Liquid Lending

Dec 02, 2010 (LBO) – The Asian Development Bank (ADB) will provide 90 million US dollars in loans to help Sri Lanka restore water supply and sanitation infrastructure in the war-ravaged north, a statement said. The project, due for completion by February 2017, will help restore and modernise key infrastructure damaged by war or which deteriorated as a result of neglect mainly in the Jaffna Peninsula.

“Over extraction of groundwater, aquifers under threat from contamination, and the absence of effective water resources management present obstacles to development,” the ADB statement said.

“The government recognizes the project as a key part of its reconstruction program for the Northern Province,” said Ricardo Barba, Safeguards Specialist in ADB’s South Asia Department.

“The impact will be improved health and human development in urban areas of the Jaffna Peninsula for both current residents and returning internally displaced people.”

The project will rehabilitate and improve reservoir headworks, and construct a water treatment and distribution system serving the Jaffna and adjoining Kilinochchi districts.

The new water distribution system will provide access to household connections and