Sri Lanka has entered into an agreement with the Asian Development Bank (ADB) for a loan of 200 million US dollars to continue the Mahaweli Water Security Investment Program (MWSIP) – Stage 2, according to the Ministry of Finance.
The agreement was signed at the Treasury by Ministry Secretary Harshana Suriyapperuma and ADB Country Director Takafumi Kadono. The loan will finance a portion of the total project cost, the ministry stated.
The primary aim of the project is to enhance agricultural productivity, increase farmer incomes, and strengthen climate resilience in the North Central Province (NCP).
MWSIP – Stage 2 consists of two main components:
- Completion of the North Central Province Canal irrigation infrastructure.
- Establishment of commercial agriculture development with supporting distribution networks.
Within these components, the project will complete the remaining section of the main tunnel, including approximately 7 kilometers of tunnel excavation and finishing works. In addition, around 68 kilometers of open or covered canals, conduits, and smaller tunnel sections will be constructed.
The initiative also includes the construction of 8 kilometers of the Ellapothana Irrigation Extension Canal and 13 pressure distribution networks to deliver irrigation water for crops.
(Colombo/Dec16/2025)
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