Multilateral development institutions such as the World Bank and the Asian Development Bank (ADB) have extended medium-term financial facilities to Sri Lanka, recognized as essential components under the International Monetary Fund’s Extended Credit Facility program.

In line with this, the World Bank has already provided Sri Lanka with $700 million in funding to support fundamental reforms aimed at economic recovery and stability.

This assistance is part of the “Reset” Development Policy Operations (DPO) for 2023-2024, which promotes macroeconomic stabilization and structural reforms.

Further, to align with Sri Lanka’s ongoing reform agenda, the World Bank has expressed its willingness to provide an additional$400 million during the 2026-2028 period.

This funding aims to enhance competitiveness, promote transparency, improve economic governance, and foster a stronger and more sustainable economic growth trajectory.

The operational framework of these programs has been carefully designed around two main pillars: increasing competitiveness and strengthening economic governance.

To facilitate access to these funds, the Finance, Constitutional Affairs, and Economic Development Minister, Honorable President, submitted the relevant proposals, which were subsequently approved by the Cabinet.