Financial Aid from ADB for Implementation of Transforming Irrigation Systems for Improved Food Security Project (Grant Financing)

by

in

The Grant Agreement for the Transforming Irrigation Systems for Improved Food Security Project was officially signed on 19 December 2025 at the General Treasury in Colombo. The agreement was entered into between the Government of Sri Lanka and the Asian Development Bank (ADB). Dr. Harshana Suriyapperuma, Secretary of the Ministry of Finance, Planning and Economic Development, represented the Government of Sri Lanka, while Ms. Cholpon Mambetova, Country Operations Head at the ADB Sri Lanka Resident Mission, signed on behalf of the Asian Development Bank.

The project will be financed by a grant of USD 3 million from the Japan Fund for Prosperous and Resilient Asia and the Pacific (JFPR), complemented by USD 1.63 million in counterpart funding from the Government of Sri Lanka.

This initiative aims to introduce innovative and climate-resilient irrigation solutions to enhance water security and support agricultural productivity in Sri Lanka’s Dry Zone. The region faces ongoing challenges such as extended droughts, unpredictable rainfall, and diminishing crop yields. Currently, around 99% of the national irrigation network comprises open, gravity-fed earthen canals, which have low efficiency and result in significant water loss and reduced agricultural output.

As part of the project, four pilot Pipe Distribution Network (PDN) schemes will be established in the North Western and Uva Provinces. These schemes will cover approximately 877 hectares, spanning both existing irrigated command areas and neighboring rain-fed uplands. The selected locations include the Kirindigalla GN Division under the Ridi Bendi Ela feeder canal, feeder canal areas under the Magalla Reservoir, feeder canal areas under the Inginimitiya Reservoir in the North Western Province, and the Meegas Ara small tank cascade system in the Uva Province.

The Ministry of Agriculture, Livestock, Lands and Irrigation will serve as the Executing Agency for the project, with the Irrigation Department designated as the Implementing Agency responsible for technical execution. The project is scheduled for implementation from 2026 to 2029.


Latest News


  • Sri Lanka Establishes New Tax Policy Analysis Unit

    Sri Lanka Establishes New Tax Policy Analysis Unit

    Sri Lanka has established a Tax Policy Analysis Unit (TPAU) within the Department of Fiscal Policy in the Ministry of Finance, following recommendations from the International Monetary Fund (IMF). This initiative aims to enhance the country’s tax policy framework. The TPAU’s primary functions include conducting revenue analysis, evaluating the economic and distributional impacts of tax

    Read more


  • Sri Lanka’s Vehicle Imports Expected to Surpass US$2 Billion in 2025

    Sri Lanka’s Vehicle Imports Expected to Surpass US$2 Billion in 2025

    Sri Lanka imported vehicles worth 301 million USD in December 2025, bringing the total vehicle imports for the year to 2,047 million USD, according to data from the central bank. In December, imports of commercial vehicles amounted to 60.2 million USD. Over the year 2025, commercial vehicle imports reached 440.5 million USD, while personal vehicle

    Read more