Q: Some say that the spread of COVID-19 is the ‘biggest challenge since World War II’. How do you see it?
A: Yes.We do agree more or lesswith the above statement since it affects the entire world. Business disruptions are broad-based.Its impacts are seen across the value chains and export markets. The effects on economic activities are two ways -demand disruptions due to lockdowns in many countries and logistics and supply chain disruptions due to lockdowns. Recovery from the pandemic is uncertain. Besides, there is no concrete evidence by when a vaccine for this deadly disease will be available.And, we do not know whether the virus may naturally fade away. Losses in tourism, inward remittances and exports are the key factors affecting the economy of Sri Lanka adversely.
Q: Most of the businesses have been adversely affected by the COVID 19 pandemic. What are your plans to support such businesses?
A: The Central Bank of Sri Lanka (CBSL) has made several good proposals to engineer recovery and also to improve the economy of Sri Lanka. We are glad to mention that BOC is playing a prominent and key role in implementing the above proposals. For instance we have released Rs 11 billion of our own funds by now to our clients. This moneydidn’t come from the CBSL. In addition to our Rs 11 billion, we obtained Rs 13.47 billion working capital loans from the CBSL on a repayment basis. Of this Rs 13.47 billion, we have already disbursed Rs 11.42 billion to the business community.Hence, by now, BOC has released almost Rs 22.42 billion to strengthen the country’s economy!
Read BMD September 2020 for more details…