Press briefing of Cabinet Decision taken on 2023-07-04

Strengthening of the Health Delivery Service in the Northern Province under Financial Assistance of the Netherlands

- It has been entered into an Agreement with the ING Bank N.V. of the Netherlands to obtain a loan of Euro 45 million to finance 75% of the project cost for the "Strengthening of the Health Delivery Service in the Northern Province".The remaining 25% of the project cost is financed by the Invest International Public Programmes B.V. of the Government of the Netherlands as a grant. As of now, the physical progress of the project is about 92%. Considering the current economic situation in Sri Lanka, the Government of the Netherlands has decided to reduce the loan amount by 10% and increase the grant for the project to 35%. The Government of Sri Lanka should enter into a Memorandum of Agreement with the Invest International Public Programmes B.V. of the Government of the Netherlands and the ING Bank N.V. of the Netherlands for that purpose by incorporating relevant amendments. Accordingly, the proposal made by the Minister of Finance, Economic Stabilization and National Policy to enter into the said agreement, was approved by the Cabinet.