Sri Lanka Equity Forum
Dear Reader,

Registration with the Sri Lanka Equity Forum would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
Sri Lanka Equity Forum

Discussion Forum for Stock Market Investors in Sri Lanka

සිංහල පරිවර්තනය
Submit Post
Submit Post

Latest topics

» Quality Management Systems
by lenny123 Today at 10:54 am

» ASI MAY GO DOWN TO 5950
by Ahcha Today at 9:43 am

» Clarification on the Erroneous Report regarding Sri Lanka issued by Nomura Holdings Inc.
by ruwan326 Today at 8:59 am

» PLAYERS PICK OF THE DAY
by Ryan Hudson Today at 8:49 am

» UAL - Going down now?
by ruwan326 Yesterday at 8:01 pm

» Invest on valuable metal
by Supunnawarathna Yesterday at 7:54 pm

» Daily Foreign Transactions
by ruwan326 Yesterday at 7:01 pm

» Daily Stock Market Update
by Insights Equity Yesterday at 6:56 pm

» Market going down today?
by ruwan326 Yesterday at 12:00 pm

» SFL COLLECTION GOING ON....??????????
by sanjulanka Yesterday at 9:11 am

» ANILANA MANDATORY OFFER
by ruwan326 Mon Sep 17, 2018 7:52 pm

» Central Bank will intervene if rupee moves on speculation – official
by Miss-Sangeetha Mon Sep 17, 2018 1:41 pm

» Weekly Stock Market Roundup
by ruwan326 Mon Sep 17, 2018 6:56 am

» Treasury to take over key role of Central Bank
by ruwan326 Mon Sep 17, 2018 6:45 am

» Foreign Investment
by niru Sun Sep 16, 2018 9:49 pm

» Janashankthi Ins Deal
by sameboy Sun Sep 16, 2018 9:59 am

You are not connected. Please login or register

Sri Lanka Equity Forum » Stock Market Talk » Corporates facing higher borrowing costs, Will hurt their repayment ability- Moody's

Corporates facing higher borrowing costs, Will hurt their repayment ability- Moody's

Go down  Message [Page 1 of 1]

DS Wijesinghe


Manager - Equity Analytics
Manager - Equity Analytics
ECONOMYNEXT – Sri Lankan companies face higher borrowing costs owing to a rise in benchmark interest rates, rating agency Moody's Investors Service said.

Banking sector asset risks will increase after excessive credit expansion in the last two years and a rise in borrowing costs, Moody’s said in a new report on Sri Lankan banks. 

“Nonperforming loan (NPL) ratios have risen, and corporates are facing higher borrowing costs due to a rise in benchmark interest rates.”
 
Moody’s said corporates’ debt serviceability will be weakened by higher interest rates.

“Higher interest rates will hurt corporates’ repayment ability.”

Around 40% of corporates will have debt interest coverage ratios of less than 2 under a stressed scenario, the rating agency said, noting that higher interest rates have begun to pressure borrowers.
(COLOMBO, 07 September, 2018)

ruwan326

avatar
Vice President - Equity Analytics
Vice President - Equity Analytics
@DS Wijesinghe wrote:ECONOMYNEXT – Sri Lankan companies face higher borrowing costs owing to a rise in benchmark interest rates, rating agency Moody's Investors Service said.

Banking sector asset risks will increase after excessive credit expansion in the last two years and a rise in borrowing costs, Moody’s said in a new report on Sri Lankan banks. 

“Nonperforming loan (NPL) ratios have risen, and corporates are facing higher borrowing costs due to a rise in benchmark interest rates.”
 
Moody’s said corporates’ debt serviceability will be weakened by higher interest rates.

“Higher interest rates will hurt corporates’ repayment ability.”

Around 40% of corporates will have debt interest coverage ratios of less than 2 under a stressed scenario, the rating agency said, noting that higher interest rates have begun to pressure borrowers.
(COLOMBO, 07 September, 2018)
Sri Lankan Government face higher borrowing costs  Mad
Sri Lankan companies face higher borrowing costs  Mad

Sri Lankan people face higher borrowing costs  Mad

Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum