Nations Trust Bank becomes first bank in Sri Lanka to secure post crisis multilateral debt funding through IFC

Nations Trust Bank becomes first bank in Sri Lanka to secure post crisis multilateral debt funding through IFC

Nations Trust Bank PLC (NTB) has secured up to USD 70 million debt financing package from the International Finance Corporation (IFC), marking a significant milestone in supporting the recovery of small businesses, which were disproportionately affected by Sri Lanka’s multiple crises. This is IFC’s first debt transaction in Sri Lanka’s financial sector since the 2022 financial crisis. The investment forms part of IFC’s longstanding partnership with NTB, reinforcing IFC’s confidence in NTB’s strength and reliability.

The investment package comprising USD 50 million senior unsecured loan and USD 20 million Global Trade Finance Program line is expected to enhance NTB’s capacity to expand support to key economic segments as Sri Lanka’s recovery gains momentum. The investment is projected to enhance Small and Medium Enterprises (SMEs), especially women-owned businesses, which represent the backbone of the national economy. According to the MSME Financing Gap Database, the SME financing shortfall in Sri Lanka exceeds 20 percent of GDP, highlighting the critical need for sustained credit access.

Nations Trust Bank’s Director and Chief Executive Officer, Hemantha Gunetilleke said, “NTB’s longstanding strategic partnership with IFC has enabled this investment at a pivotal time for Sri Lanka’s economy. This transaction allows NTB to extend essential financing that is vital to the country’s recovery and long-term growth. By expanding access to credit for underserved sectors, NTB remains committed to supporting sustainable economic development.”

IFC Regional Industry Director, Financial Institutions Group, Asia Pacific, Allen Forlemu said, “Our collaboration with the Nations Trust Bank is a clear signal of IFC’s commitment to supporting Sri Lanka’s private sector. Building on our longstanding partnership, this latest investment will expand affordable, long-term financing for SMEs – the engine of the country’s economy. By empowering these entrepreneurs, we are fueling growth, creating jobs and securing a more inclusive, resilient future for all Sri Lankans.”

Aligned with World Bank Group priorities for Sri Lanka, this partnership aims to deliver targeted solutions for SMEs, helping businesses overcome challenges and supporting the country’s long-term economic resilience.

About Nations Trust Bank:

Nations Trust Bank PLC serves a diverse range of customers across Consumer, Commercial and Corporate segments through multi-channel customer touch points. The Bank focuses on digital empowerment through cutting-edge digital banking technologies. NTB is an issuer and sole acquirer of American Express Cards in Sri Lanka with market leadership in the premium market segments.

About IFC:
IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets. IFC is present in more than 100 countries, using its capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2025, IFC committed a record $71.7 billion to private companies and financial institutions in developing countries, leveraging private sector solutions and mobilizing private capital to create a world free of poverty on a livable planet. For more information, visit www.ifc.org.