President Anura Kumara Dissanayake has announced an allocation of Rs. 67.7 billion for interest subsidies and refinancing facilities in 2027 to support businesses, women-headed households and entrepreneurs across several sectors.
Presenting the 2027 Budget in Parliament today (12), the President said the Government expected to provide approximately Rs. 174 billion in concessionary loans through State and private banks during the year.
A key proposal is a Rs. 12.5 billion loan scheme targeting women-headed households. Under the programme, eligible beneficiaries will be able to obtain loans of up to Rs. 1 million through Samurdhi Banks at an annual interest rate of 3 per cent.
The loans will be provided through a group-lending arrangement to strengthen the financial stability and livelihoods of women-led families, particularly in rural areas.
The Budget also includes a Rs. 7.5 billion concessionary loan scheme to develop the home-stay tourism sector. Entrepreneurs will be eligible for loans of up to Rs. 2 million at an annual interest rate of 3 per cent to establish new accommodation facilities or improve existing ones.
Financial support for MSMEs
The Government has allocated Rs. 67,687 million for interest subsidies and refinancing facilities to support Micro, Small and Medium Enterprises (MSMEs) in 2027.
Dissanayake said Rs. 54,136 million had been allocated for similar programmes in 2026, enabling banks to provide loans totalling Rs. 97,100 million. The entire allocation was utilised during the year amid increased demand.
Under the Re-MSME Plus programme, a further Rs. 20 billion in concessionary loans will be made available in addition to the existing Rs. 30 billion allocation, at an interest rate of 5 per cent.
Another Rs. 30 billion, with assistance from the Asian Development Bank, will also be channelled towards financing MSMEs.
Loan facilities for rural entrepreneurs and fisheries
A Rs. 5 billion loan scheme will also be introduced to support rural entrepreneurs and Aswesuma beneficiaries.
Eligible entrepreneurs will be able to obtain loans of up to Rs. 5 million at an annual interest rate of 4 per cent, provided they employ at least five Aswesuma beneficiaries.
The fisheries sector will receive targeted financial assistance through several loan schemes. Large-scale fisheries entrepreneurs, fish exporters, boat manufacturers and fishing equipment producers will be eligible for loans of up to Rs. 500 million at an annual interest rate of 5 per cent.
Meanwhile, an interest-free pledge loan scheme will be introduced for small and medium-scale paddy mill owners to purchase paddy at the Government-guaranteed price. The programme is expected to provide financial facilities amounting to Rs. 20 billion from 2027.
The President said the Government was prioritising access to affordable financing as part of its broader efforts to promote entrepreneurship, generate employment and accelerate economic transformation.
