The main feature of LOLC’s SPEED DRAFT facility is that it fulfills the short term financing requirements of customers by providing them with the required amount as and when they need it.
Speaking about the launch of the new product, LOLC Group Managing Director and CEO Mr. Kapila Jayawardena said, “The SPEED DRAFT facility which meets the expectations of our clients would also attract the new clientele as it has brought a ‘true plus’ in comparison with the other financial solutions in connection with short term financial solutions which are available in the market at present”.
Customers often require financing in different values at different intervals in order to fulfill a diverse range of business requirements. This new product will increase the liquidity of the business and facilitate a greater level of business activity.
“It is important for customers to be able to obtain a facility which will allow them the flexibility of usage and repayment as and when they want it, in order to be able to support the growth of their business” Mr. Jayawardena said.
The new product is structured to be less costly and more feasible for one’s business, as interest will be accrued purely based on usage. As the name “SPEED DRAFT” denotes, the customers will be able to obtain a speedy and convenient service from any one of LOLC branches located country wide.
This product will target the corporate and SME sectors initially, and at a latter stage, it will be introduced to the micro level segment. LOLC serves a large customer base from the corporate and microfinance sectors, whilst its largest client segment is from the SME sector which amounts to as much as 80%. “The SME segment is the backbone of our country’s economy. While we make conscious efforts in providing them superior financial solutions, we also work closely with multilateral agencies in sourcing out funds at concessionary rate and getting them across to the SME sector, paving the way for economic growth.”
Commenting further Mr. Jayawardena said, “The country is in a phase where it is in the process of experiencing a quantum leap in economic growth, and the regional economies will play a key role towards this. The regional economies are primarily propelled by the SME sector and LOLC is focused on supporting them towards greater development by way of a wide product offering as well as a strategically positioned countrywide branch network. We are confident that the SPEED DRAFT product will generate a significantly high demand as it will be of much use to SME clients.