ComBank launches Sri Lanka’s first AI-powered SME Credit Underwriting Solution

The Commercial Bank of Ceylon has announced the launch of Sri Lanka’s first Artificial Intelligence-powered SME Credit Underwriting Solution, taking a transformative step in reshaping how small and medium enterprises (SMEs) access credit and financial solutions.

This custom-built AI platform, another breakthrough initiative by the country’s largest private sector bank, was fully developed as a collaborative effort with a top global consulting company, integrating the Bank’s in-house capabilities with world-class expertise. It has been designed in line with Commercial Bank’s SME business model and risk policy framework, underscoring the Bank’s strategic approach to transcend market dynamics and scale up SME financing sustainably.

This milestone initiative also reflects the Bank’s strategic commitment to redefining SME banking, in line with its status as the largest lender to SMEs in the country and a recipient of multiple international awards as Sri Lanka’s Best SME Bank.

The solution leverages advanced machine learning algorithms and predictive analytics to identify the financial needs of SMEs by analysing their behavioural data and evaluating their financial requirements through proprietary algorithms.

By automating and optimising these processes, the platform enables the Bank to offer hyper-personalised products and competitive pricing while ensuring faster loan approval and delivery. This data-centric approach supports SMEs in accessing tailored financial solutions at their convenience, underpinned by rigorous standards of privacy.

The objectives of this initiative are to accelerate the SME loan approval process, promote greater customer convenience and drive financial inclusion across the sector. Recognising the vital contribution SMEs make to the national economy and the importance of embedding ESG practices within the industry, Commercial Bank has made a significant investment to bring this capability to life, setting new benchmarks for innovation in the market.

Beyond the customer impact, the use of artificial intelligence delivers substantial benefits to the Bank by expanding market reach, improving customer experience, strengthening risk management and asset quality, enhancing resource efficiency, and ensuring adaptability to evolving ESG requirements.

Commercial Bank has been progressively transforming its SME business model from conventional product offerings toward more meaningful and value-rich solutions designed to help enterprises grow sustainably. With the deployment of this scalable AI architecture, the Bank is now equipped to capture new opportunities and meet emerging demands across the SME sector.

The dynamic engagement of internal stakeholders and the clear vision of integrating AI into the SME sphere reflect the Bank’s determination to redefine the customer journey with speed, relevance and precision. By going beyond traditional credit assessment and embedding artificial intelligence at the core of SME lending, Commercial Bank has reinforced its leadership as a pioneer in digital innovation and a trusted partner in the growth journey of Sri Lanka’s entrepreneurs.

As part of an ambitious drive to deliver an unparalleled customer experience and leverage cutting-edge technology, Commercial Bank said it is also poised to roll out advanced AI-powered underwriting models for personal and housing loans, and card credits. These forthcoming models will significantly enhance customer experience, boost convenience, and provide hyper-personalised services to customers, the Bank said.

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Commercial Bank is the first Sri Lankan bank to be listed among the Top 1000 Banks of the World and has the highest market capitalisation in the Banking Sector in the Colombo Stock Exchange (CSE). The Bank is the largest private sector lender, is a leader in digital innovation and is Sri Lanka’s first 100% carbon-neutral bank.

Commercial Bank operates a strategically located network of branches and automated machines island-wide, and has the widest international footprint among Sri Lankan banks, with 20 outlets in Bangladesh, a fully-fledged Tier I Bank with a majority stake in the Maldives, and a Microfinance company in Myanmar. The Bank recently opened a representative office within the Dubai International Financial Centre (DIFC), taking a significant step towards broadening its global footprint. The Bank’s fully-owned subsidiary CBC Finance Ltd. also delivers a range of financial services via its own branch network.