ICRA Lanka Withdraws Rating of State Mortgage & Investment Bank

InstrumentCurrent Rated Amount (LKR Mn) Rating Action
Issuer rating         N/A [SL] BBB+ (Stable); Withdrawn

Rating action

ICRA Lanka Limited (“ICRA Lanka”) has withdrawn the Issuer rating of [SL] BBB+ (pronounced SL Triple B plus) with Stable outlook assigned to State Mortgage & Investment Bank (“SMIB”/ “the Bank”). The withdrawal is as a result of termination of rating agreement(s) entered into by SMIB with ICRA Lanka, pursuant to the decision by ICRA Lanka to cease its business operations in Sri Lanka.

The termination of the rating agreement(s) is as per Rule 88(b) of the Credit Rating Agency Rules promulgated under the Securities and Exchange Commission of Sri Lanka Act No. 19 of 2021 (the “SEC Act”).

About the Bank:

The State Mortgage & Investment Bank is a 100% GoSL owned, Licensed Specialized Bank operating with 25 branches. SMIB offers mortgage-backed housing loans, personal loans, EPF backed loans and leasing facilities to its customers. It commenced operations as the Ceylon State Mortgage Bank (CSMB) in December 1931. SMIB was formed by the State Mortgage & Investment Bank Act No. 13 of 1975, amalgamating CSMB and the Agricultural and Industrial Credit Corporation and commenced its operations from January 1979. In April 1998, the Bank was granted the license to operate as a licensed specialized bank by the CBSL.

Rating history for last three years:

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