People’s Bank has been upgraded two notches by Fitch Ratings, moving its National Long-Term Rating from ‘AA-(lka)’ to ‘AA+(lka)’ with a Stable Outlook.
The upgrade places People’s Bank at the joint highest National Long-Term Rating among domestic commercial banks. It also puts the bank above all private-sector commercial banks on Fitch’s national rating scale.
This is only the second time People’s Bank has received a two-notch rating upgrade. The first was in 2010.
Fitch highlights People’s Bank’s domestic franchise
Fitch said People’s Bank has stronger domestic franchises than large private-sector banks. It pointed to the bank’s customer reach, extensive branch network, strong deposit base and established market position.
These factors provide advantages in funding strength and stability, according to Fitch. The upgrade follows Fitch’s recalibration of Sri Lanka’s national rating scale after the recent improvement in the country’s sovereign credit rating.
The revised scale has also allowed Fitch to better reflect the relative credit strength of People’s Bank within the domestic banking sector.
The new rating gives People’s Bank a stronger position on the national scale compared with leading private-sector banks. It also provides a new reference point for customers, depositors, investors and other stakeholders assessing the bank.
People’s Bank Chairman Chandana Guniyangoda said the two-notch upgrade reflects the confidence built through the bank’s 65-year history.
“This two-notch rating upgrade is a significant achievement for People’s Bank and a strong recognition of the confidence and trust the institution has earned over six and a half decades.”
He said the bank’s national reach, customer relationships and market position remain key competitive strengths.
Guniyangoda also linked the bank’s position to its national development role, commercial banking practices, governance and financial discipline.
He thanked the bank’s directors, CEO/GM and staff, as well as regulators, the Ministry of Finance and other stakeholders for their support.
People’s Bank links upgrade to business transformation
The Fitch upgrade comes as People’s Bank works on changes to its business model. The bank said its current focus includes commercial competitiveness, operational efficiency, customer service and digital innovation.
Chief Executive Officer/General Manager Clive Fonseka said the rating recognises the bank’s existing strengths and the direction of its business.
“This recognition by Fitch Ratings is an important endorsement of the fundamental strengths of People’s Bank and the direction in which we are moving.”
Fonseka said the bank has been working to become more competitive, efficient and customer-focused while maintaining prudent financial and risk management practices.
He said the bank’s aim is to strengthen its financial performance and build a more resilient institution.
The CEO also credited Chairman Chandana Guniyangoda, the board and employees across the country for their contribution to the bank’s progress. The AA+(lka) rating now gives People’s Bank a stronger position on Fitch’s national scale as it moves ahead with its business plans.
For the bank, the next focus will be on combining its established customer and branch network with greater efficiency, digital services and commercial competitiveness.
Banking & Finance Ratings & Rankings
Last modified: November 2, 2026
