July 23, Colombo (LNW): The Cabinet of Ministers has approved a proposal to provide relief to individuals who have pawned gold jewellery in banks.
The Cabinet Office announced that the severe recent economic crisis has significantly impacted all sectors, leading to a rapid increase in gold pawning.
Mortgage advances have surged from Rs. 210 billion in 2019 to approximately Rs. 571 billion by March 2024.
Recognising the need to support low-income individuals with mortgage advances from licensed banks, a programme will be implemented to offer an interest subsidy of up to 10 per cent per annum for loans not exceeding Rs. 100,000 taken on or before 30 June 2024.
This proposal, presented by President Ranil Wickremesinghe in his capacity as Minister of Economic Stabilisation and National Policy, has received Cabinet approval.