Officials directed to minimize issues faced by borrowers when settling loans

Prime Minister Mahinda Rajapaksa, in his capacity as the finance minister, has instructed the Central Bank officials to implement necessary measures to minimize the difficulties faced by the pandemic-hit borrowers when recovering loan dues from them.

A meeting chaired by PM Rakapaksa was held at the Temple Trees earlier today (June 16) to discuss the current economic situation of the country.

The Central Bank representatives have briefed the prime minister on maintain a robust economy in the face of the COVID-19 outbreak.

The focus of the meeting fell on the issues faced by people who have obtained financial loans during a pandemic situation. Accordingly, PM Rajapaksa directed the Central Bank officials to take steps to minimize such difficulties.

The importance of implementing a procedure that allows the borrowers to pay the interest as well as the loan was discussed at length during the meeting, as they have become unable to repay the loan due to having to pay the interest first, the Prime Minister’s Office said.

PM Rajapaksa meanwhile heeded the need to change the procedure of mortgaging a borrower’s house as security on a loan, as the borrowers most often than not lose their dwelling to the creditor.