RDB concludes 2017 financial year on triumphant note
Regional Development Bank’s (RDB) remarkable growth over the past year is once again solidified by its latest financial year records.
The fully government owned development bank recorded Rs.1.284 billion as profit after tax as at December 31st 2017, an impressive number compared to Rs.641 billion made in year 2016, its gross income recorded at Rs.22 billion and operating profit at Rs.3.3 billion, achieving a year on year growth of 40 percent and 55 percent respectively.
The bank saw a significant growth of 29 percent in its asset base, which amounts to Rs.38 billion. RDB’S loan portfolio has grown from Rs.106 billion on to Rs.128 billion in 2017. There is a 20 percent growth in the loans and advances portfolios. As at December 31st 2017, the bank’s Non-performing Loan ratio rested at a controllable limit of 3.27 percent, following various unforeseen natural disasters that affected its customers in the year 2017.
RDB is a bank that goes into the rural and semi urban areas of Sri Lanka to cater to its numerous customers in the micro and SME sectors. As such, its customer deposits have increased from the Rs.107 billion recorded in 2016 up to Rs.139.8 billion in 2017.
The bank credited the efforts of every RDB member from its management to each staff member and shareholders in achieving its targeted goals for the year ending in December 31st 2017.
Despite minor setbacks experienced in past years as well as adverse weather conditions faced by the country at large, RDB remains confident of proceeding ahead into the future with a solid foundation.
The bank revealed that the microfinance, SME and corporate sectors within the bank have all performed admirably in the past year and the collective effort of every branch office, and the customers’ support have been valuable to the bank.
The RDB initiated several micro and SME schemes to uplift the agriculture, agribusiness, dairy industry, domestic solar power, home stay tourism, eco friendly projects etc at the village level. In order to get the maximum price for their harvest, bank continues to maintain three granaries in Mannar, Buttala, Anuradhapura and will commence managing a few more in Embilipitiya, Kilinochchi and Polonnaruwa.
The bank has introduced several new refinancing schemes in an effort to encourage customers. Furthermore, the bank provided loan schemes to last year’s flood affected areas at two percent interest to rehabilitate affected small businesses. Also it took a very timely and important decision to reschedule the loans given to the people in drought affected areas providing a large relief to their day to day life.
Keeping all this good performance in mind, the RDB will further strengthen its development banking work and take the lead role in assisting the village level entrepreneurs and bring them to the next level who could produce the all important agricultural goods within the country thus assisting the Sri Lankan economy to reach its anticipated targets and goals.