NTB secures $ 70 m IFC funding to support small businesses

Thursday, 22 January 2026 05:53 - - {{hitsCtrl.values.hits}}

IFC Regional Industry Director – Financial Institutions Group (Asia and Pacific) Allen Forlemu (left) and NTB Director/CEO Hemantha Gunetilleke

First Sri Lankan bank to secure postcrisis multilateral debt funding through IFC

Nations Trust Bank PLC (NTB) has secured a debt financing package of up to $ 70 million from World Bank Group’s private sector arm, the International Finance Corporation (IFC), to support the recovery of small businesses which were disproportionately affected by Sri Lanka’s multiple crises.

This is the IFC’s first debt transaction in Sri Lanka’s financial sector since the 2022 financial crisis. The investment forms part of the IFC’s longstanding partnership with NTB, reinforcing the IFC’s confidence in NTB’s strength and reliability.

The investment package, comprising a $ 50 million senior unsecured loan and $ 20 million Global Trade Finance Program line, is expected to enhance NTB’s capacity to expand support to key economic segments as Sri Lanka’s recovery gains momentum.

The investment is projected to enhance Small and Medium Enterprises (SMEs), especially women-owned businesses, which represent the backbone of the national economy. According to the MSME Financing Gap Database, the SME financing shortfall in Sri Lanka exceeds 20% of GDP, highlighting the critical need for sustained credit access.

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NTB Director/CEO Hemantha Gunetilleke said: “NTB’s longstanding strategic partnership with the IFC has enabled this investment at a pivotal time for Sri Lanka’s economy. This transaction allows NTB to extend essential financing that is vital to the country’s recovery and long-term growth. By expanding access to credit for underserved sectors, NTB remains committed to supporting sustainable economic development.”

IFC Regional Industry Director – Financial Institutions Group (Asia and Pacific) Allen Forlemu said: “Our collaboration with NTB is a clear signal of the IFC’s commitment to supporting Sri Lanka’s private sector. Building on our longstanding partnership, this latest investment will expand affordable, long-term financing for SMEs – the engine of the country’s economy. By empowering these entrepreneurs, we are fuelling growth, creating jobs, and securing a more inclusive, resilient future for all Sri Lankans.”

Aligned with World Bank Group priorities for Sri Lanka, this partnership aims to deliver targeted solutions for SMEs, helping businesses overcome challenges and supporting the country’s long-term economic resilience.