The funding will be delivered through a Development Policy Operations (DPO) series designed to advance Sri Lanka’s structural reform program. The initiative seeks to enhance the country’s competitiveness and economic openness, strengthen economic governance, and promote robust and sustainable economic growth.
The new financing builds on ongoing reform efforts supported by multilateral development partners. Access to interim financing from institutions such as the World Bank and the Asian Development Bank has been identified as a critical component of Sri Lanka’s program under the International Monetary Fund Extended Fund Facility (EFF).
Previously, under the World Bank–funded Resilience, Stability and Economic Turnaround (RESET) Development Policy Operations (2023–2024) program, Sri Lanka received US$700 million to support key reforms aimed at economic recovery and stabilization.
The upcoming 2026–2028 program will be structured around two main pillars:
Enhancing competitiveness and openness, and
Strengthening economic governance.
The Cabinet of Ministers has approved the proposal submitted by the President, in his capacity as Minister of Finance, Planning and Economic Development, to secure the relevant financial facility from the World Bank.
The new financing is expected to further reinforce Sri Lanka’s structural reform trajectory and contribute to long-term economic stability and sustainable growth.
