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Budget FY19: Housing loans proposed for civil servants

  • Published at 04:21 pm June 7th, 2018
  • Last updated at 04:48 pm June 7th, 2018

The new housing loan policy for government employees will become effective from July 1

The government has formulated a new policy guideline for providing loans to civil servants through the banking system, keeping in mind the notion that government employees should own an apartment or a house.

Finance Minister AMA Muhith came up with the announcement while delivering his budget speech at the parliament on Thursday, adding that the new policy will become effective from July 1.

He further said: “Under this policy, a public servant will be entitled to a loan for the construction of house or purchase of an apartment anywhere in the country.”

“This loan will be provided  to   them  at  a   moderate  interest  rate   through  the  banking system and the interest differential will be paid by the government as subsidy   to  the  commercial   banks.”

Muhith added: “I   hope  this move  will   motivate  the government  employees   to  be  more   proactive  in  delivering   public services and establishing good governance everywhere.”