Alliance Finance Launches First Ever Social Bond on the Colombo Stock Exchange

Saturday, 13 September 2025 02:44

Alliance Finance Launches First Ever Social Bond on the Colombo Stock Exchange

Alliance Finance Company PLC (AFC), Sri Lanka’s oldest operating non-banking financial institution, celebrated a landmark moment with the issuance of its Social Bond on the Colombo Stock Exchange (CSE).

The market opening ceremony, held on 08th September 2025 at the CSE Trading Floor, highlighted AFC’s continued commitment to sustainable and socially impactful finance.

The listed, rated, unsecured, senior, redeemable Social Bond, issued under the CSE’s GSS+ framework, offer up to 20 million bonds at a par value of Rs. 100 each, aiming to raise a total of Rs. 2 billion.


Rated BBB by Lanka Rating Agency Limited, the bonds feature two tenure options:


Type A: 4 years at a fixed rate of 11.15% p.a., and Type B: 5 years at a fixed rate of 11.40% p.a., with annual interest payments.


The overwhelming investor response reflects a growing confidence in instruments that deliver both financial returns and positive social impact.

Delivering the welcome address, Mr. Rajeeva Bandaranaike, Chief Executive Officer of the Colombo Stock Exchange, congratulated AFC on its trailblazing achievement.


He remarked, “This listing represents a significant step in the evolution of Sri Lanka’s sustainable finance ecosystem.


By issuing Social Bonds under the GSS+ framework, AFC is demonstrating leadership in financing projects that generate measurable social outcomes, contributing to inclusive development across the country.


AFC’s leadership in this space is both commendable and inspirational.”

Mr. Romani De Silva, Deputy Chairman and Managing Director of Alliance Finance Company PLC, remarked,


“The issuance of these Social Bonds reflects AFC’s enduring commitment to making a meaningful difference in the communities we serve.


From our people-centric beginnings to our current focus on socially impactful financing, we remain committed to ensuring that the capital we mobilize drives positive transformation across our communities.”

Since its inception in 1956, Alliance Finance Company PLC has been a pioneer in sustainable finance, promoting financial inclusion and responsible lending.


With this successful Social Bond issuance, Alliance Finance builds on its pioneering role in sustainable finance, having earlier launched Sri Lanka’s first-ever NBFI Green Bond in February 2025.


Aligning with the ICMA Social Bond Principles, AFC continues to strengthen its position as a leader in responsible and impact-driven finance, advancing Sri Lanka’s sustainable economic growth.
 

Photo Caption - Mr. Suranjith Ahangama, Assistant General Manager Region 07, AFC; Mr. Amal Somarathne, Head of Sustainability and Strategic Planning Department, AFC; Mr. Michael Benedict, Executive Director Recoveries, AFC; Mr. Rajeeva Bandaranaike, CEO, CSE; Mr. Romani De Silva, Deputy Chairman and Managing Director, AFC; Mr. Kusal Jayawardana, Deputy Managing Director, AFC; Ms. Kaushini Laksumanage, COO, NDBIB; Ms. Vindhya Jayasekera, CEO Designate, CSE; Mrs. Kanishka Munasinghe, Vice President – Listing, CSE;

Last modified on Saturday, 13 September 2025 02:57