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Home Southern Asia Sri Lanka

Rs. 100 million loan scheme for tea nurseries goes to waste! – Sri Lanka Mirror – Right to Know. Power to Change

by Asia Today Team
October 9, 2026
in Sri Lanka
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The Nationwide Audit Workplace has revealed that monetary and materials advantages value Rs. 97,673,635 supplied to tea nursery operators have gone to waste, as 535 of the 980 operators who obtained loans to ascertain tea nurseries had turn into inactive by 2025.

The loans and advantages have been supplied underneath a particular venture aimed toward supplying 25 million tea vegetation to the sector.

The venture was applied by the Tea Small Holdings Growth Authority in 2020 and 2021, with monetary allocations of Rs. 250 million supplied by the Sri Lanka Tea Board.

In line with info up to date by the Authority’s regional workplaces, 54 per cent of the nursery operators who obtained advantages had turn into inactive by 30 June 2025.

The audit report additionally states that 581 lively and inactive nursery operators who had obtained advantages value roughly Rs. 108,081,300 in monetary and materials help underneath the venture had neither planted nor launched a single tea plant to the sector.

The venture had deliberate to produce 28,875,000 tea vegetation to the sector via 980 nurseries. Nevertheless, by 30 June 2025, solely round 5,707,028 tea vegetation had reportedly been launched to the sector. This represents roughly 20 % of the goal.

The audit has additionally really helpful offering the technical steering wanted to reactivate inactive nurseries and taking steps to get well the unused monetary and materials advantages.

The Tea Small Holdings Growth Authority has knowledgeable the auditors that it will individually determine the funds spent on inactive nurseries and take steps to get well the related advantages.



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