Fitch Ratings has placed the National Long-Term Ratings of 12 Sri Lankan non-bank financial institutions (NBFIs) on Rating Watch Negative (RWN). The entities are:

Finance and Leasing Companies:

- Bimputh Finance PLC (Bimputh)

- CBC Finance LTD (CBCF)

- Central Finance Company PLC (CF)

- Fintrex Finance Limited (Fintrex)

- HNB Finance PLC (HNBF)

- LB Finance PLC (LB)

- Mercantile Investments and Finance PLC (MIF)

- People's Leasing & Finance PLC (PLC)

- Sarvodaya Development Finance Limited (SDF)

- Senkadagala Finance PLC (Senka)

- Siyapatha Finance PLC (Siyapatha)

Securities Firm:

- Asia Securities (Pvt) Ltd (ASPL)

The RWN reflects heightened downside risks to the NBFIs' credit profiles amid increased economic and financial-market volatility in Sri Lanka. This risk is exacerbated by the deteriorating sovereign credit profile (Long-Term Foreign-Currency Issuer Default Rating (IDR): C, Long-Term Local-Currency IDR: CCC) and the ensuing risks to the stability of the financial system.

Fitch will review the National Ratings of financial-institution subsidiaries of Sri Lankan corporates that are not included above separately, if needed.