Sri Lanka’s national domestic savings rate is 24 percent of the GDP, whereas in India, it is 32 percent and in Malaysia 40 percent. Though a majority of the population have banking relationships, the percentage needs to be improved and banks should provide the impetus to increase this rate, NSB Chairman Ashwin de Silva told guests at the re-launch of its women’s savings account, Sthree in Colombo last week.
The Sthree account will provide added benefits and will become more attractive to potential customers.
“We are mindful of enhanced social financial inclusiveness. This is why we have selected the most important segment of the society to serve. We need more women to have bank accounts and they have a choice at present,” he said.
Looking at the three dimensions of depositors, bank and national responsibility, he said that having a bank account in an adults point of view will boost the decision making power, economic independence, self esteem and confidence.
Over 67 percent of Sri Lanka’s adult female population have bank accounts.
Banks need to provide access to banking with convenience and enhanced digitalization. The banks should also provide necessary mechanism to use the accounts more and more, he said.
“The World Bank has shown that there is a direct relationship between national domestic savings and the GDP to economic growth. Our aim is to ensure that every adult female has a bank account,” de Silva said.
According to Census and Statistics Department statistics, 35.9 percent of the labour force is represented by women. Its share in professions such as law, medicine and teaching is 65.8 percent in 2015. When it comes to university entrances, 60 percent of them are women. Therefore, NSB has understood the importance of re-introducing the Sthree Savings account at such a dynamic time for the aspiring women in the country.
NSB has been reaffirmed the AAA National Long Term rating by Fitch Ratings Lanka for the 15th consecutive year. This is a notable achievement by the bank considering today’s challenging business environment.