DEVELOPMENT BANKING
Smallholder Plantation Entrepreneurship Development Programme (SPEnDP)

Loan Scheme

  • Objectives of the loan scheme.
    • The objective of this loan scheme is to enhance living standard of low income people living in Monaragala, Kandy, Nuwara Elliya, and Kagalle areas in which this program is to be implemented.
  • Eligible Projects
    • Agriculture and allied activities including Tea and Rubber based industries.
    • Small industries operated by farmer organizations.
    • Self employment activities.
    • Other Income Generating Activities (IGAs)
      • Livestock
      • Garments
      • Small trading
      • Handicrafts

Any other Income generation activities

  • Project Areas

    • The Project will be implemented in the districts of Kandy, Kegalle, Nuwara Eliya and Moneragala.

  • Mid-Country Sub - programme Areas

    • DS Division District
    Kotmale Nuwara Eliya
    Doluwa    
    Udapalatha  Kandy
    Gangaihalakorale
    Bulathkohupitiya  
    Aranayaka Kegalle

  • Moneragala Sub - programme Areas

    • DS Division   District
    Madulla
    Monaragala  
    Badaklumbura Monaragala
    Medagama
    Bibila  
    Wellawaya

  • Project Period
    • Commencement - 1st August 2009
      Termination - 31st December 2014

    However, the operations will come to an end with the full utilization of the allocation for credit component.

  • Quantum of Loan

    • DS Division District
    Small farmers  Rs.250,000
    Grass root level institutions (Village Rubber Development Clusters and Farmer Groups) Rs. 2 million
    Factories & Processing centers recommended by the SPMU Rs.5 million

  • Repayment Period
    • Maximum repayment period including maximum one-year grace period is 5 years
    • Grace period should be determined according to the nature of the project.
    • During the grace Period, interest should be charged.
  • Interest Rate
    • 9% p.a
  • Securities
  • Two personal guarantors acceptable to the Bank - One of the guarantors may be the spouse or a parent and the other Guarantor should be a person with a suitable income.
  • Group guarantee of the members.
  • Mortgage over an immovable or movable property - or any securities acceptable to the Bank.