The Cabinet of Ministers has approved the expansion of Sri Lanka’s disaster relief loan program to cover all categories of entrepreneurs, including large-scale businesses.
Under the new scheme, micro-entrepreneurs will be eligible for up to Rs. 250,000, small-scale businesses up to Rs. 1 million.
Medium to large-scale entrepreneurs can obtain up to Rs. 25 million, all at an annual interest rate of 3%. The repayment period is three years, including a six-month grace period.
The decision builds on the previously approved ‘RE-MSME’ loan scheme, which provided concessional working capital loans to micro, small, and medium-scale enterprises affected by recent disasters.
Unlike the initial phase which involved state banks, the extended scheme will now include licensed commercial and specialized banks to increase reach and impact. The government has allocated Rs. 5 billion for the initiative, the Cabinet spokesperson said.
The proposal was submitted by President Anura Kumara Dissanayake in his capacity as Minister of Finance, Policy Planning, and Economic Development. (Newswire)