Good Governance and Risk Management are inbuilt in corporate strategy of
TKS Finance
TKS Finance Chief Executive Officer Rasika Kaluarachchi an industry expert who has served in several leading financial institutions in Sri Lanka elaborates on how the Company is uncompromisingly professional to the core in structurejind refreshingly innovative inoperation.
Here are excerpts of his interview:
Q
cGive us a brief introduc- •tion of TKS Finance Company?
A: When speaking of TKS Finance Company, a member of TKS Group, I must emphasize on the fact that TKS Finance is not yet another traditional Finance Company. Apart from being a Central Bank of Sri Lanka-certified finance company, we are uncompromisingly professional to the core in structure and refreshingly innovative in operation. These two factors are well supported by our strong capital injected by leading Malaysian investors. Based on these strengths we have already introduced many novel and innovative financial solutions to the public, which were well received by the public as most timely and worthy. These were introduced in addition to our normal financial products.
Q
a If you talk about Product • portfolio of the Company?
A: ‘Rajya Abhimana’ personal loan scheme is one the most successful products of TKS Finance, through which we grant loans within 24 hours to any government employee at their door step. Under this loan scheme, we have also introduced ‘Guru Abhimana’ loans, specially designed for school teachers.
We have another highly acclaimed innovative financial product called ‘Flexi Fixed Deposits’. This has broken the hitherto known rigid traditional way of depositing cash on a fixed term, as this novel product allows the absolute convenience to the public to deposit their cash for any period of their choice such as 1 month, 2 months, 3 months etc., up to 60 months. Customers enjoy the liberty of planning their investment according to their requirement without losing interest.
We have another popular product called ‘VIP Pawning/ Gold loans’. Most of the finance companies and banks target particularly the low income segment for pawning. But we thought of serving the middle and upper level customers too for pawning business. We provide them with special VIP treatment and facilities befitting their dignity and prestige.
Recently we launched another novel product called ‘Express Share Credit’ for customers who have invested their money in the share market and thus stuck with their shares. This product is designed to facilitate customers to get quick cash against their shares. For this we synergize the group’s strength and do transactions with TKS Securities (Pvt) Ltd.
Right now we are well into the process of introducing another personal loan scheme, for Government employees at an affordable interest rate, giving them a most deserving opportunity of going on a pilgrimage to India. This product will be named ‘Vandana’. We identified that there are many government employees who are interested in visiting India, but are restrained due to financial constraints. In a way, I feel this is kind of contributing towards a social responsibility cause as well.
TKS Finance Ltd hopes to launch the 'MalKekulu' Children’s savings account next month in a totally novel way.
We hope to launch this by organizing an Art Competition among the school children.
On a different flank, we expect to introduce ‘TKS Professional Lease’ scheme for young professionals in the country. This is for the benefit of recently passed out medical students, chartered accountants etc. Our planning team has envisaged a scheme for these young professionals that come with an affordable lease rental structure based on their career and income growth.
TKS Finance Ltd w;" soon introduce a range of Islamic financial products with the professional support of Malaysian Islamic Bankers.
In addition to the above, we have all other normal financial products such as finance leases, hire purchase, vehicle loans, business loans, personal loans, mortgage loans, fixed deposits, and savings deposits etc., at present.
While serving the public with all these innovative products, we are totally committed to give a superior customer service as well, with a courteous and speedy delivery. For that purpose, we have a highly motivated, well trained young professional management and a focused staff. This wonderful team spirit is amply reflected in the goals we have achieved during this short period we have been in business. We provide them with quality training to develop their career as well. In the coming months, we expect to give number of job opportunities to the people of this country, especially in the areas we hope to expand our branch network into. As a corporate policy, our systems and processes are based on hi-tech platform, in order to maintain accuracy, speed and corporate standards.
A a If you talk about strengths U • of TKS Finance?
A: The expertise and strength which drives us forward with a pioneering spirit is provided by our Board which consists of an ideal combination of both local and foreign professionals serving as directors with international exposure.
I must highlight the immense , contributions eternally .provided. ( by word and deed by our Independent Directors, T. Dharmarajah who is a famous chartered accountant, and former assistant governor of the Central Bank and present director general of the Institute of Bankers, S. H. A. M. Abeyratne.
Our Deputy Chairman, Dato Azim Zabidi js a veteran banker and present chairman of the Malaysian National Savings Bank with international exposure and Lee Chong Pa, director contributes immensely to achieve the vision of our organization.
In effect, TKS name may not be here in Sri Lanka if not for our leading high net worth professional investor Chairman Dato Tiong King Sing, and other foreign director, Ling Chui Zhen.
I must mention about another special feature of TKS Finance Company. That is about the risk management and good governance, which are inbuilt in our corporate strategy and are practiced down from the top to bottom of the organization. I believe that this is an essential feature to run a financial institution efficiently and smoothly with transparency and accountability. These . vital factors are essential to build up customer confidence.
Strong risk management system stabilizes the company to withstand any external pressure, thus protect all stakeholders — public, investors and employees and so forth.
At TKS Finance, we have Board Sub committees that is Integrated Risk Management,
Audit, and so forth, consisting of independent director Further, gr*'*' comp*'
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services more effectively. I must say our credit portfolios are nil of bad debts due to such proper credit evaluations and proper monitoring systems.
We always pay attention to diversify the product portfolio in order to mitigate the concentra- , tion risk. TKS Finance has one of the strongest capital bases in the industry. It is more than double of the required initial capital stipulated by the Central Bank of Sri Lanka.
, What are the future plans IqRtshort term and long term?
A: We hope to open 20 branches within the next three years and have already planned to start our first branch in Ratnapura followed by Negombo in our effort and desire to reach the people living out of Colombo. TKS Finance expect to improve the quality of life of the people even in rural areas, equipped with micro financing in addition to the corporate financing currently done at our head office.
All in all, we have the strength, expertise and ability to give any kind of financial solution to any need of a person in any part of the country. To achieve this goal, we are totally confident with the strong foreign financial backing we are blessed with, together with professional management.