Business seeks grace period on loans, low interest rates

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the private sector which is the backbone of the economy has been significantly affected by low productivity and loss of revenue while facing mandatory financial obligations to their respective lending institutions. We believe that without government intervention and support at this juncture, this situation will rapidly deteriorate into a situation that would undoubtedly cause a ripple effect resulting in dire consequences to the entire economy.”

COYLE on behalf of its member companies has requested the President and the PM to instruct the Central Bank to instruct the lending institutions to grant a grace period on loan repayments and restructuring of loans.

“The above concessions will cascade from businesses to their clients and we will see a gradual ease of monetary flow in the economy. This will in return increase consumer spending power, increasing aggregate demand and increase in manufacturing – inducing economic growth. We sincerely hope economic stability to be restored and businesses to have the ability to repay within the mentioned tenor.” Apart from COYLE, the Alliance of Lankan Entrepreneurial Chambers has signed the letter.