CB to disburse Rs 20 b for NE credit schemes

Ramani Kangaraarachchi

The Central Bank has planned to disburse Rs 20 billion through Public Finance Institutes (PFIs) for accelerated provincial development this year.

Ajith Nivard Cabraal

This will be under seven different schemes namely: Awakening North, Eastern Province Development, Poverty Alleviation, National Agri Business Program, Agro Livestock Development Loan, New Comprehensive Rural Credit Scheme and New Scheme in Provincial Development.

Central Bank Governor, Ajith Nivard Cabraal said that disbursement of loans will be intensified under the special loan schemes, awakening north and Eastern province development and the Poverty Alleviation Microfinance Project 11 will be implemented in the north and east and other selected districts.

Operations of the National Agri Business Program will assist farmers in setting up processing plants in partnership with the private sector. The Agro Livestock Development loan (ALDL) scheme will continue to achieve government targets and the New Comprehensive Rural Credit Scheme (NCRCS) will continue to achieve food security.

He said a new scheme in provincial development on lending will be introduced under provincial development.

Cabraal said in 2009, the monetary policy granted assistance under several loan schemes and initiated several income generating activities and it reduced annual interest rates for the loans granted to the farmer community under the New Comprehensive rural Credit Scheme. (NCRCS) Agro Livestock Development Loan (ALDL) and Krushi Navodaya Special Loan Schemes by 4 percent.

Last year 23,143 families benefited by the poverty alleviation Micro Finance Project and 5,000 entrepreneurs benefited from Agro Livestock Loans.