To rejuvenate collapsed industries and businesses, the Government has started four new loan schemes to provide a total of Rs. 20,000 million as credit facilities to micro, small and medium scale industries and businesses.
Industries and Health Minister Dr. Ramesh Pathirana stated that these credit facilities will be provided under very low interest rates and simple conditions. This programme will be jointly organised by the Finance Ministry and the Industries Ministry. Two of the new proposed loan schemes will be implemented through 16 leading banks in Sri Lanka.
The Minister mentioned this during the business conference organised by the Ceylon Federation of MSME held at the BMICH in Colombo yesterday (23).
A manufacturing, industrial enterprise employing less than 200 employees can get a maximum loan amount of Rs.15 million from the first loan scheme at an interest rate of seven percent. The loan repayment period is ten years. A grace period of one year is available to start paying off the loan. Sixteen public and private sector banks have been selected to implement this loan scheme and Rs.750 million have been given to one bank.
Also, a scheme will be operated where small and medium scale entrepreneurs who are sanctioned by the Sri Lanka Credit Information Bureau can get a maximum loan upto five million rupees at an interest rate of eight percent. The loan repayment period is five years. A grace period of three years has been given to start paying the loan amount.
In addition to this, the Ministry of Industries has implemented two schemes to provide funds to small and medium scale farmers named smile and e-pend.
Rs.30 million is given to start environment-friendly projects. The interest charged for that is 6.5 percent. The loan repayment period is ten years. Payments should start after a grace period of two years.
Arrangements have been made to provide a loan of one million rupees for the development of small businesses. Ten years have been given to repay the loan.
Industries Ministry Secretary Shantha Weerasinghe said that if it is necessary to obtain the recommendations of the Ministry, it will be provided within five working days.
(Daily News)
