By Sandun A Jayasekera
The Cabinet has given the nod to increase loan facilities given to middle income families from Rs.5 million to Rs.10 million for the construction of a new house or improve infrastructure facilities of the house.
The Cabinet that met on Tuesday also decided to reduce the interest rate for those loans to 6% from 7%. The loan facilities under this scheme are available for employees of the state sector as well as private sector. Applications for loans should be submitted to Bank of Ceylon, People’s Bank, National Savings Bank and other private banks. The joint Cabinet paper for this purpose had been submitted by Prime Minister Ranil Wickremesinghe and Housing and Construction Minister Sajith Premadasa. The government will also absorb another 600,000 low- income families for Samurdhi benefits in the next three years.