Govt launches concessionary loan scheme for paddy millers

Colombo, June 30 (Daily Mirror) - The Ministry of Finance has launched a Rs. 6.5 billion concessionary loan scheme for SME paddy millers and cooperative societies to purchase paddy during the 2025 Yala season, from July 1 to November 15.

According to the Ministry, the scheme offers loans up to Rs. 50 million at a 7% annual interest rate, repayable within 180 days. It is aimed at entities with a maximum daily milling capacity of 25MT, holding valid business registrations and Paddy Marketing Board licenses.

Fourteen banks will participate in the program:
Bank of Ceylon, People’s Bank, Regional Development Bank, Hatton National Bank, Seylan Bank, Sampath Bank, Commercial Bank, DFCC Bank, National Development Bank, Nations Trust Bank, Sanasa Development Bank, Amana Bank, Cargills Bank, and Pan Asia Bank.

Further, the Ministry added that Paddy will be purchased at the Minimum Purchase Price (MPP) set by the Department of Agriculture to ensure fair prices for farmers.