Announcement of IFC Financing for Sri Lanka Two Million US Dollars for Smaller Firms on July 10, 1978

• International Finance Corporation 1818 H Street.NW Washington. C, C 20433. US.A 202-393-6360 IFC Press Release No. 79/1 Monday, July 10, 1978 IFC. Financing for Sri Lanka $2 Million for Smaller Firms The International Finance ·corporation (IFC), an affiliate of the World Bank, is providing a $2 million credit to the Bank of Ceylon to help finance small and medium-scale private industrial enterprisas in Sri Lanka. Bank of Ceylon is the largest commercial bank in the country and has an extensive network of branches. It will utilize IFC's long-term funds in con- junction with its own long, meditnn and short-term resources and business advisory services to offer smaller private enterprises an integrated package of assistance. Previously, the Bank of Ceylon's support of these businesses • was lim:1.ted largely to providing working capital and banking services • IFC encourages economic growth in developing member countries by support- ing private enterprise projects. The Sri Lanka project is the fourth in an · effort by the Corporation utilizing conunercial banks both to assist smaller ventures than is possible through its normal direct financing and to assure that they receive appropriate financing and business advice. It is also the first to be made directly to the implementing connnercial bank instead of simply being administered by it, as in three earlier credits. The IFC project supplements efforts by the Government to increase its assistance to smaller private sector businesses, which play a. significant role in the economy. Several Government sponsored institutions make technically oriented advice available to these companies and they are also expected to benefit from new tax incentives and import liberalization measures. (Any inquiries strictly relating to IFC's participation in this project should be directed to the IFC Information Office, 1818 H Street, N.W., Washington, • D.C. 20433, Telephone (202) 477-5340) •