Funds galore for development projects
LOANS: The Government has entered into over USD 700 million worth
loan and grant agreements during the last four months for various
development projects in the country.
Secretary to the Ministry of Finance and Planning Dr P.B. Jayasundera
said the Government has already executed USD 719 million worth of loan
and grant agreements up to now.
Under these loans and grant agreements Japan has committed to provide
USD 347 million while Spain and Germany will provide USD 17 million each
for development projects in the country.
Austria is to provide USD 13 million and Netherlands and UN agencies
will provide USD 12 million each to the country. These funds will be
utilised on implementation of pro-poor rural development project,
Greater Colombo Transport Development Project and the Water Sector
Government also entered into USD 300 million loan agreement with
Asian Development Bank (ADB) for a port expansion project. However the
Government expects a USD 515 million commitment from ADB this year.
Jayasundera said that ADB has funded many infrastructure development
projects including the Southern Highway project in Sri Lanka.
Last year ADB conducted a monitoring programme to expedite and proper
utilisation of funds on various development projects. This year too the
Government expects to work on proper utilisation of these funds and
accelerate the development projects in the country, he said.