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rnGiven the relatively weaker balance sheet of Peoples quote Bank, senior officials mapping the bank quote s restructuring strategy believe it would be easier to interest a local consortium than a foreign investor.rn
rnForeign partners are likely to be sought only if a suitable local partner is not available.rn
rnThe government was targeting the end of the year to complete People quote s Bank re-capitalization.rn
rnStrengthening the balance sheets of local banks in private and the state sector is a high priority for the regulators.rn
rnThe International Monetary Fund recently advised Sri Lanka against further capital account liberalization until the financial sector is strengthened to cope with external challenges.rn
rnOn the other hand the Bank of Ceylon would be an easier sell to foreigners. But Bank of Ceylon is not in need of an immediate cash injection.
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rnAnalysts say the