Chief Minister Jayalalithaa, who had announced several measures for them in the past, ordered construction of 2,500 durable houses at the rate of Rs one lakh each and earmarked Rs 25 crore for the purpose.
The houses would come up in camps at 14 districts of Combatore, Dindigul, Kanyakumari, Karur, Krishnagiri, Namakkal, Madurai, Pudukkottai, Salem, Sivagangai, Thiruvallur, Tirunelveli, Thiruvanamalai and Villupuram.
"This decision of the government will help the Sri Lankan Tamils who live in camps to lead a new life", an official release said.
Jayalalithaa had earlier announced a slew of welfare measures for them, including scholarship for students pursuing higher education, financial assistance for self-help groups in camps, and extension of Chief Minister's comprehensive insurance scheme to the refugees.
The Chief Minister had already earmarked Rs 25 crore for improving basic facilities like drinking water facilities in the camps, repairing houses, laying roads, construction of toilets, community halls, libraries, ration shops, kitchens and street-lights.