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PABC makes profit

Pan Asia Bank Corporation (PABC) hopes to increase its capital adequacy ratio through a Rights Issue early next year.
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Pan Asia Bank Corporation (PABC) hopes to increase its capital adequacy ratio through a Rights Issue early next year. The bank with capital to match 12 percent of risk weighted assets is keen to raise it to around 15 percent before asking the Central Bank to approve new branches.

"Yes, we are thinking about branch expansion but we are mindful of capital adequacy ratio too," says R.

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Nadarajah, CEO, PABC.

"We thought 12 percent is not enough and when capital adequacy reaches 14 percent -15 percent with the permission upto about 25 braches by mid next year," he says.

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-LBR Newsdesk: LBOEmail@vanguardlk.com

PABC made a comeback this year posting an after tax profit of Rs. 41 million for 2004. A recovery drive was launched to reduce non-performing advances which increased revenue.
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