ADB lowers loan interest for Lanka

By Rukshana Rizwie

The Asian Development Bank (ADB) has agreed to lower the interest rates on current loans to Sri Lanka, the Finance Ministry disclosed. This follows discussions between Finance Minister Ravi Karunanayake and the ADB when the Finance minister participated in the 49th Annual Meeting of the Asian Development Bank Governors in Frankfurt, Germany.

“The ADB has decided to lower the 7 to 8 percent interest rates on loans and bring it down to 1 ½ to 2 percent, which is a significant achievement,” he said. “The ADB has pledged to give its fullest support to ensure that the development funds are channelled to Sri Lanka.”

He added that during the past eight years, there was an absence of such funds and to see it with renewed vigour means that this money can be spent on development.

He said Sri Lanka has received the distinctive opportunity to participate in the first round of discussions, where the specialty of Sri Lanka in the Asian region and the changes that have taken place in the country were considered.