ADB approves US$200Mn for Sri Lanka’s Cyclone Ditwah recovery

Colombo, July 1 (Daily Mirror) - The Asian Development Bank (ADB) has approved a US$200 million emergency assistance package to help Sri Lanka rebuild infrastructure, restore livelihoods and support communities affected by Cyclone Ditwah.

The funding package consists of a US$100 million regular loan, a US$100 million concessional loan from ADB's ordinary capital resources, and a US$500,000 technical assistance grant to strengthen project implementation, preparedness and quality assurance, the ADB said in a statement.

The assistance will be channelled through the Post-Cyclone Ditwah Reconstruction and Livelihood Support Project, which aims to restore critical infrastructure, revive agricultural livelihoods and help families rebuild homes destroyed or damaged by the cyclone.

The project will focus on rehabilitating roads and irrigation systems while adopting "build back better" principles to ensure infrastructure is reconstructed to higher, climate-resilient standards.

"Cyclone Ditwah caused widespread damage to infrastructure, housing and livelihoods across Sri Lanka, placing additional strain on communities already facing significant economic challenges," ADB Country Director for Sri Lanka Shannon Cowlin said.

"This emergency assistance will help restore essential services, support affected households and farmers, and rebuild infrastructure to higher, climate-resilient standards," she added.

Cyclone Ditwah made landfall in Sri Lanka on November 28, 2025, bringing torrential rain, floods and landslides that affected 22 districts. The disaster severely damaged transport networks, irrigation systems, homes and rural livelihoods across the country.

As part of the recovery programme, damaged national and rural roads will be repaired and reconstructed with improved drainage systems, slope stabilisation measures and strengthened road structures to make them more resilient to future extreme weather events.

The project will also finance the rehabilitation of damaged irrigation infrastructure, including tanks, canals and water management systems, while improving dam safety planning. The restoration is expected to help farmers resume cultivation, strengthen food security and reduce vulnerability to future climate-related disasters.

Support will also be extended to cyclone-affected smallholder paddy farmers through livelihood assistance to help them restart agricultural production. Families whose homes were severely damaged or destroyed will receive owner-driven housing grants, released in stages based on verified construction progress.

According to the ADB, the project will be implemented through government agencies responsible for transport, irrigation, agriculture and disaster recovery, with support from project implementation consultants and regular ADB review missions to ensure effective delivery.