Sri Lanka commercial banks to finance road

May 24, 2012 (LBO) – Sri Lanka will build a 24.14 kilometre road in the island’s south for 1.98 billion rupees with credit from Commercial Bank and DFCC Bank, minister Lakshman Abeywardene said. Both loans will be covered by Treasury guarantees.

The road from Matara to Hakmana will connect to a planned expressway running to Hambantota, he said. The road will be built by domestic contractors.

Commercial Bank will loan 1.4 billion rupees with 2.5 year grace for 14 years with monthly repayment at an nterest rate 9.0 percent.

DFCC will loan 598 million rupees 2 year grace for 14-years at 9 percent rate with half yearly repayment.