New Delhi, Dec 1 (IANS) The cabinet Thursday approved reconstruction and repair of 49,000 houses for internally displaced persons (IDPs) and for Indian-origin Tamils in Sri Lanka.

According to an official press release, the decision will result in an expenditure of Rs.1,319 crore.

It said the project will primarily be implemented under the owner-driven model as part of which beneficiaries will undertake reconstruction work and funds will be released into their bank accounts based on certification of work.

Construction of 49,000 houses for resettlement and rehabilitation of internally displaced persons in Sri Lanka is part of the overall commitment announced by Prime Minister Manmohan Singh during the visit of Sri Lankan president Mahinda Rajapaksa in June 2010.

A pilot project for the construction of 1,000 houses in the Northern Province of Sri Lanka is already under implementation.