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Mar 22, 2013 (LBO) - The European Investment Bank will loan 90 million Euros to Sri Lanka which will be used to finance for renewable energy projects and small and medium enterprises, minister Keheliya Rambukwelle said.
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The balance will be given at averaged weighted deposit rate (6-months) for15 years with 3 year grace.

DFCC Bank, Commercial Bank of Ceylon and Regional Development Bank will disburse loans to borrowers.

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Renewable energy loans will be given to entities in public or private sector, minister Rambukwelle said.

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EIB will loan the money to Sri Lanka at the EIB rate (about 2.


9 percent) as a 20-year loan with a 15 year payback, which will be on-lent to banks by the government with 70 percent allocated for SMEs and 30 percent for renewable energy.



The banks would get 30 million Euros as a 15 year foreign exchange loan with 3-year payback at the EIB rate plus margin to be loaned out.

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