Thursday Mar 26, 2026
Thursday Mar 26, 2026
Thursday, 26 March 2026 00:25 - - {{hitsCtrl.values.hits}}
The Asian Development Bank (ADB) yesterday said that its visiting President Masato Kanda met with President Anura Kumara Dissanayake and announced that it stands ready to provide $ 100 million in additional Budget support as part of a financial package to help countries mitigate the economic and financial impacts resulting from the conflict in the Middle East.
In a statement, the ADB said that Sri Lanka is the first member to formally request such assistance. This proposal increases the ADB’s total planned Budget support in Sri Lanka for 2026 to $ 480 million.
“Sri Lanka is at a turning point, moving from crisis recovery towards growth and a more resilient economy,” Kanda said. “However, the conflict in the Middle East is adding new pressures for Sri Lanka, including rising oil prices, supply chain disruptions, and falling remittances. The additional support from the SDB will help safeguard the broader economy against these external shocks.”
During this visit, Kanda travelled to Kegalle District to witness the damage caused by Cyclone Ditwah. To address urgent reconstruction needs, ADB is fast-tracking a $ 200 million emergency assistance loan to restore vital transport networks and irrigation canals while supporting affected livelihoods.
Kanda also visited Colombo Port, where he viewed how ADB-financed infrastructure, including the Colombo Port Expansion and Port Access Elevated Highway, connects Sri Lanka to supply chains. Strengthening port capacity, connectivity, and logistics performance will be key to enhancing Sri Lanka’s role in regional and global trade.
Looking ahead, the ADB is scaling up its annual program to over $ 1 billion to support continued structural reforms, resilient infrastructure, and human capital.
Kanda met with private sector CEOs to identify ways to unlock private capital. He noted that public resources alone cannot meet the scale of the country’s investment needs. The ADB is sharpening its focus on preparing bankable projects and deploying risk-sharing instruments to drive a more competitive, export-oriented economy for the people of Sri Lanka.
