News

World Bank loan to finance transport and water projects

The loan agreements for the Kandy Multimodal Transport Terminal Development Project (KMTTDP) and the Integrated Watershed and Water Resources Management Project (IWWRMP) financed by the World Bank (WB) were signed yesterday (22).

Mr. S.R. Attygalle, signed on behalf of the Government of Sri Lanka, and the Country Director for Maldives, Nepal and Sri Lanka of WB Mr. Faris H. Hadad-Zervos signed on behalf of the WB.

The proposed KMTTD project is to construct a functional transport terminal with state of art facilities including bus parking facilities, access roads and drainage systems at a total estimated cost of USD 69.33 million.

The WB has agreed to finance this project through a loan facility of USD 64.33 million from a concessional credit facility and USD 5 million from a non-concessional credit facility. This project will be implemented by the Urban Development Authority (UDA) under the supervision of the Ministry of Urban Development and Housing.

Under the proposed IWWRMP project, USD 13.67 million will be allocated to watershed and water resources planning to help plan and restore the Upper Mahaweli Watershed. Another USD 57.8 million will be allocated under this project for rehabilitation of 36 dams and 19 irrigation channel systems to enhance the efficiency, safety, and durability of hydraulic assets.

The WB has agreed to finance this project through a loan facility of USD 44.50 million from a concessional credit facility and USD 26.7 million from a non-concessional credit facility. This project will be implemented by the Ministry of Irrigation.