While seeking overseas grants and loan facilities to prop up the economy faced with the challenging task of rebuilding the war ravaged areas, the government is going ahead with a mega housing project for MPs.

Well informed sources said that the House Committee had recommended 150 houses for MPs and two additional houses for the Deputy Speaker and for the Deputy Chairman of Committees as well as three official quarters for the Secretary General of Parliament, Deputy Secretary General of Parliament and Assistant Secretary General of Parliament.

Sources said that the proposed scheme at Weera Mawatha, Kalalgoda situated in the Maharagama area would have state of the art facililites.

The House Committee has received a letter from the Presidential Secretariat suggesting that the UDA should go ahead with the project as the Public Administration and Home Affairs Ministry couldn`t meet the housing demand of the ministers.

About 40 ministers, despite having private homes, now receive Rs 100,000 each as monthly housing allowance. The payments are being made on the basis that the Public Administration and Home Affairs Ministry could not provide suitable accommodation.

Sources said that the proposed housing project had been included in a plan to expand the administrative office complex of the Parliament. This follows the Department of National Planning calling for a project proposal for the expansion of the Parliament by taking over the land adjacent to it.