A government housing assistance programme that operated between 2015 and 2019 has been criticized in Parliament as corrupt and ineffective, with Deputy Minister revealing political influence, improper loan allocations, and abandoned housing settlements across the country.

A housing loan programme administered by the National Housing Development Authority from 2015 to 2019 was marred by corruption, political interference, and poor implementation, according to Deputy Minister of Housing T.B. Sarath during parliamentary debate on Wednesday. The scheme, intended to assist low and middle-income earners obtain housing, faced scrutiny from National People's Power MP Susantha Kumara Navaratne, who questioned whether recipients had genuinely benefited from the initiative.

According to Navaratne, the programme promised substantial housing assistance but delivered minimal support, with many grants amounting to only Rs. 136,000 to Rs. 200,000—insufficient for meaningful home construction. Beneficiaries reportedly struggled with loan repayment difficulties despite the scheme's promotion as a public welfare initiative. Deputy Minister Sarath acknowledged these concerns, stating that projects were designed with political considerations rather than genuine beneficiary needs. He claimed investigations revealed loans issued to politically connected individuals and multiple family members receiving funding from the same programme.

The Deputy Minister also disclosed that records for numerous loans remain incomplete, complicating assessment efforts. Some housing settlements constructed in wildlife zones cannot be legally occupied, he noted, while several villages containing 15 to 40 units have fewer than one occupied house each, with many beneficiaries untraceable. The government is currently cataloguing occupied units and assessing remaining properties across these settlements.

Addressing the scheme's failures, Sarath indicated that a special financial assistance package for current residents has been proposed for the upcoming Budget. He criticized the previous administration's focus on international issues while domestic housing programmes failed to deliver promised benefits to their intended recipients.