Fitch upgrades BOC to ‘AA+(lka)’ with ‘Stable’ outlook

Monday, 2 November 2026 04:59 - - {{hitsCtrl.values.hits}}

Bank of Ceylon (BOC), Sri Lanka’s largest banking institution, has achieved another milestone with Fitch Ratings upgrading its National Long-Term Rating by two notches, to ‘AA+(lka)’ from ‘AA-(lka)’, with a Stable outlook.

This achievement reinforces the bank’s strong position within Sri Lanka’s banking sector and recognises its financial resilience and strong presence in the domestic banking sector, the banks said.

The upgrade follows Fitch’s revision of Sri Lanka’s Long-Term Local-Currency Issuer Default Rating to ‘B-/stable’ from ‘CCC+’ on 22 September 2026, together with the subsequent recalibration of the country’s national rating scale. The improved assessment reflects the changing credit environment and provides greater recognition of BOC’s relative credit strength among domestic financial institutions.

Fitch has identified BOC’s leading position in the domestic banking sector, extensive branch network, broad customer base and strong deposit position as key factors supporting the upgrade. The bank’s established presence and longstanding customer relationships provide a solid foundation for maintaining financial stability and capitalising on emerging opportunities. Furthermore, the improvement in Sri Lanka’s sovereign credit environment and BOC’s operating environment assessment, upgraded to ‘B-’ from ‘CCC+’, is expected to ease macroeconomic pressures and support the bank’s overall credit profile.

Chairman Kavinda de Zoysa said: “The upgrade of Bank of Ceylon’s National Long-Term Rating to ‘AA+(lka)’ with a Stable Outlook by Fitch Ratings is an important recognition of the bank’s financial strength, resilience and leadership in Sri Lanka’s banking sector. This achievement reinforces our commitment to a clear strategic direction, sound risk management, prudent financial stewardship and a continued focus on strengthening our capital position. These priorities remain central to building a stronger, more resilient and sustainable institution. As the ‘Bankers to the Nation’, we remain committed to supporting Sri Lanka’s economic progress, empowering businesses and creating long-term value for our customers, stakeholders and the nation.”

The improved rating further reinforces BOC’s role as a reliable financial partner to individuals, businesses and institutions across Sri Lanka. With its extensive branch network and strong deposit base, the bank continues to support savings, investment and financing across retail, SME, corporate and other key sectors, contributing to the country’s economic growth and development.

General Manager/CEO Y.A. Jayathilaka said: “This upgrade marks another important milestone for Bank of Ceylon, recognising the strength of our institution and our position within Sri Lanka’s financial sector. Fitch’s assessment highlights the value of our strong market presence, extensive customer network and robust deposit base. Building on these strengths, we will continue to enhance our operational capabilities, strengthen our financial performance and pursue sustainable growth opportunities. Our priority remains delivering greater value to all stakeholders while supporting businesses and contributing to the continued development of the Sri Lankan economy.”