Transcript Multilateral Donors - External Resources Department

“An Update on Foreign
Assistance”
Development Forum 2007
Sujatha Cooray
Director General
Department of External Resources
Ministry of Finance and Planning
Foreign Assistance at a Glance
Foreign Assistance received in 2006
accounted for:

17% of the Government expenditure

54% of Public investment

4.5% of GDP
reflecting the important contribution
towards the country’s development
efforts.
Foreign Assistance Mobilization-2006

Total commitments : US$ 1220 mn
Project grants
Project loans
US$ 195 mn
US$ 1025 mn
Major Sectors Financed During 2006
1.
Road Sector Development US$ 390 mn
2.
Power Sector Development US$ 160 mn
3.
4.
Water Supply & Sanitation US$ 150 mn
Education Development
US$ 80 mn
Foreign Aid Disbursements -2006

Total Disbursements by all development
partners in the year 2006 was US$
1052 mn which is the highest aid
disbursement. These include:
Project Loans
Programme Loans
Project Grants

US$ 722 mn
US$ 52 mn
US$ 278 mn
In addition, there was a capital market
borrowing of US$ 100 mn.
Foreign Assistance for the Next Three
Years 2007-2009

Project pipeline for the next three
years has been prepared in terms of
the Medium Term Budgetary
Framework developed within the
overall policy vision of “Mahinda
Chintana”
Foreign Assistance Mobilization
Framework




Growth Target of 8% in the next 6
years.
Significant up scaling of investments
to achieve the target.
Increase investment GDP ratio
gradually from 30% to 38% in ten
years.
External funding to finance part of the
Savings Investment gap while
maintaining debt sustainability.
Contd ………



Mobilization of funding for the development
projects in priority areas in line with
“Mahinda Chinthana-Vision for a New Sri
Lanka”
Broader consultative approach to ensure
new aid programmes are better targeted
and utilization is accelerated.
Investment is expected mainly in support
of infrastructure development programmes
envisaged in the “Mahinda Randora” and
make faster progress towards achieving
the Development objectives.
Major Projects 2007 - 2009
Major Projects in the pipeline for which we have
already entered into discussions with the
development partners to secure funding are;
Port Development




Colombo Port Expansion Project
Hambantota Sea Port Develop.
Oluvil Port Project
Rehabilitation of KKS Port
US$
US$
US$
US$
300
310
44
23
mn
mn
mn
mn
Contd…
Road and Railway Sector
Development




Greater Colombo Urban Transport
Project (Outer Circular Highway) Phase
1 – US$ 185 mn.
Greater Colombo Urban Transport
Project Phase 11 – US$ 150 mn.
Road Network Improvement Project –
US$ 150 mn.
Proposed Northern Highway to Jaffna US $ 250 mn
Contd.


Colombo- Katunayake Expressway
US $ 200 mn.
Improvement of Colombo – Matara
Railway line US $ 100 mn
Contd…
Power Sector


Construction of Kerawalapitiya Combined
Cycle Power Plant – US$ 210 mn.
Construction of Jaffna Power Plant –
US$ 20 mn.


North East Transmission Development
Project – US$ 30 mn.
Renewable Energy Development Project –
US$ 40 mn.
Contd …
Water Supply Sector







Water & Sanitation Sector Development –
US $ 90 mn.
Jaffna Water Supply – US $ 65 mn.
Negombo Water Supply Project – US $ 52 mn.
Greater Colombo Waste Water Management –
US $50 mn.
Greater Kurunegala Water Supply and Sanitation –
US $ 18 mn.
Secondary Towns Water Supply - phase 11 –
US $ 65 mn.
Ampara Water Supply - Phase III –US $ 92 mn.
contd…
Education Sector



Education Sector Development
–US$ 70 mn.
Infrastructure Improvement at South
Eastern University - US$ 9 mn.
Upgrading of Niyagama Technical College US$ 9 mn.
Fisheries Sector


Dickovita Fishery Harbour - US$ 60 mn.
Equipment for Fishery Harbours
- US$ 21 mn.
Total Aid Portfolio


These major projects together with all other
development projects for which we are
making progress in securing funding amount
to US$ 4.5 billion.
These expected commitments will be
planned annually, as given below:
2007
2008
2009
: US$ 2.3 billion
: US$ 1.8 billion
: US$ 0.4 billion
Contd…
Committed Funds available for projects
being implemented by end 2006 :
US$ 4.5 billion.

Therefore, total aid portfolio to be utilized
during the next 3-5 years would be
around US$ 9 billion.
Conclusion
“ We, both the government and
development partners should put our
best efforts to make this positive
outlook a reality”
Thank You