IMF has failed to identify the impending danger to the banking industry

Colombo (News 1st): Senior Banker Rusiripala Tennakoon expressing his views on Face the Nation program yesterday (March 12) noted that the IMF has failed to realize that the non-performing portfolio of the state banks will be in a worse situation in 2-3 months time. He noted that by having to finance some of the state-owned enterprises, which are deteriorating the banks are running the risks of becoming undercapitalised. Tennakoon noted that the IMF has failed to identify the impending danger the entire banking industry in the country is facing. He noted that especially, the state-owned banks and their non-performing portfolios are increasing tremendously signaling danger.