Businesses hopeful of lower interest rates following IMF loan

While the talk of the town is all about the US$3 billion International Monetary Fund (IMF) bailout package Sri Lanka received this week, businesses are hopeful of lower interest rates for bank loans. As small and medium enterprises (SMEs) were hit hard due to the economic crisis and banks increasing interest rates, borrowing became a nightmare.

This was stated by Sun Match Company, Group Director and Chief Financial Officer, Prasad Rajan while speaking to the Business Times on the sidelines of a media briefing held at the Cinnamon Grand Hotel in Colombo on Wednesday to announce the brand ambassador for Soorya.

Mr. Rajan said, “With the incoming IMF loan, businesses are expecting bank loan interest rates to come down. This will indirectly help businesses to start borrowing more while lower interest rates will help SMEs.” Most of the suppliers to the Soorya brand are SMEs and it’s a big relief if the interest rates drop, he added.

Regarding Sri Lanka’s well-known every household matches brand Soorya, Mr. Rajan stated, “We are the market leaders in the matches industry with 60 per cent market share. The company will be celebrating 40 years of presence in 2024. Currently Soorya brand products are available at all retail outlets. From wax match sticks the company has evolved into incense sticks, dripless candles and in the future we are hoping to introduce Soorya camphor and sambrani products with different flavours and fragrance. The company’s manufacturing plant is in Digana, Kandy and the office is located in Kundasale.” In Sri Lanka around 20,000 families’ livelihood depends on the matches industry, he noted.

Sri Lankan Actress Yashoda Wimaladharma was appointed as the brand ambassador for Soorya to enhance the brands’ visibility and reach a wider audience.

Soorya is the first wax coated safety matches in Sri Lanka that was introduced to the market by entrepreneur, late Mr. T R Rajan at a time when the market was dominated by wooden matches. The brand has extended its product line to locally manufactured high quality incense sticks which is inspired by 14 nontoxic unique fragrances and dripless candles. “We are confident of taking the brand to even greater heights, as we focus on expanding our reach in illuminating every household,” said Gowri Rajan, Group Marketing Director.