Sri Lanka and the Asian Development Bank have signed a $200 million loan agreement to support reconstruction, infrastructure rehabilitation and livelihood recovery following the damage caused by Cyclone Ditwah.
The agreement for the Post Cyclone Ditwah Reconstruction and Livelihoods Support Project was signed on 18 August at the Finance Ministry. Treasury Secretary Dr Harshana Suriyapperuma signed on behalf of the Government, while ADB Sri Lanka Resident Mission Country Director Shannon Cowlin represented the Asian Development Bank.
The project, covering the period from 2026 to 2030, is designed to restore critical infrastructure and assist communities affected by the cyclone, while incorporating stronger climate resilience measures into reconstruction efforts.
A significant component will focus on rehabilitating and reconstructing cyclone damaged roads through the Road Development Authority. The programme will also restore damaged irrigation systems, with implementation involving the Irrigation Department and the Mahaweli Authority of Sri Lanka.
Support for affected households forms another important part of the initiative. Agricultural livelihood assistance will be provided through the Department of Agrarian Development, while the National Disaster Relief Services Centre will oversee housing restoration support.
The Ministry of Transport, Highways and Urban Development will serve as the executing agency for the project.
Beyond rebuilding damaged assets, the financing highlights the growing importance of climate resilient infrastructure as Sri Lanka faces increasing exposure to extreme weather events. The investment is expected to strengthen essential transport and irrigation networks while helping affected families rebuild their livelihoods and homes.
The agreement also reinforces the longstanding development partnership between Sri Lanka and the ADB, with disaster recovery and resilience becoming increasingly important areas of cooperation.
