Board Credit Committee Report

Composition of the Committee

Board Credit Committee (BCC) consists of the following Members:

Mr. K.G.D.D. Dheerasinghe (Chairman)
Prof. A.K.W. Jayawardane (appointed w.e.f. April 29, 2015)
Mr. J. Durairatnam
Mr. S. Renganathan

The Assistant Company Secretary of the Bank, functions as the Secretary of the Committee.

A brief profile of each member of the Committee is given on this section.

Charter of the Committee

The BCC assists the Board of Directors in effectively fulfilling its responsibilities relating to the Credit Direction, Credit Policy and Lending Guidelines of the Bank, in order to inculcate healthy lending standards and practices and ensure relevant regulations are complied with.

The Committee is empowered to:

• Review and consider changes proposed from time to time, to the Credit Policy and the Lending Guidelines of the Bank.
• Analyse and review the credit risk control measures in lending areas, pricing of lending proposals and also ensure that credit proposals are within relevant regulatory frameworks.
• Evaluate, assess and make recommendations on credit propositions submitted to the Board of Directors.
• Evaluate and recommend sector exposures and cross-border exposures.
• Monitor and evaluate special reports called for by the Board of Directors.
• Set lending directions based on the current economic climate.

Activities in 2015

Twelve BCC meetings were held during the year under review. Attendance of the Committee members at meetings of BCC is given on Table 4. Proceedings of the Committee meetings were regularly reported to the Board of Directors. The Committee approved credit proposals above a predetermined limit, scrutinised and/or recommended Credit proposals and other Credit reports intended for approval/perusal by the Board of Directors. These tasks were carried out by the Committee in-line with the Bank’s lending policies and credit risk appetite, to ensure that the lending portfolios were managed as per the stipulated credit risk parameters.

K.G.D.D. Dheerasinghe
Chairman – Board Credit Committee

Colombo
February 24, 2016