The Hon. Gnanamuththu Srineshan

¶ 01 Hon. Presiding Member, on this Bill I wish to raise banking practices in the North and East. Banks there collect deposits densely, but how much of those deposits are reinvested locally to increase production and livelihoods? Former Central Bank leadership emphasized that deposits should elevate living standards and local production. Are banks in war-affected regions using deposits to spur production and development there, or are funds redeployed elsewhere?

¶ 02 We must also address microfinance. Interest rates from 10% up to 100% have been imposed, leading to severe distress and even suicides—not only in the North and East but elsewhere. What capacity does the Central Bank have to monitor and discipline these institutions?

¶ 03 On failed finance companies—The Finance Company operated under Central Bank oversight; many deposited in trust. It was shut down, leaving depositors stranded and unable to recover life savings. In moving forward with rescue and rehabilitation, Government must ensure relief and restitution for such depositors.

¶ 04 Finally, we extend congratulations to Mr. Vijay on the outcome in Tamil Nadu. He has referred to the umbilical bond between Eelam Tamils and Tamils of Tamil Nadu. We hope his leadership will help address issues affecting our people.

¶ 05 I urge legal and regulatory measures to ensure that the North and East can access finance to resolve their pressing problems. Thank you.