposures | 28,614,245 | 24,111,920 | 28,614,245 | 490,765 | 11,131,142 | 38 |
Claims on financial institutions | 8,408,608 | – | 8,408,608 | – | 4,238,544 | 50 |
Claims on corporates | 159,607,056 | 31,226,911 | 132,356,666 | 13,697,160 | 143,197,846 | 98 |
Retail claims | 85,575,300 | 8,282,737 | 85,575,300 | 5,834,983 | 68,309,130 | 75 |
Claims secured by residential property | 10,244,972 | – | 10,244,972 | – | 3,585,740 | 35 |
Claims secured by commercial real estate | 50,132,495 | – | 50,132,495 | – | 50,132,495 | 100 |
Non-performing assets (NPAs) (i) | 36,160,648 | – | 36,160,648 | – | 42,336,825 | 117 |
Higher-risk categories | 585,274 | – | 585,274 | – | 1,463,184 | 250 |
Cash items and other assets | 17,921,711 | 87,463,894 | 17,921,711 | – | 6,779,768 | 38 |
Total | 626,535,381 | 205,127,144 | 587,746,782 | 23,659,329 | 332,340,053 |
Note:
(i) NPAs – As per Banking Act Directions on Classification of loans and advances, income recognition and provisioning
(ii) RWA Density – Total RWA/Exposures post CCF and CRM.
Credit Risk under Standardised Approach: Exposures by Asset Classes and Risk Weights
BANK Description |
Amount (LKR ’000) as at 31 December 2023 (Post CCF and CRM) |
Amount (LKR ’000) as at 31 December 2023 (Post CCF and CRM) |
||||||||
Asset classes \ Risk weight |
0% | 20% | 35% | 50% | 60% | 75% | 100% | 150% | >150% | Total credit exposures amount |
Claims on Central Government and CBSL | 215,493,661 | 4,877,418 | – | – | – | – | – | – | – | 220,371,079 |
Claims on foreign sovereigns and their Central Banks | – | 949,477 | – | – | – | – | – | – | – | 949,477 |
Claims on public sector entities | – | – | – | – | – | – | – | – | – | – |
Claims on official entities and multilateral development banks | – | – | – | – | – | – | – | – | – | – |
Claims on banks exposures | – | 16,329,962 | – | 9,710,248 | – | – | 2,976,785 | – | – | 29,016,995 |
Claims on financial institutions | – | 502,117 | – | 7,536,740 | – | – | 369,751 | – | – | 8,408,608 |
Claims on corporates | – | 1,674,847 | – | 3,032,204 | – | – | 141,583,810 | – | – | 146,290,861 |
Retail claims | 10,877,745 | 2,248,693 | – | – | 393,040 | 41,068,954 | 36,821,851 | – | – | 91,410,283 |
Claims secured by residential property | – | – | 10,244,972 | – | – | – | – | – | – | 10,244,972 |
Claims secured by commercial real estate | – | – | – | – | – | – | 50,132,495 | – | – | 50,132,495 |
Non-performing assets (NPAs) | – | – | – | 501,057 | – | – | 22,806,180 | 12,853,411 | – | 36,160,648 |
Higher-risk categories | – | – | – | – | – | – | – | – | 532,628 | 532,628 |
Cash items and other assets | 10,811,747 | 407,001 | – | – | – | – | 6,012,640 | – | – | 17,231,388 |
Total | 237,183,153 | 26,989,515 | 10,244,972 | 20,780,249 | 393,040 | 41,068,954 | 260,703,512 | 12,853,411 | 532,628 | 610,749,434 |
GROUP Description |
Amount (LKR ’000) as at 31 December 2023 (Post CCF and CRM) |
Amount (LKR ’000) as at 31 December 2023 (Post CCF and CRM) |
||||||||
Asset classes \ Risk weight |
0% | 20% | 35% | 50% | 60% | 75% | 100% | 150% | >150% | Total credit exposures amount |
Claims on Central Government and CBSL | 215,556,389 | 4,877,418 | – | – | – | – | – | – | – | 220,433,807 |
Claims on foreign sovereigns and their Central Banks | – | 949,477 | – | – | – | – | – | – | – | 949,477 |
Claims on public sector entities | – | – | – | – | – | – | – | – | – | – |
Claims on official entities and multilateral development banks | – | – | – | – | – | – | – | – | – | – |
