House approves to obtain loans amounting to Rs.310 bn

The House yesterday approved the resolution moved by Finance Minister Mangala Samaraweera to obtain loans amounting to Rs.310 billion under the provisions of the Active Liability Management Bill and the supplementary estimate presented by Highways and Road Development Minister Kabir Hashim seeking approval for Rs.30 billion for road development during the period January 1 to December 31, 2018.

According to the resolution moved by the Finance Minister, Rs.310 billion was to be raised by way of foreign or domestic loans.

The Road Development Ministry sought approval to spend Rs.12, 987 million for Expressway Development, Rs. 15,365 million for Highways Development and Rs.300 million for construction of bridges and fly overs.

The Finance Minister said they took over an economy which was in a shambles in 2015 because of the mismanagement of loans and added that the present government had a clear strategy to address local and foreign debts.

He said 77 per cent of debt servicing in 2019 and 2020 were loans obtained during the previous regime. (Ajith Siriwardana)