NEHRP increases housing grant to conflict affected in NorthEast

[TamilNet, Thursday, 17 February 2005, 03:00 GMT]
Under the North East Housing Reconstruction Program (NEHRP) funded by the World Bank 46,000 houses will be built for poor conflict-affected families in the NorthEast, said a press release issued by the Worldbank in Colombo Wednesday. Cash grant was increased to Rs.250,000 to "meet the needs equitably" between the conflict and tsunami affected people, the release referred to Peter Harrold, World Bank's Country Director for Sri Lanka, as saying.

Full text of the release follows:

"Colombo, February 16, 2005. The World Bank announced today that it welcomed the launch of the North East Housing Reconstruction Program (NEHRP) which will build around 46,000 houses for Sri Lanka’s poor, conflict-affected families. Under the loan agreement signed yesterday, cash grants provided for each family was increased from Rs.150,000 ( US$1512) to Rs.250,000 (US$2520) in the light of post tsunami increased building costs. Grants for partially damaged houses (damage of up to 40% of property) was also increased from Rs.70,000 (US$706) to Rs.100,000 (US$ 1008).

Peter Harrold“The conflict and tsunami affected people are both very vulnerable groups who have undergone terrible hardships and their needs must be met equitably, “said Peter Harrold, World Bank Country Director for Sri Lanka. “The launching of the NEHRP simultaneously with the World Bank’s first allocation for Tsunami Emergency Recovery Program provided us an opportunity to review grant allocations for conflict affected families and bring it to be on par with allocations for tsunami affected families,” he said.

The World Bank and the Ministry of Finance signed yesterday the legal agreements for the US$75 million NEHRP. This loan is from the International Development Association, the concessionary arm of the World Bank, and has a 10-year grace period, a maturity of 40 years, zero interest, and a 0.75% service charge on the outstanding amount.

The Bank will shortly announce the full allocation of resources in support of Sri Lanka’s tsunami reconstruction and recovery program."

 

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