As a nation, a bank and individuals, we all have tread upon a difficult path and are now standing at the dawn of a new year, 2024, passing yet another year full of challenges, grievances and hardships. At the outset, I must appreciate and be grateful to all of you, for being courageous, resilient and committed to your roles and responsibilities towards the Bank while managing individual challenges. Of course, we are tired, but required to be resilient and continue to be strong as the landscape ahead is also painted by both promise and uncertainty. Global shifts, economic fluctuations, and individual obstacles are expected to shape the journey ahead further. In face of these challenges, proactive financial planning becomes the cornerstone for all of us, as a Bank and individuals, in navigating the troubled waters.  

Embracing a Resilient Mindset

The hallmark of success amidst uncertainty lies in developing a mindset that is both flexible and adaptable. Embracing innovation and being open to change will be invaluable assets in the year ahead. We have reached a juncture where effective cost management at all levels and sustainable approaches have become of greatest significance more than ever before.

At National Savings Bank (NSB), our commitment to sustainability is always at the forefront of our strategy and we have already adopted several sustainable approaches to reduce our carbon footprint by promoting digitalization, which requires minimal natural resources. Through the introduction of digital products, the customers are encouraged to move towards online and internet banking. We reduced our paper usage with e-renewal letters and biodegradable promotional materials, e-signatures, circulation of documents via email, e-signatures and are working further to achieve a paperless environment within the Bank.

We are committed to adopting sustainable practices that not only reduce our carbon footprint but also contribute to the economic and social development of the communities we operate in. NSB, being prudent and correctly forecasting, has launched the first step of its Agro-forestry Project in 2017, in commemoration of the 93^rd World Thrift Day on 31^st of October 2017. Plants of economic value were distributed among the customers via our island wide branch network, intending to promote home gardening among the people, which ensures food security at domestic level. Since then, the Bank has been implementing this program bi- annually, during Sinhala Hindu New Year and on World Thrift Day.

Sustainable approaches of this nature are imperative for an organization to achieve its goals and a country to ensure higher living standards. The developed countries in the world have adopted the practices of collecting and recycling the waste, paperless office environments, environmental conservation, utilizing eco-friendly, electric vehicles for public transport, etc. as essential sustainability measures, which ensure cost effectiveness at all levels.

The concept of recycling plays a significant role in conservation of the environment and valuable natural resources. It minimizes the need for extracting and processing raw materials, which in turn, minimizes the pollution, mitigating the emission of greenhouse gases and habitat destruction. While using less energy compared to producing raw materials anew, recycling reduces the amount of waste in landfills, prolonging their lifespan and reducing the release of harmful substances into the soil and water.   Recycling is a lifestyle choice and embracing the same fosters a sustainable mindset, that values and practices saving, thrift and frugality. As the pioneer in savings, who strives to foster individual as well as national savings, NSB has recently launched a program to ensure our contribution towards promoting recycling and printed 60,000 writing books made of recycled paper to be presented to the scholarship winners chosen under Hapan Scholarship Program of the Bank. It is expected that books made of recycled paper will give the young minds a glimpse of the importance of ‘recycling’ and thereby ‘reducing’ and ‘reusing’.  NSB urges the rest of the country to join hands with the Bank in this effort with many more such projects to promote and implement recycling at national level. Our efforts towards sustainability are further strengthened by the Bank’s adoption of the United Nations’ Sustainability Development Goals (UN SDGs), which aligns our business practices to nurture the environment. As NSB, we pledge our commitment towards building an energy efficient economy and continue to implement sustainable measures in the coming year as well.        

Building Financial Resilience

At the core of this approach is prudent financial management. Talking about cultivating the habit of saving at a time when the financial security of the people is at stake is equally challenging. Yet, with a large population, who is still un-banked and under-banked, encouraging to save itself becomes the solution for the problem, even if the outcomes are long term and there cannot be overnight redress. NSB, as the largest savings bank, specialized in savings carrying the mandate of bringing the population under the savings net with its foundation, will revive its savings campaign in a novel mode and with its old concept of ‘giant till’ in the new year. The Bank will convey to the people around the country that saving only a small amount would be sufficient at the beginning. Our dear old slogan of saving Rupee by Rupee (‘sathen sathe rupiyalen rupiyala’) is still applicable and significant more than ever. Setting achievable goals and consistently reviewing them throughout the year is important as we need to ensure effective financial inclusion and direct at least most of the population into formal banking. Diversification of investment portfolios further becomes crucial in this effort, allowing for risk mitigation and capitalization on emerging opportunities. NSB emphasizes the importance of informed decision-making in savings and investments, providing a safety net during turbulent times.

Staying Informed and Seeking Expertise

Knowledge is power and awareness leads to focus. Staying informed about global and local economic trends, market shifts, and policy changes is paramount in our attempt to stay resilient. The year 2024 will pose a new series of challenges and risks. The financial system and banking sector will be affected largely by the upcoming IMF proposals. Amidst this uncertain and challenging environment, seeking advice from financial experts and leveraging their insights will empower individuals as well as the Bank to make well-informed decisions. While, being committed to offering expert guidance, ensuring that clients are equipped to navigate the financial landscape confidently, NSB will acquire necessary expertise and skills in adapting to the changing times and remain relevant and accessible by all customer segments during their hour of need.    

The Power of Resilience

Amidst challenges, resilience and determination stand as pillars of strength. Embracing change, staying focused on financial goals, and utilizing available resources will be instrumental in navigating the ebbs and flows of 2024. With over 50 years of banking operations and being deeply rooted in the financial landscape of the country, NSB is committed to delivering value to its shareholders and excellent service to its customers, despite the ongoing challenges in the sector. The Bank remains steadfast in its mission to promote a strong savings culture in Sri Lanka and contribute to the Nation’s economic growth and development. NSB invites the clients to fortify their resolve, leveraging prudent financial planning as a compass to steer through uncertainties.

Conclusion

The year 2023 is a chapter of the past now. Yet the loyal customer base of the Bank deserves recognition for contributing to the continued stability of the Bank, with an invariable trust and confidence placed on us. Equally, the commitment and hard work of the staff members remains memorable for many years to come. Their relentless support and responsibility made the Bank continue its journey without interruption amidst countless obstacles. All our stakeholders who have played a significant role in supporting the Bank’s operations during the past year are invaluable partners of our success.  A countless number of parties, from all levels of the country, had strengthened the Bank’s position throughout the year, amidst adversities. While being immensely grateful to all these parties, we sincerely expect that they will continue to be our pillars of strength in the new year as well.        

The new year has dawned and together, we will continue to work as a strong and resilient force, dedicated to securing our nation's interests. Let us fortify our resolve and commit to proactive financial planning. Together, with resilience and determination, we can navigate challenges, emerge stronger, and forge a path towards financial prosperity.

Wishing you all and your family members a resilient and prosperous 2024.

Dr. Harsha Cabral PC

Chairman

National Savings Bank