Construction and Engineering Services to built 130,000
Rs. 120 billion loan from Chinese Economic and Technological Solidarity Corporation
Construction and Engineering Services Minister Rajitha Senaratne told ‘The Island’ that the largest housing scheme costing Rs. 120 billion would commence at the end of September 2009.
On behalf of the Chinese Government the Shanhai International Economic and Technological Solidarity Corporation had agreed to support Sri Lanka and 130,000 houses would be built country wide to cater to the needs of different categories of people, he said.
Houses would be constructed for the middleclass, low-income families, armed services, higher income groups , Government servants and journalists. It was a magnanimous gesture of the Chinese Government to assist the Sri Lankan Government at this juncture after its long war.
Minister Seneratne said the Sri Lankan Government would receive Rs. 50 billion to fund its construction works. Under the second phase Rs. 70 billion would be given to the Sri Lankan Government. The project was expected to be complete within 2 years and the Sri Lankan Government would not have to pay back the loan for the first two years.
The Government would have to pay the full amount within 20 years with 5 per cent interest.