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By Chamitha Kuruppu

Nearly a week after the country experienced one of the worst ever floods, the local business community fears that the present situation will severely affect the country's economy if measures are not taken to restore normalcy in trading activities. However, Government officials said that measures are being taken in consultation with industrialists and businessmen to ease the situation at the earliest.

Minister of Southern Region Development Ananda Kularatna told the Daily News yesterday that discussions are being held with relevant authorities to provide concessions for businessmen affected by floods. Kularatne said that the government is taking all possible measures to help industrialists and small-scale businessmen to restore their businesses as early as possible.

Kularatne was scheduled to meet Minister Karu Jayasuriya last evening and discuss the current situation. He was due to make a request to Jayasuriya to provide immediate loans under the Regional Development Advancement Program for industrialists affected by floods.

He added that a special Cabinet Paper is also being prepared, which includes relief measures and concessions for businessmen.

"I have requested the Ruhunu Development Bank to prepare a report stating how they can help businessmen in the Galle, Hambantota and Matara districts," he said. Consultant, External Affairs of the Hambantota Chamber of Commerce Asmi Thassim said that they have already commenced discussions with banks to give relief measures for businessmen who are affected by floods. "We requested banks to reschedule deadlines given to these businessmen to repay their loans as well as to introduce some concessions," Thassim said.

"Most of the businesses in these areas are totally washed away and long term measures are required to overcome the situation which will have a negative impact on the country's economy," he said.

The chamber is also in the process of preparing a list of businesses and industrialists who are affected by floods. We are also discussing with the Regional Economic Advancement Program (REAP) whether they can provide special loans to recommence businesses affected by floods, Thassim said. The Ceylon National Chamber of Industries (CNCL) called upon the business community to 'push the authorities' to take immediate action to safeguard industrialists who are affected by floods and recover trading activities which are disturbed at present.

President of the CNCL Ranjith Hettiarchchi told the Daily News yesterday that not only human lives are in danger due to floods and landslides but also the entire economy of the country is at risk due to disturbed trading activities.

The current situation has resulted in a negative reflection on all trading activities. Tea, rubber and agriculture are the main sectors that are affected by floods. Transportation has come to a standstill in these areas, which will definitely affect production. Even the banks in these areas are under water and various merchandise such as computers and valuables are damaged, Hettiarchchi said.

"We called upon all industrialists to help their colleagues affected by the current situation, first to save their lives and then to recover their businesses immediately, he said.

Hettiarchchi also called upon the authorities to take measures to restore normalcy in trading activities.

Meanwhile, the Central Bank yesterday said that the Sabaragamuwa Development Bank will introduce a two-month grace period for their customers affected by floods and landslides to repay their loans and interest, issue immediate loans at concessionary rates and take measures immediately to restore businesses affected by floods.

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Ravi appeals to traders

Commerce and Consumer Affairs Minister Ravi Karunanayake yesterday appealed to traders in flood affected areas to provide relief to consumers by being fair in their pricing on humanitarian grounds. He warned those who would attempt to capitalise on the unfortunate situation and hoard food items causing an artificial scarcity of essential items and said strict action would be taken against errant traders.

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