Govt. proposes to divest 20% each in two largest state banks

The budget 2024 proposes to divest 20 percent stake in the two largest state banks in the country.

President Ranil Wickremesinghe said the divestment will be carried out by way of selling the share to the public or finding strategic investors.

He said this needs to be carried out to strengthen the balance sheets of the two banks and their capital, and also to reduce the burden on taxpayers to capitalize these banks.

To this end, the Banking Act will be amended in the first half of 2024.