CDC lends USD 50m to Sri Lankan bank for SMEs, green energy
Solar farm in Sri Lanka.
Image by WindForce.
The UK's development finance institution CDC Group plc has extended a USD-50-million (EUR 42.5m) loan to Commercial Bank of Ceylon for on-lending to Sri Lankan SMEs and renewable and climate projects in the country.
The impact investor’s re-entry into Sri Lanka will bolster the Green Financing strategy of the local bank, also known as ComBank, CDC said on announcing the loan last week. It also noted that small and medium-sized enterprises (SMEs) account for 80% of businesses and provide roughly 35% of jobs in Sri Lanka, but their access to medium- and long-term finance is very limited.
Energy demand in Sri Lanka is growing. The country aims to be energy self-sufficient by 2030 and hit 100% renewable power generation by 2050.