Finance Minister K N Choksy has pledged his support to the current efforts to restructure Pramuka Bank.
The minister sent a handwritten letter to a depositors meeting on Sunday, where Commerce Minister Ravi Karunanayake was also present.
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rnA consortium led by Asia Capital and Richard Pieris is now conducting a due diligence exercise on the bank to determine the actual status of its bad loans and their recoverability, after the Monetary Board gave them the initial go ahead to look into the bank.rn
rnldblquote On behalf of the Government, Minister Karunanayake and myself I thank the members of the consortium and the Monetary Board for their co-operation and wish all of you well for the future, dblquote the Minister wrote.rn
rnMany analysts warn that the battle is far from over.rn
rnThe consortium has proposed to inject around Rs 500 mn into the bank, and in return it may get a commercial banking license.rn
rnOne of the biggest hurdles facing the consortium is to persuade depositors not to d