Claims on banks exposures | – | 16,365,852 | – | 9,762,373 | – | – | 2,976,785 | – | – | 29,105,010 |
Claims on financial institutions | – | 502,117 | – | 7,536,740 | – | – | 369,751 | – | – | 8,408,608 |
Claims on corporates | – | 1,674,847 | – | 3,032,204 | – | – | 141,346,775 | – | – | 146,053,826 |
Retail claims | 10,877,745 | 2,248,693 | – | – | 393,040 | 41,068,954 | 36,821,851 | – | – | 91,410,283 |
Claims secured by residential property | – | – | 10,244,972 | – | – | – | – | – | – | 10,244,972 |
Claims secured by commercial real estate | – | – | – | – | – | – | 50,132,495 | – | – | 50,132,495 |
Non-performing assets (NPAs) | – | – | – | 501,057 | – | – | 22,806,180 | 12,853,411 | – | 36,160,648 |
Higher-risk categories | – | – | – | – | – | – | – | – | 585,274 | 585,274 |
Cash items and other assets | 10,816,341 | 407,001 | – | – | – | – | 6,698,369 | – | – | 17,921,711 |
Total | 237,250,475 | 27,025,405 | 10,244,972 | 20,832,374 | 393,040 | 41,068,954 | 261,152,206 | 12,853,411 | 585,274 | 611,406,111 |
Market Risk under Standardised Measurement Method
31 December 2023 RWA amount |
||
Item | Bank LKR ’000 |
Group LKR ’000 |
(a) RWA for interest rate risk | 1,498,057 | 1,498,057 |
General interest rate risk | 1,498,057 | 1,498,057 |
(i) Net long or short position | 1,498,057 | 1,498,057 |
(ii) Horizontal disallowance | – | – |
(iii) Vertical disallowance | – | – |
(iv) Options | – | – |
Specific interest rate risk | – | – |
(b) RWA for equity | 171,566 | 171,566 |
(i) General equity risk | 91,971 | 91,971 |
(ii) Specific equity risk | 79,595 | 79,595 |
(c) RWA for foreign exchange and gold | 88,103 | 88,103 |
Capital charge for market risk [(a) + (b) + (c)] * CAR | 14,061,808 | 14,061,808 |
Operational Risk Under Basic Indicator Approach/The Standardised Approach/The Alternative Standardised Approach
Business lines | Capital charge factor | Fixed factor | Gross Income (LKR ’000) as at 31 December |
||
2023 | 2022 | 2021 | |||
BANK | |||||
The basic indicator approach | 15% | 37,008,546 | 30,754,817 | 17,111,682 | |
The standardised approach | |||||
Corporate finance | 18% | ||||
Trading and sales | 18% | ||||
Payment and settlement | 18% | ||||
Agency services | 15% | ||||
Asset management | 12% | ||||
Retail brokerage | 12% | ||||
Retail banking | 12% | ||||
Commercial banking | 15% | ||||
The alternative standardised approach | |||||
Corporate finance | 18% | ||||
Trading and sales | 18% | ||||
Payment and settlement | 18% | ||||
Agency services | 15% | ||||
Asset management | 12% | ||||
Retail brokerage | 12% | ||||
Retail banking | 12% | 0.035 | |||
Commercial banking | 15% | 0.035 | |||
Capital charges for operational risk (LKR ’000) | |||||
The basic indicator approach | 4,243,752 | ||||
The standardised approach | |||||
The alternative standardised approach | |||||
Risk weighted amount for operational risk (LKR ’000) | |||||
The basic indicator approach | 33,950,018 | ||||
The standardised approach | |||||
The alternative standardised approach | |||||
Group | |||||
The basic indicator approach | 15% | 37,679,641 | 31,340,647 | 17,519,559 | |
The standardised approach | |||||
Corporate finance | 18% | ||||
Trading and sales | 18% | ||||
Payment and settlement | 18% | ||||
Agency services | 15% | ||||
Asset management | 12% | ||||
Retail brokerage | 12% | ||||
Retail banking | 12% | ||||
Commercial banking | 15% | ||||
The alternative standardised approach | |||||
Corporate finance | 18% | ||||
Trading and sales | 18% | ||||
Payment and settlement | 18% | ||||
