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Lending Support

Oct 07, 2011 (LBO) - Sri Lanka's DFCC Bank has got a 30 million US dollar loan from a German development finance institution for lending to small businesses especially in the former north-east war zone. The loan from DEG (Deutsche Investitions - und Entwicklungsgesellschaft mbH) is repayable over eight years, a statement said.

It will be used by DFCC for granting sub loans targeted at the SME (small and medium enterprise) sector across a wide range of businesses including the renewable energy sector.

"Of particular relevance to the granting of this credit line is DFCC’s continuing commitment to supporting entrepreneurs in the SME sector including in the North and East of the country," said Bernd Tuemmers, Senior Vice President, DEG.

We are very happy to be a partner in the development of Sri Lanka during this crucial post conflict phase of the country’s forward march even in the midst of many adverse global economic conditions."

Nihal Fonseka, chief executive of DFCC Bank, said the new loan granted by DEG reinforces the longstanding relationship of the two institutions going back several decades.

"It is also a recognition of Sri Lanka’s much improved macroeconomic fu

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