Housing loan scheme for migrant workers

Wednesday, 14 February 2024 00:12 - - {{hitsCtrl.values.hits}}

In a bid to support migrant workers’ housing aspirations, Sri Lanka Bureau of Foreign Employment (SLBFE) and the National Housing Development Authority (NHDA) are teaming up with licensed banks to introduce a housing loan program payable in foreign currency.

Under the program, migrant workers with housing aspirations can apply for loans of up to Rs. 10 million, with a portion of the loan amount subsidised by the SLBFE. The proposal to this effect put forth by Foreign Employment and Labour Minister Manusha Nanayakkara was approved by the Cabinet of Ministers. The loan repayment must be made using foreign exchange remitted through legitimate channels, while the loan recipient is engaged in overseas employment. Once the foreign employment term is completed, and the worker returns to Sri Lanka, payments can be made in rupees.

As per the latest Central Bank data, the workers’ remittances dip to a five-month low in January to 487.6 million. However, on a year-on-year basis it reflected an 11.4% increase.