President instructs banks to halt loan recovery of drought stricken farmers

President Mahinda Rajapaksa has instructed the Ministry of Finance to suspend recovery of installments on cultivation loans obtained by the drought affected farmers from the Bank of Ceylon, People’s Bank, Regional Development Banks and Rural Banks until the harvest for the next cultivation season is reaped.  He has also instructed to suspend recovery of installments on loans that have been obtained for cultivation purposes by mortgaging various items.

Meanwhile, President Mahinda Rajapakse toured the drought affected areas in Polonnaruwa yesterday and had discussions with the affected farmers. He told the farmers that the government has already allocated funds to provide them seed paddy and fertilizer free of charge for the next harvest season. He said that an arrangement is also being made with the World Food Programme to provide them relief. The President further said that a programme of insuring all cultivation lands will be implemented in the future.(niz)