The six Regional Development Banks are pooling their efforts to make low interest capital infusions into the rural economy.
On offer are low interest rates starting at 9%, easy repayment schemes and loans on individual skill and not physical collateral. rn
rnThe operation, a brain child of the Minister of Rural Economy, will also seek to flush out unauthorised deposit mobilising operation carried out by unlicensed finance companies and bogus banks in rural areas with the promise of higher returns.rn
rnMinister Bandula Gunawardana says a fresh approach was being adopted to promote rural development, which included new lending methods and non interest incentives for savings. rn
rnGunawardana says despite the low interest rates, returns to the Development Banks would reach up to 17 per cent, achieved by adopting a non traditional approach to calculating interest. rn
rnOther new schemes include daily instalments to facilitate loan repayment, collected by a bank agent.rn
rnWomen entrepreneurs and