Press briefing of Cabinet Decision taken on 2011-01-25

Extension to the Rural Electrification Project to expand the Electrification coverage of the North Central Province (NCP) to 100%

- this project will provide 550 new Rural Electrification Schemes in the NCP. A total number of 110,000 domestic connections and 10,000 connections for small businesses/industries will be provided under this project. Cabinet approval was granted to enter into a Credit Facility Agreement with Nordea Bank AB of Sweden for US$ 53.49 million being 85% of the cost of the project. Proceeds of this loan will be utilized by the Ceylon Electricity Board for the above Electricity Project. The balance 15% will be borne by the GOSL. On a proposal made by H.E. the President, Cabinet approval was granted to enter into an Export Credit Facility Agreement amounting to US$54,163,022, including the increased insurance premium with Nordea Bank AB of Sweden.