The Asian Development Bank (ADB) has approved a US$200 million emergency assistance package to support Sri Lanka’s recovery and reconstruction efforts following the devastation caused by Cyclone Ditwah.
According to the ADB, the financing package includes a US$100 million regular loan, a US$100 million concessional loan from its ordinary capital resources, and a US$500,000 technical assistance grant to strengthen project implementation, preparedness, and quality assurance.
The funding will support the Post-Cyclone Ditwah Reconstruction and Livelihood Support Project, which aims to rehabilitate damaged road and irrigation infrastructure, restore the livelihoods of affected smallholder farmers, and assist in rebuilding homes that were severely damaged or destroyed by the cyclone.
The project will adopt “build back better” principles to improve resilience against future natural disasters.
ADB Country Director for Sri Lanka, Shannon Cowlin, said Cyclone Ditwah caused widespread damage to infrastructure, housing, and livelihoods across the country, placing additional pressure on communities already facing economic challenges.
She said the emergency assistance will help restore essential public services, support affected households and farmers, and rebuild infrastructure to higher climate-resilient standards.
Cyclone Ditwah made landfall in Sri Lanka on November 28, 2025, bringing torrential rainfall, flooding, and landslides that affected 22 districts, damaging transport networks, irrigation systems, homes, and rural livelihoods.
Under the project, priority national and rural roads damaged by the cyclone will be rehabilitated and reconstructed with climate-resilient improvements, including slope stabilization, enhanced drainage systems, and repairs to roads and related structures. These investments are expected to improve access to markets, public services, and employment while reducing vulnerability to future extreme weather events.
The project will also fund the rehabilitation of damaged irrigation infrastructure, including tanks, canals, and water management systems, while strengthening dam safety planning. The improvements are intended to help farmers resume agricultural production, enhance food security, and increase resilience to future climate-related shocks.
In addition, the programme will provide targeted assistance to cyclone-affected households through support for smallholder paddy farmers and owner-driven housing reconstruction. Farmers will receive livelihood assistance to restore agricultural production, while eligible families rebuilding their homes will receive staged grant payments based on verified construction progress.
The project will be implemented through government agencies responsible for transport, irrigation, agriculture, and disaster recovery, with support from project implementation consultants and regular monitoring by the ADB.
The Asian Development Bank, established in 1966, is a multilateral development bank owned by 69 member countries, including 50 from the Asia-Pacific region, and supports sustainable, inclusive, and resilient development across the region.
