Rs. 750 mn allocated to continue concessional loan scheme for young entrepreneurs

The Government has decided to continue the concessional loan scheme introduced to create new entrepreneurs, with Rs. 750 million allocated in the 2026 Budget to further implement the programme.

According to the Government’s policy statement, steps are to be taken to create 50,000 entrepreneurs within five years by providing financial facilities and guidance to youth. As part of this initiative, Rs. 500 million was allocated under the 2025 Budget to introduce a concessional loan scheme aimed at developing young entrepreneurs in the agricultural and industrial sectors.

Cabinet approval was granted at the meeting held on August 18, 2025 to utilise the allocated funds to implement the loan scheme.

To continue the programme, an additional Rs. 750 million has been provided in the 2026 Budget. Under the scheme, loans will be granted through People's Bank, Bank of Ceylon and Regional Development Bank at a concessional annual interest rate of four percent.

The Minister of Agriculture, Livestock, Lands and Irrigation presented the proposed implementation plan and relevant guidelines to the Cabinet, following which approval was granted to proceed with the programme.

The scheme is expected to support youth entrepreneurship and promote economic activity in the agriculture and industry sectors.

Source: Daily Mirror