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The Rs. 1bn will be allocated as an outright grant for rehabilitation and reconstruction in 2004, Niranjan Deva Aditya EU Parliamentarian said in a statement this week. rn

rnLast years EU budget for Sri Lanka was Rs. 2 bn. In addition Sri Lanka received Rs. 1.5bn in Aid of displaced people and Rs. 1bn under the Humanitarian Office Programme. rn

rnHuman rights received Rs. 500 mn, and the Rapid Reaction Mechanism a further Rs. 250mn. rn

rnThe EU also pledged US $ 300 mn at the Tokyo Conference earlier this year that is subjected to the completion of the peace process.
The European Union will make a no-strings-attached Christmas present of Rs. 1bn to Sri Lanka for rehabilitation and reconstruction of the war torn North and East peninsula.rnrn