$150 Mn loan from ADB for SL road development
The Asian Development Bank(ADB) has provided a loan of $ 150 for the development of over 3400 km of rural road and 340 km of national highway under the Second Integrated Road Investment Program funded by the ADB.
The Government of Sri Lanka and the Asian Development Bank (ADB) entered into a Framework Financing Agreement on 14 August, 2017 with regard to the financial arrangements for the Second Integrated Road Investment Program.
The investment program will improve the accessibility to the road network from rural areas and thereby increase the contribution of the rural population for economic and social development of the country.
The total estimated cost of the programme is $ 1084 Mn, out of which $ 900 Mn will be obtained in several tranches from ADB. The first tranche amounting to $ 150 Mn obtained in 22 November 2017 is being invested in the ongoing project activities and the subsequent tranches are planned to be obtained based on the financing requirements of the Program.
The Second Integrated Road Investment Program will upgrade and maintain 3400 km of rural access roads and 340 km of national roads in Northern, Eastern, Uva, and Western Provinces.
In addition, improvement of capacity of road agencies with respect to safeguards, road safety, maintenance, research, road design and construction will be carried out under the program.
Dr. R H S Samaratunga, Secretary of the Ministry of Finance entered into a loan agreement with ADB on behalf of the Government of Sri Lanka and Nihal Sooriyarachchi, Chairman of Road Development Authority entered into a Project Agreement with ADB on the 13 November at the Ministry of Finance. Manjula Amerasinghe, Officer in Charge of ADB, Sri Lanka Resident Mission signed the two agreements on behalf of ADB.