Alliance Finance Company
BIO has granted EUR 7,195 of technical assistance to Alliance Finance Company, the oldest finance company in Sri Lanka.
Amount
$ 8,373.00
Type of investment
Subsidy
Beneficiary locations
Investment field
Financial Institutions
Activity
Organisation
Alliance Finance Company PLC
Domicile
Alliance Finance Co. PLC (AFC) is the oldest finance company in Sri Lanka with a legacy of over 69 years of serving its customers, supporting financial inclusion and sustainability. Incorporated in 1956, it now operates with an island-wide network of 91 points of presence and a team of 1,832 employees. It offers a range of financial products, primarily targeting low-income segments, largely concentrated in rural areas, with a wide outreach, small loan sizes, and a large savings and deposits base.
The institution’s efforts align with some of Sri Lanka’s national development policies. AFC’s SME lending supports the government’s “Enterprise Sri Lanka” program, which aims to empower small businesses and stimulate regional economic development. Furthermore, AFC integrates the UN Sustainable Development Goals into its business strategy, with ambitions to reduce carbon emissions and promote social enterprises.
Its issuance of Sri Lanka’s first green bond by an NBFI — listed on both the Colombo and Luxembourg stock exchanges— and recognition under the Sustainability Standards and Certification Initiative highlight its expertise in sustainable finance. BIO is currently in due diligence phase to prepare an investment in AFC. During the assessment, some questions have been raised regarding the level and respect of client protection procedures, and more broadly, the integration of Environmental and Social performances management within the institution.
Technical assistance
BIO has supported AFC for designing a technical assistance to accompany the institution in conducting their first external accompanied SPI5 Self-Assessment, which is, by design, a full audit tool that offers a comprehensive assessment to evaluate an organization’s strengths and weaknesses regarding overall social and environmental performance management (SEPM).
The results will serve as a robust social statement and a critical management tool, enabling AFC to:
- Benchmark performance against global best practices (CERISE+SPTF).
- Identify specific, actionable gaps in governance, client protection, and environmental management.
- Develop a concrete, resource-backed action plan for advancing social performance management (SPM).
Ultimately leading to more satisfied customers, higher client retention, less customer complaints and improved brand recognition
View more of our investments in this region
Excelsior Capital Vietnam Partners II
15,000,000.00
Vietnam
11/12/2025
Equity
