One of the leading licensed commercial banks in the country, Sampath Bank in a disclosure to Colombo Stock Exchange (CSE) said that bank had suspended a proposed US $ 100 million debenture issue to raise Basel III-compliant capital.

"Due to the current elevated market volatility in global bond markets, the lead manager to the bond issue has informed us that the pricing of the proposed debenture issue would be relatively high," the bank said in the disclosure. 

"The bank is of the view that the current market rates are not attractive and accordingly it has been decided to suspend the issuance of the aforesaid debenture until market conditions are more conducive for such an issuance," the bank said in the filling.

Sampath bank announced the US $ 100 million debenture issue in July 2018 to raise Tier II capital under Basel III capital adequacy rules.