ECONOMYNEXT – Sri Lanka’s state workers will get loans for housing at a 7.0 percent controlled rate and solar power at 4.0 percent will increase their income by 5,500 rupees a month on average, under budget proposals that are now effective, the Finance Ministry said.
A controlled rate of 7 percent had been decreed for housing loans given by state banks to state workers.
Under the proposal which is effective from December 10, state banks will reduce the rate on existing and new loans to 7 percent for loans between one and three million rupees. The first 500,000 rupees would be charged only 3 percent.
The controlled rates will provide the equivalent of a 2,500 rupee salary hike for a state worker who has a 2.0 million rupee housing loan.
State workers will also get a 750,000 rupee credit for a solar power unit to be repaid in 10 years from January 01, 2020.
A state worker who installs a 5 kiloWatt solar unit will get a benefit of 3,000 rupees a month for 7 years after paying the installment on the loan.
The credit which is also available for small and medium entrepreneurs is available from 10 state and private banks. (Colombo/Dec11/2020)