Cabinet approval was granted to provide compensation for the business owners affected by the Kilinochchi fire as per a Cabinet Memorandum submitted by Minister of Prison Reforms, Rehabilitation, Resettlement and Hindu Religious Affairs D.M. Swaminathan.

The Cabinet paper was submitted on 21st October 2016, by Minister Swaminathan, in concurrence with Prime Minister Ranil Wickremesinghe.

As per the recommendations of Prime Minister Ranil Wickremesinghe it has been approved to pay 74 million rupees for the 122 affected owners of the business establishments.

In addition, approval has been granted to establish a sophisticated fire brigade system in Kilinochchi with fire fighting bowsers, rescue vehicles etc at a cost of 97 million rupees.

It has also been approved to construct a market complex in Kilinochchi to support the business established destroyed by the fire at an estimated cost of 150 million rupees.

The fire broke out in Kilinochchi destroying nearly 122 shops on 16th September 2016.