Mar 18, Colombo: The government has decided to resume granting interest-free loans in the amount of Rs. 800,000 to the students who fail to get admission in the government universities after passing the GCE Advanced Level to pursue higher education courses.

In addition, an amount of Rs. 300,000 will be granted for their daily expenses.

Minister of State for Finance Dr. Ranjith Siyambalapitiya says that the government is ready to provide the relevant loan without interest. He pointed out that since the loan interest rates in this country have reached a value of 25% higher, the government has decided to provide the facility to the students.

State Minister Siyambalapitiya also said this loan facility will be given to 5,000 students as per the instructions of the President Ranil Wickramasinghe.

The credit facility, which is currently provided only by the Bank of Ceylon, will also be provided by the People's Bank and the National Savings Bank in the future, the Minister added.

However, the Minister further mentions that the Z-Score and the timely value of the course that is expected to be studied will be taken into consideration in granting this loan.

It is special that the relevant loan amount is given up to one year after leaving the higher education institution and the repayment should be done after getting an employment.