Lak Jaya Micro Finance Limited was established in the year 2002, a public limited liability company under the company’s Act 7 of 2007 of Sri Lanka. Originally this company followed the Grameen model of Bangladesh. In the year 2006 CMI invested in shares of Lak Jaya through its holding company called CMI Lanka Holdings Pvt Limited. And ASA International N.V., a public limited liability company incorporated under the laws of the Netherlands (ASA International) was given the task of supervising the management of Lak Jaya by CMI. C.M.I. Lanka Holding (Private) Limited (CMI Lanka) a holding company of CMI, a Limited Liability Company incorporated under the laws of Sri Lanka owns 97% of the shares of Lak Jaya.
Lak Jaya has shown a steep growth in its operations following the investment of CMI Lanka in March 2007 and adopting the ASA Model, growing from 8 in 2007 to 36 branches by end 2015. By the end of 2015 it had 38,552 with a gross outstanding loan portfolio of Rs.873 million. There were 113loan officers and 258 total staff. Lak Jaya is set to reach out to a moderate but steady growth and by the end of the 5 year period in 2020 to reach over 75,000 clients with 60 branches provided the required funds are available and the operations can be carried out uninterrupted. A moderate growth is assumed due to the difficulties faced by the micro finance sector in Sri Lanka in general in raising the necessary funds locally as well as internationally. The short term goals of Lak Jaya are to improve the quality of the management, the outreach of the existing branch network, and to enhance the loan portfolio by developing a good client base. As a result, Lak Jaya estimates to reach over 75,000 clients with a total outstanding loan portfolio of over Rs. 1 billion through a network of 60 branches by the end of the plan period. Currently, Lak Jaya presently has 36 branches in the districts of Colombo, Puttalam, Matara, Kalutara, Gampaha, Galle, Nuwara-Eliya, Ratnapura, Kegalle , Badulla, Hambantota,and Kurunegala .
LMPA is the pioneer in microfinance networking among microfinance practitioners in Sri Lanka, and was initiated on the 31st of March 2006. The Lanka Microfinance Practitioners’ Association is incorporated as a non-profit organization under the Companies Act No. 7 of 2007.