SDB bank Signs MoU with SARP to Strengthen Rural Agribusiness

5-March-2026

From Left to Right: Ms. Kanchana C Hirimuthugoda - Manager - Value Chain Finance & Agri Entrepreneur Development – SDB bank, Mr. Chitral De Silva – Chief Business Officer – SDB bank, Mr. Manoj Akmeemana – Deputy Chief Executive Officer - SDB bank, Mr. Kapila Ariyaratne – Executive Director / Chief Executive Officer – SDB bank, Ms. Lathisha P Liyanage- Additional Secretary, Development - MOLL&I - Ministry of Agriculture, Livestock Land and Irrigation, Mr Anura Dissanayaka - Rural Finance Specialist – SARP,Mr Niroshana Karunarathna-YED specialist – SARP, Mr Lasantha Gunarathna- SIID Specialist – SARP, Ms R.H.S.P. Ranasinghe - Finance Manager – SARP, Mr Ajith Ethugala- NRM&ES Specialist - SARP

SDB bank has entered into a strategic partnership with the Smallholder Agribusiness and Resilience Project (SARP) through the signing of a Memorandum of Understanding (MoU), reinforcing its commitment to sustainable agricultural development and financial inclusion in Sri Lanka.

SARP is a six-year initiative (2022–2027) jointly funded by the International Fund for Agricultural Development (IFAD), the Government of Sri Lanka, and other stakeholders, with a total project cost of approximately USD 82 million. The project focuses on strengthening the resilience and market participation of rural households in climate-vulnerable districts including Anuradhapura, Puttalam, Kurunegala, Matale, Vavuniya, and Mannar, covering the Malwathu Oya, Mee Oya, and Deduru Oya river basins.

Under IFAD financing guidelines, up to 45% of the project cost may be provided as a grant, with beneficiaries contributing the remaining 55% as equity. Recognising that many smallholder agribusinesses may face financial constraints in meeting this requirement, SDB bank will extend affordable credit facilities to eligible beneficiaries to bridge this funding gap. This collaboration is expected to enable rural entrepreneurs to fulfill their equity contributions and successfully implement sustainable agribusiness ventures.

The initiative will be delivered through SDB bank’s SME and Cooperative segments, applying the Bank’s established product features and standard credit underwriting criteria. The financial gap of approved proposals will be funded through the Bank’s own resources and available credit lines, ensuring structured and responsible lending practices.

The MoU was signed at the Ministry of Agriculture, Livestock, Lands and Irrigation in Battaramulla. On behalf of SARP, the agreement was signed by the Secretary to the Ministry of Agriculture, Mr. D. P. Wickramasinghe, while SDB bank was represented by its Executive Director/Chief Executive Officer, Mr. Kapila Ariyaratne. Also present at the occasion were Ms. Lathisha P. Liyanage, Additional Secretary – Development (Ministry of Agriculture, Livestock, Lands and Irrigation), and senior representatives from both institutions including Mr. Manoj Akmeemana, Deputy Chief Executive Officer, Mr. Chitral De Silva, Chief Business Officer, and Ms. Kanchana C. Hirimuthugoda, Manager – Value Chain Finance & Agri Entrepreneur Development from SDB bank, alongside Mr. Anura Dissanayaka, Rural Finance Specialist and other key officials from SARP.

Commenting on the partnership, Mr. Ariyaratne, stated, “As a Bank that has significant focus on strengthening the national development with a strong and clearly defined agricultural strategy, this partnership with SARP strengthens our commitment to supporting the farming community. By providing affordable financing solutions alongside non-financial support, we aim to ensure sustainable growth within the agriculture sector while enhancing resilience in climate-vulnerable regions.”

Anura Dissanayaka, Rural Finance Specialist of SARP, added,“Collaborating with a Bank that has a distinguished strategy on Agriculture financing, SDB bank, enables us to strengthen access to finance for smallholder agribusinesses, ensuring that eligible beneficiaries are able to meet their equity requirements and participate meaningfully in value chains. This partnership plays a critical role in building long-term resilience and inclusive economic growth.”

Through this strategic collaboration, SDB bank continues to expand its outreach to untapped agriculture driven market segments, reinforcing its role in promoting rural entrepreneurship, strengthening financial inclusion, and supporting the sustainable development of Sri Lanka’s agriculture sector.

About SDB bank:

A future-ready bank, dedicated to offering customer-centric and comprehensive support tailored to each individual's needs, SDB bank is a licensed specialized bank regulated by the Central Bank of Sri Lanka, with a listing on the Main Board of the Colombo Stock Exchange and a Fitch Rating of BB +(lka). Through the network of 94 branches island-wide, the bank provides a comprehensive range of financial services to its Retail, SME, Co-operative, and Business Banking clients across the country. Environmental, Social, and Governance (ESG) principles are deeply ingrained in SDB bank's ethos, with a steadfast focus on uplifting local communities and businesses through sustainable practices. The bank is particularly committed to promoting women's empowerment, sustainable development of SMEs, and digital inclusion, aiming to propel Sri Lanka to new heights.