The Cabinet approved to grant Micro financing for self employment and housing loans to the underprivileged in the North and East.

Loans up to a maximum of Rs.250,000 would be granted through the AGA s and District Secretariats by the Bank of Ceylon at a low interest rate of 4 percent per-annum with a repayment period of over 10 years, the Minister of Rehabilitation and Prison Reforms D. E. W. Gunasekera said.

He said the Bank of Ceylon had agreed to release Rs. 100 million which would be dispensed as Micro loans by the end of December 2010.

The Micro loans would be granted in coordination with the Ministries of Rehabilitation and Prison Reforms, National Housing Development Authority and Economic Development.

The branch office of the Ministry of Rehabilitation is to be opened in Vavuniya shortly to facilitate the people who wish to obtain financial assistance.