LOLC Finance and LOLC Micro Credit (ADB-49188-001)

Countries
  • Sri Lanka
Where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Active
Bank Risk Rating
FI
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Nov 19, 2015
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
LOLC Finance and LOLC Micro Credit
The holder of the loan, grant, or other investment.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 30.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Primary Source

Original disclosure @ ADB website

Updated in EWS Aug 8, 2017

Disclosed by Bank Apr 1, 2016


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Project Description
DESCRIPTION Approximately 59% of Sri Lankans do not have access to credit. To improve access to finance for MSMEs and strengthen the leasing sector in Sri Lanka, a project consisting of (i) a senior loan of up to $25 million to LOLC Micro Credit Ltd. (LOMC) and (ii) a senior loan of up to $30 million to Lanka Orix Finance PLC (LOFC) is proposed. LOMC and LOFC are subsidiaries of Lanka Orix Leasing PLC (LOLC), a well-known, diversified company listed on the stock exchange with assets of over $1.65 billion. The loans will also target underserved geographical areas to promote greater access to finance.
Investment Description
  • Asian Development Bank (ADB)
Contact Information
ACCOUNTABILITY MECHANISM OF ADB The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main CONTACTS Responsible ADB Department Private Sector Operations Department Responsible ADB Division Portfolio Management Division, PSOD Responsible ADB Officer Gunawardhena, Manohari