Sri Lanka water tariff hike to unlock $200 mln ADB fund for budget support – minister

Sri Lanka cabinet’s decision this week to raise the tariff on water supply will unlock a $200 million funding from the Asian Development Bank (ADB) to be used by the government as the budget support, Minister of Water Supply and Estate Infrastructure said.

The cabinet on Monday approved a proposal to raise the water tariff and the move is expected to address a monthly loss of 2.8 billion rupees that has to be paid for interest payment for bank loans and 425 million rupees for already increased electricity prices.

“We have an ADB reform and through this ADB reform we could unlock $200 million dollars in a policy-based loan where they would be able to give it to the government as budgetary support And this would benefit the people,” Thondaman told a media briefing on Tuesday (18).

Read more on Economy Next