USD 700mn from the World Bank for Sri Lanka?

The World Bank is set to approve $700 million in budgetary and welfare support for Sri Lanka at its upcoming board meeting on June 28. This would be the largest funding allocation for the country since the IMF bailout in March. 

 

 

Sri Lanka's economy, which experienced a significant contraction last year, is expected to shrink by 2% in 2023 before returning to growth in the following year. 

 

 

The World Bank funding will be provided in two tranches, with $500 million earmarked for budgetary support and an additional $200 million allocated to programs to assist the growing population of impoverished individuals. 

 

 

The disbursement of funds will be subject to the progress of Sri Lanka's debt restructuring and the first review of the IMF program.