State seeks Gulf countries' help to rehabilitate returnees

The state has sought the Gulf Cooperation Council's (GCC) help to rehabilitate thousands of Gulf returnees who lost their jobs in the wake of the global slowdown.

"The economic crisis still continues and the labour class in the GCC countries is struggling hard. The indications are that 2010 would also see high levels of job loss in these countries and it is here that we need help," state Finance Minister Thomas Isaac said here at a conference on the global economic crisis.

The state has over two million people working outside the country, of them close to 90 percent are employed in the GCC countries.

The GCC comprises Saudi Arabia, Kuwait, Bahrain, Qatar, the United Arab Emirates (UAE) and Oman.

According to the minister, the Gulf countries can contribute to a fund the state government has set up to provide assistance to those who returned home after losing their overseas jobs.

"The GCC countries can contribute to the fund which the state government has already set up. To channelise funds we are prepared to set up a banking model on the lines of Islamic principles."

He recalled that the Gulf countries had helped the state provide assistance to those who lost their jobs in the wake of the Kuwait war in early 1990s.

In the budget for the current fiscal, the state government has set aside a sum of Rs.100 crore to help the Gulf returnees. They will get loans at an interest rate of 7 percent for starting small business ventures.

"The fund we have set up seeks to ease the returnees' burden to certain extend," Isaac said.