| For the year ended 31 December | Note | 2018 LKR |
2017 LKR |
| Cash flows from/(used in) operating activities | |||
| Interest received | 12,879,033,724 | 10,627,484,784 | |
| Fee and commission received | 218,856,327 | 274,824,879 | |
| Receipts from other operating activities | 65,627,056 | 63,788,378 | |
| Interest payment | (7,836,343,603) | (6,073,127,221) | |
| Cash payment to employees | (1,953,287,233) | (1,371,766,033) | |
| Payments to suppliers and other operating activities | (2,103,279,424) | (2,729,403,858) | |
| Fee and commission expenses | (4,396,881) | (3,511,098) | |
| VAT and NBT on financial services | (415,643,540) | – | |
| Operating profit before changes in operating assets | 850,566,426 | 788,289,831 | |
| (Increase)/decrease in operating assets | |||
| Funds advanced to customers | (11,345,449,448) | (13,348,413,681) | |
| Other short-term securities | 590,167,755 | 134,290,035 | |
| Increase/(decrease) in operating liabilities | |||
| Deposits from customers | 7,570,087,169 | 14,212,976,273 | |
| Net cash from operating activities before income tax | (2,334,628,098) | 1,787,142,456 | |
| Income tax paid | (162,478,859) | (236,542,946) | |
| Net cash from operating activities | (2,497,106,956) | 1,550,599,510 | |
| Cash flows from/(used in) investing activities | |||
| Dividend received | 476,587 | 6,929,443 | |
| (Increase)/decrease in non-dealing securities | – | 503,399,317 | |
| (Increase)/decrease in dealing securities | 4,607,874,303 | (4,017,135,040) | |
| (Increase)/decrease in treasury bonds and other investments | 1,617,468,415 | (1,438,102,869) | |
| Proceeds from sale of property, plant and equipment | 59,872,470 | 10,747,244 | |
| Purchase of property, plant and equipment | 20 | (216,934,545) | (272,786,130) |
| Net cash from/(used in) investing activities | 6,068,757,231 | (5,206,948,034) | |
| Cash flows from (used in) financing activities | |||
| Proceeds from issuance/allotment of shares | – | 1,461,340,018 | |
| Dividend paid | (136,947,168) | (131,249,300) | |
| Repayment of long-term borrowing | (6,012,141,112) | – | |
| Interest paid on subordinated debt | (137,219,807) | – | |
| Increase/(decrease) in borrowing | 12,755,127,856 | 376,047,727 | |
| Funds received/(utilised) during the period | (11,463,482) | (28,568,474) | |
| Net cash flow from/(used in) financing activities | 6,457,356,287 | 1,677,569,970 | |
| Net increase/(decrease) in cash and cash equivalents | 10,029,006,561 | (1,978,778,554) | |
| Cash and cash equivalent at the beginning of the year | 13.3 | 6,586,895,822 | 8,565,674,376 |
| Cash and cash equivalents at the end of the year | 13.3 | 16,615,902,383 | 6,586,895,822 |
The Accounting Policies and Notes on pages 128 through 184 from an integral part of the Financial Statements.