ADB assistance doubles to $1b

 Finance Minister Mangala Samaraweera and ADB Country Director Sri Widowati during discussions at the ministry yesterday 

• Current $ 400-$ 500 million to get major boost 
• Presently 24 ongoing ADB funded projects in SL 
• Railways, ports and road development sectors earmarked for investment 

 The Asian Development Bank (ADB) has doubled its multi-sectoral assistance to Sri Lanka as a result of the merger of its two main windows of financing, opening up space for the mobilisation of $ 800 million to $ 1 b annually from 2017, the Finance Ministry said in a statement yesterday.  

ADB Country Director Sri Widowati called on the Minister of Finance and Mass Media Mangala Samaraweera and briefed him on the assistance given by ADB for development activities in Sri Lanka, which is a founding member of ADB. 

The ADB Country Director also congratulated the Minister on his appointment as the Minister of Finance and briefed him on the assistance given by the ADB towards Sri Lankan development projects. Widowati reiterated ADB’s commitment to partner the Government in developing Sri Lanka. 

Minister Samaraweera extended his appreciation to the ADB for extending multi-sectoral assistance in various fields that bring direct dividends to the general public and further discussed the new country partnership strategy for Sri Lanka for the period from 2018-2022.

Currently, the ADB provides around $ 400-$ 500 million in annual assistance for road development projects, enhancement of sanitation facilities, fisheries sector development, irrigation sector development as well as skills and educational sector development projects. All loan facilities by the ADB come with a five-year grace period. There are 24 ongoing projects implemented throughout the country with ADB funding.

With the proposal to double the ADB’s assistance to Sri Lanka, the Government has earmarked railways, ports and road development as potential sectors to be developed and has already commenced feasibility studies in those respective sectors.

In 2015 the ADB approved merging its Asian Development Fund and Ordinary Capital Resources to increase its leverage and deepen capital lending to developing countries.  

Director General External Resources Department Priyantha Rathnayaka and Director General State Account Priyanka Algama were present with the Minister.