|
|
 |
 |
 |
| Wednesday, 14 July 2004 |
 |
|
 |
Business | |
| News Business Features Editorial Security Politics World Letters Sports Obituaries
|
Rs 3,000 million project to upgrade inland fisheries sector The National Development Bank (NDB) and the National Aqua Culture Development Authority (NACDA) with the Government and the financial assistance of the Asian Development Bank (ADB) is implementing a project to upgrade the inland fisheries sector. The total cost of this project has been estimated to be in the region of Rs. 3,000 million and the ADB has provided a soft loan of Rs. 2,000 million to the government. Activities of this project include inland fishery and aqua-culture development, fish quality improvement and marketing, institutional strengthening and facilitating access to credit. This project is expected to be completed by 2010. The launch of this loan scheme under this project was inaugurated yesterday by Minister Chandrasena Wijesinghe and Deputy Minister Nihal Galapathi, of the Ministry of Fisheries and Aqua Culture, with Participating Credit Institutions in attendance at the NDB. Among the other activities of the project Rs. 600 million has been earmarked for a credit program for the small and medium enterprises engaged in inland fisheries and aqua-culture. With NDB as the apex institution, the loans for the enterprises will initially be given through the Bank of Ceylon, Commercial Bank of Ceylon, Hatton National Bank, Seylan Bank, DFCC Bank, Kandurata Development Bank, Wayamba Development Bank, Sabaragamuwa Development Bank, Rajarata Development Bank and Ruhunu Development Bank. Loans under this scheme will be considered for the establishment of new businesses as well as for expansion of existing businesses. Privately owned business i.e. sole proprietorship, partnership limited liability company and cooperative societies can borrow under this loan scheme. All sub sectors relating to inland fisheries and aqua-culture such as production of fresh water fish and prawns, fish nurseries, fish processing and curing plants, ornamental fish, aquatic plants, tissue culture of aqua plants and all supporting business for the inland fishery sector are eligible for loans. For the purpose of this credit program, the eligible enterprise is defined as a business where the value of fixed assets does not exceed Rs. 20 millions. The borrower should contribute at least 25% of the project cost as equity. Loans range from Rs. 100,000 to Rs. 10 million. The repayment period will be from 3-5 years including a grace period if necessary. The maximum grace period will be 12 months. The rate of interest applicable for the loan scheme will be attractive and will be based on the market condition. The initial rate of interest will be less than 10.6% p.a. This project is implemented in Anuradhapura, Ampara, Badulla, Batticaloa, Hambantota, Kurunegala, Matale, Moneragala, Nuwara Eliya, Polonnaruwa, Puttalam, Ratnapura, Trincomalee and Vavuniya. The contribution of the fisheries sector to GNP is approximately 3%, and this sector plays a vital role in meeting the basic nutrition needs of the population. Fish is the principal source of protein for the Sri Lankan population, accounting for 60% of the total animal protein intake on average. Hence the development of fisheries sector, especially inland fisheries is important for the country. This will initially help to support the nutritional requirement of the rural folk and has the potential to increase export earning/savings of the country. |
|
News | Business | Features
| Editorial | Security
Produced by Lake House |
