The Hon. Kanthasamy Prabu

## Summary Hon. Kanthasamy Prabu spoke in support of the Microfinance and Credit Regulatory Authority Bill, arguing it is necessary to address widespread abuses by microfinance institutions, particularly in the North and East following the end of the civil war in 2009. He described a cycle of debt trap affecting vulnerable populations—especially women-headed households—characterised by high interest rates, aggressive weekly collection, undisclosed loan terms, and compounding debt across multiple lenders, which he linked to rising suicide rates in his Batticaloa district; he noted that approximately Rs. 70 million of Rs. 100 million in district microfinance loans are currently in arrears, and flagged emerging risks from digital mobile lending apps. He called for the Bill's oversight mechanisms to complement Central Bank supervision and protect borrowers from both economic and psychological harm. In closing remarks unrelated to the Bill, he commended Sri Lankan Tamil artists' contributions to an Indo–Sri Lankan film production and expressed hope that the government would support the revival of Tamil cinema in Sri Lanka.