First Dip

The World Bank is expected to release the first US$ 100 mn tranche from its poverty reduction strategy to the government in early June.
The funds come under the broader agenda of the banks country assistance programme for US$ 800 mn spread over a four-year period. rn

rnAnnouncing its largest ever aid package to Sri Lanka on Wednesday, the bank said a bulk of the funds consisting grants and concessionary loans will also go towards budgetary support.rn

rnThe bank said its financial help would cover North East reconstruction and rehabilitation work as well as supporting the governments efforts to improve the financial sector, utilities and regulatory capacity.rn

rnMeanwhile, talks with the government and the IMF for a bigger US$ 560 mn long-term poverty reduction and growth facility or PRGF will take place on April 18.rn

rnIf a deal is struck at the meeting, the first tranche of the loan could arrive as early as June. rn

rnA bulk of IMF and World Bank funds are earmarked for budgetary support. U