Parliament approves loan guarantee for the SLDB
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Contact: Julita Peter
Tuesday, February 9, 2010 – During the first sitting of the House of Assembly on Tuesday, Prime Minister and Minister for Finance Hon. Stephenson King got parliament’s approval to guarantee three loans totaling ten million dollars from the National Insurance Corporation on behalf of the Saint Lucia Development Bank. According to the prime minister the loans were being sought for the purpose of funding education, housing and the productive sector.
In presenting the bill the prime minister explained the conditions of the loan.
“A commitment fee of half of the disbursement balance, is payable, and the amount of each of the three loans are as follows: in the education sector, five million dollars to be disbursed over a two year period on an agreed schedule; in the case of the housing sector a loan of two million dollars to be disbursed on an agreed schedule and in the case of the productive sector a loan of three million dollars to be disbursed on an agreed schedule.
The prime minister revealed that the interest rate payable on the total amount s is 4%, 4.5% and 5% per annum respectively.
Prime minister King says the loans are being sought for three areas that government deems critical to the overall national development of the country.
“In education, to build our human resource capacity; in housing to provide low income housing for our middle and low income earners; and in the productive sector to stimulate, the growth of our economy.”
He says with such low interest rates offered, it is will allow the SLDB to lend to clients at concessionary rates. |
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