The Chamber of Construction Industry Sri Lanka(CCI) has urged commercial banks to reschedule the loans given to condominium construction companies and property developers as the construction industry has taken a huge beating over the past two years.
In an interview with the Sunday Times FT, Chief Executive Officer of the CCI Dakshitha Thalgodapitiya said that the building sector is at a standstill even now and over 38 high rise projects are on hold. Buyers are not going for housing complexes and condominiums due to the global downturn, he said. Under this set up, banks should consider rescheduling their loans given to the construction sector, he said.
He added that consultants and contractors must be provided the means to survive today to meet the challenges of the industry in the future. In the foregoing scenario where more and more high rise condominiums are coming into existence, it is necessary to install a financial mechanism to cater to the potential developers / owners of such buildings and also to the end-users of such condominium units, he said.
The demand for middle class housing will increase up to 650,000 units by 2010 and it is essential to devise an affordable housing plan to cater to this ever increasing demand, Mr Thalgodapitiya said.