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Largest Japanese Development Package Committed for Sri Lanka

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Largest Japanese Development Package Committed for Sri Lanka

The 42nd Official Development Assistance (ODA) loan package from Japan to Sri Lanka was committed by the Japan International Cooperation Agency (JICA) on 28th of March 2012.

The total package amounting to Japanese Yen 42,477 million is the largest in the history of bilateral cooperation between Japan and Sri Lanka.


Project Information

I) Bandaranaike International Airport Development Project Phase II

Executing Agency: Airport and Aviation Services (Sri Lanka) Limited Loan Amount: JPY 28,969 million

The Bandaranaike International Airport Development Project (Phase II) aims to further support Sri Lanka to realize the goal of becoming a commercial aviation hub in the Asian region, and further catalyze socio-economic growth.

The project includes the construction of a new split level passenger terminal building with vertically separated arrival and departure areas consisting of a total floor area of about 90,000 sqm, remote apron with 9 aircraft parking stands and taxiways and supplementary improvements such as elevated roadways.

With the proposed expansion, the passenger handling capacity of BIA will be doubled to 12 million per annum and ease the air traffic movement. The cargo handling capacity will also be increased to 500,000 metric tons from present capacity of 250,000 metric tons.

Work under the project is planned to be completed by end of 2015.

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II) Project for the improvement of Basic Social Services Targeting Emerging Regions

Executing Agency: National Planning Dept., Ministry of Finance & Planning Implementing Agencies: Ministry of Health & Ministry of Local Government and Provincial Councils Loan Amount: JPY 3,959 million

JICA, as a major contributor towards the health sector development in Sri Lanka, enhances its assistance towards the prevention of Non Communicable Diseases (NCDs) through the new project which will comprise of strengthening of the State Pharmaceutical Manufacturing Corporation (SPMC), strengthening of four secondary care institutions (Base hospitals of Galgamuwa, Kalawanchikudy, Teldeniya and Warakapola) and supplying of 124 ambulances.

The secondary health institution survey undertaken jointly by the Ministry of Health and JICA revealed that a sizable investment is required to improve the currently sub-standard facilities of the underutilized hospitals to regain confidence of the people. This would not only bring necessary health services closer to people but also contribute to normalisation of the curative service networks by reducing the excessive demand now seen at the tertiary level institutions. Further it is necessary to increase national production of generic drugs to ensure the steady supply of essential drugs which are mostly being imported at present. Such importations have caused occasional shortages of drugs at hospitals and the project aims to reduce the current dependency on imports.

Since year 2008, JICA has been also providing technical assistance to the Ministry of Health, through “the Project on Health Promotion and Preventive Measures of Chronic NCDs”, which aims at developing effective and efficient implementation models to prevent and control NCDs.

III) Habarana-Veyangoda Transmission Line Project

Executing Agency: Ministry of Power & Energy
Implementing Agency: Ceylon Electricity Board
Loan Amount: JPY 9,573, million

Low-loss conductor technology from Japan is expected to be introduced to Sri Lanka for the first time in constructing the Habarana – Veyangoda transmission line, which will primarily assist in transmitting the 500 MW of electric power to be generated by the proposed Trincomalee Coal Power Plant.

This technology will help to achieve reduction of the transmission loss rates and mitigation of CO2 emissions and environment pollution.

The main components of the project include construction of 220 kV, 148km double conductor double circuit low loss transmission line from Habarana to Veyangoda and construction of new Habarana switching station.

The work under this project is planned to be completed by Year 2016.

Largest Japanese Development Assistance Package in History Committed for the Development of Sri Lanka | Asian Tribune

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