Agency services | 15% | ||||
Asset management | 12% | ||||
Retail brokerage | 12% | ||||
Retail banking | 12% | 0.035 | |||
Commercial banking | 15% | 0.035 | |||
Capital charges for operational risk (LKR ’000) | |||||
The basic indicator approach | 4,326,992 | ||||
The standardised approach | |||||
The alternative standardised approach | |||||
Risk weighted amount for operational risk (LKR ’000) | |||||
The basic indicator approach | 34,615,939 | ||||
The standardised approach | |||||
The alternative standardised approach |
Main features of regulatory capital instruments
Description of the Capital Instrument (Bank Only) | Stated Capital | Subordinated Term-debt (2018 – Type B) | Subordinated Term-debt (2020 – Type A) | Subordinated Term-debt (2020 - Type B) |
Issuer | DFCC Bank PLC | DFCC Bank PLC | DFCC Bank PLC | DFCC Bank PLC |
Unique Identifier (e.g., ISIN or Bloomberg identifier for private placement) |
LK0055N00000 | C-2394 | C-2458 | C-2457 |
Governing Law(s) of the Instrument | Companies Act, No. 07 of 2007, Colombo Stock Exchange Regulations | |||
Original date of issuance | N/A | 26 March 2018 | 23 October 2020 | 23 October 2020 |
Par value of instrument (LKR) | 100 | 100 | 100 | |
Perpetual or dated | Perpetual | Dated | Dated | Dated |
Original maturity date, if applicable | N/A | 29th March 2025 | 23 October 2025 | 23 October 2027 |
Amount recognised in regulatory capital (in LKR ’000 as at 31 December 2023) |
13,866,557 | 1,634,612 | 1,727,200 | 164,000 |
Accounting classification (Equity/liability) | Equity | Liability | Liability | Liability |
Issuer call subject to prior supervisory approval | ||||
Optional call date, contingent call dates and redemption amount (LKR ’000) |
N/A | N/A | N/A | N/A |
Subsequent call dates, if applicable | N/A | N/A | N/A | N/A |
Coupons/dividends | ||||
Fixed or floating dividend/coupon | Floating dividend | Fixed coupon | Fixed coupon | Fixed coupon |
Coupon rate and any related index (%) | N/A | 13.00% p.a | 9.00% p.a | 9.25% p.a |
Non-cumulative or cumulative | Non-cumulative | Non-Cumulative | Non-Cumulative | Non-Cumulative |
Convertible or non-convertible | Non-convertible | Convertible | Convertible | Convertible |
If Convertible, conversion trigger (s) | N/A | Determined by and at the sole discretion of the Monetary Board of the Central Bank of Sri Lanka, and is defined in the Banking Act Direction No. 1 of 2016 | Determined by and at the sole discretion of the Monetary Board of the Central Bank of Sri Lanka, and is defined in the Banking Act Direction No. 1 of 2016 | Determined by and at the sole discretion of the Monetary Board of the Central Bank of Sri Lanka, and is defined in the Banking Act Direction No. 1 of 2016 |
If Convertible, fully or partially | N/A | Fully | Fully | Fully |
If Convertible, mandatory or optional | N/A | Mandatory | Mandatory | Mandatory |
If Convertible, conversion rate | N/A | Based on the simple average of the daily Volume Weighted Average Price (VWAP) of an ordinary voting shares during the three months (0-3) period, immediately preceding the date of the Trigger Event. | Based on the simple average of the daily Volume Weighted Average Price (VWAP) of an ordinary voting shares during the three months (0-3) period, immediately preceding the date of the Trigger Event. | Based on the simple average of the daily Volume Weighted Average Price (VWAP) of an ordinary voting shares during the three months (0-3) period, immediately preceding the date of the Trigger Event. |