Cabinet has approved the signing of a loan agreement with the Asian Development Bank (ADB) to implement a sustainable tourism development programme.
The ADB has agreed to extend a $100 million facility comprising two components: a $70 million policy-based loan and an investment component aimed at upgrading Sri Lanka’s tourism sector.
Funds under the investment component will be channelled into enhancing tourism potential in Trincomalee and Dambulla, including Sigiriya, by improving infrastructure, managing visitor traffic, boosting regional economic benefits, and encouraging longer stays.
The Ministry of Urban Development, Construction and Housing will serve as the executing agency for projects under this component.
The Cabinet decision followed a joint proposal by the Ministers of Tourism and Urban Development.
