Friday Jul 03, 2026
Friday Jul 03, 2026
Thursday, 2 July 2026 04:42 - - {{hitsCtrl.values.hits}}
The Cabinet of Ministers on Monday approved entering into the necessary agreements to secure a $ 450 million disaster recovery package from India, comprising a $ 350 million line of credit and a $ 100 million grant, to support Sri Lanka’s post-Cyclone Ditwah reconstruction efforts.
The Government has estimated reconstruction needs at $ 3.5 billion, including $ 2.1 billion in physical damage and $ 1.4 billion in economic losses caused by Cyclone Ditwah, which struck Sri Lanka in November 2025. India had extended immediate disaster relief under ’Operation Sarga Bandhu’ following the disaster, while the broader assistance package was agreed during the Indian External Affairs Minister’s visit to Sri Lanka on 22 December 2025.
Under the approved package, the $ 350 million line of credit comprises a $ 250 million long-term facility and a $ 100 million short-term facility, alongside the $ 100 million grant. The funding will support reconstruction and development in infrastructure, connectivity, health, education, housing, water supply, and disaster management.
The proposal to this effect was submitted by President Anura Kumara Dissanayake in his capacity as the Finance, Planning and Economic Development Minister.
