Micro credit scheme to help low-income families

Over five million low income families are set to benefit from a micro credit initiative launched last week.

"The Divi Neguma Credit Scheme will grant loans up to Rs. 50,000 without guarantors, at a low interest rate of 4%," said Minister of Industry and Commerce, Rishad Bathiudeen at the launch of the islandwide scheme in Mannar on Monday.

Five million families in 35,440 villages will be beneficiaries of this direct cash program.

Minister Bathiudeen distributed cash grants ranging from Rs 5,000-25,000 to 25 selected families in Mannar DS Division.

"I have been working with Economic Development Minister Basil Rajapaksa since 2005 and he is one of the most hard working Ministers I have ever associated with," said Minister Bathiudeen.

Minister Rajapaksa hopes to double the country's hotel room capacity to 50,000 by 2016 with the help of the private sector.

He also targets 2.5 million tourists by 2016 and revenue of $ 2.75 billion from the tourist industry. The Minister is keen to see employment in the tourism industry double to 500,000.

It is due to his efforts that the Divi Neguma loan scheme was launched in Mannar for the first time.

"I call upon all recipients of this benefit, to make maximum use of this first ever direct cash program and develop their enterprises and improve their standard of living," he said.