The Government of India has agreed to provide grant assistance in a sum of Indian Rupees 13.19 billion (Approximately US $260 million) for construction of 49000 housing units for IDP in the Northern and Eastern provinces.
The project is to be implemented in three modes.
Under mode 1, about 38,000 houses in the Northern and Eastern Provinces will be reconstructed, with a total payment of SLR 550,000 per house. Payment will be made in four installments directly to the beneficiaries’ bank accounts.
Under mode 2, about 5000 houses in the Northern and Eastern provinces will be repaired and payment will be made directly to the beneficiaries in three install1nents.
Under mode 3 about 6000 houses are to be reconstructed and 4000 of these houses will be reconstructed for Estates workers in the Central and Uva Provinces.
The proposal made by the President, in his capacity as the Minister of Finance and Planning to sign a Memorandum of Understanding between the two Governments, was approved by the Cabinet.