Sri Lanka to start disaster recovery fund, World Bank to assess Ditwah damage

Monday December 1, 2025 6:07 pm

ECONOMYNEXT – Sri Lanka will set up recovery fund with joint public and private sector representatives, to rebuild infrastructure with the World Bank tasked with assessing the Cyclone damage, a statement from the President’s office said.

The government has begun discussions with the World Bank to prepare a detailed assessment of the damage across sectors and the financial requirements for reconstruction.

The World Bank has been commissioned to conduct the Global Rapid Post-Disaster Damage Estimation (GRADE).

The government expects to receive the GRADE assessment within two weeks.

The extend of the damage is far greater than what is visible on the surface, President had told meeting on Monday. The Treasury alone cannot bear the full financial burden of recovery.

Sri Lanka has already declared a disaster. A declaration of a disaster unlocks certain international funds, including the Central Emergency Response Fund of the United Nations.

“We can mobilise a substantial amount of funds required to rebuild our country,” President Dissanayake said in a national address on Sunday night.

“We are working very closely with friendly nations to secure their assistance.

“In addition, we are engaging with various international organisations to obtain their support. We are also reaching out to domestic business people and industrialists to contribute their assistance.”

Sri Lanka’s road network in the hill country was torn apart by landslides and debris avalanches, while many roads were washed away in the flood.

Power networks were also damaged. Vast amounts of farmland was inundated, the cost of which is currently unknow and there is little information on livestock losses.

Houses and shops were also inundated with food and other stocks. (Colombo/Dec02/2025)

Monday December 1, 2025 7:11 pm

ECONOMYNEXT – Sri Lanka Cabinet has approved a proposal to establish the ‘Rebuilding Sri Lanka’ Fund, aimed at rebuilding the country following the severe devastation caused by Cyclone ‘Ditwah’, the government said.

The cost of the damage due to the disaster, which is one of the worst natural disasters in Sri Lanka’s recent history, is yet to be know. However, some analysts estimate it much more than the rebuilding cost spent after Tsunami devastation in 2004.

The Fund is to be established as a statutory fund under the Presidential Secretariat and its Management Committee will comprise representatives from both the public and private sectors.

Anil Jayantha Fernando, Minister of Labour and Deputy Minister of Finance and Planning, will serve as the Chairman of the Committee, while Mr. G. M. R. D. Aponsu, Senior Additional Secretary to the President, will serve as the Convener.

The other members of the Committee are:

Hanif Yusuf, Governor of the Western Province and Special Representative of the President for Foreign Investments
Harshana Suriyapperuma, Secretary to the Ministry of Finance
Duminda Hulangamuwa, Senior Economic Adviser to the President
Sugeeshwara Gunawadhana, Director General at the Ministry of Foreign Affairs
Mohan Pandithage, Chairman, Hayleys Group
Krishan Balendra, Chairman, John Keells
Parakrama Dissanayake, Deputy Chairman and Managing Director, Aitken Spence
Ashroff Omar, Group Chief Executive Officer, Brandix
Ishara Nanayakkara, Executive Chairman, LOLC Holdings

The President’s Media Division (PMD) said the Management Committee will be empowered to ensure the effective administration of the Fund, including assessing requirements, setting priorities, allocating resources and disbursing funds for approved recovery activities.

Contributions to the fund may be made by any donor, local or overseas, either in Sri Lankan Rupees or in any foreign currency, to the following Bank of Ceylon account:

Account Name: Deputy Secretary to the Treasury
Account Number: 2026450
Bank: Bank of Ceylon, Taprobane Branch
Swift Code: BCEYLKLX

Account details for foreign currency deposits:

US Dollar (USD)
Bank: Deutsche Bank Trust Company Americas, New York, USA
Recipient Account Name: Central Bank of Sri Lanka
Account Number: 04015541
Routing Number: 021001033
SWIFT: BKTRUS33XXX

Euro (EUR)
Bank: ODDO BHF Bank, Frankfurt am Main, Germany
Recipient Account Name: Central Bank of Sri Lanka
Account Number: 0000739854
IBAN: DE39500202000000739854
SWIFT: BHFBDEFF500

Pound Sterling (GBP) – Account 1
Bank: HSBC Bank Plc, London, UK
Recipient Account Name: Central Bank of Sri Lanka
Account Number: 39600144
Sort Code: 40-05-15
IBAN: GB48MIDL40051539600144
SWIFT: MIDLGB22XXX

Pound Sterling (GBP) – Account 2
Bank: Bank of Ceylon (UK) Ltd, London, UK
Recipient Account Name: Central Bank of Sri Lanka
Account Number: 88001249
Sort Code: 40-50-56
IBAN: GB89BCEY40505688001249
SWIFT: BCEYGB2LXXX

Japanese Yen (JPY)
Bank: MUFG Bank, Tokyo, Japan
Recipient Account Name: Central Bank of Sri Lanka
Account Number: 653-0407895
SWIFT: BOTKJPJTXXX

Australian Dollar (AUD)
Bank: Reserve Bank of Australia
Recipient Account Name: Central Bank of Sri Lanka
Account Number: 81736-4
BSB: 092002
SWIFT: RSBKAU2SXXX

Monday December 1, 2025 6:05 pm

ECONOMYNEXT – Bybit, a cryptocurrency exchange said it is offering 100,000 dollars to Sri Lanka as humanitarian aid after the Indian Ocean island was hit by cyclone Ditwah.

Bybit claimed it was “in touch with the Central Bank of Sri Lanka” to donate 100,000 dollars for relief operations
.
“This collaboration ensures that assistance reaches those who need it most and aligns with national priorities during this critical moment,” the company said.

“As communities face the aftermath of Cyclone Ditwah, we stand in solidarity with them and are committed to contributing to relief and recovery efforts together with credible local partners such as the CBSL,” Nazar Tymoshchuk, Bybit’s Mini-Global Regional Manager was quoted as saying.

Sri Lanka’s central bank however does not endorse any crypto currency and has warned the public of the risks of the such instruments. But the agency acts for the government in administering certain foreign currency accounts.

Sri Lanka’s central bank fires salvo against cryptocurrencies

Sri Lanka planning to register cryptocurrencies providers

Some cryptocurrencies have become a speculative asset class as central bank produced currencies like the US produces commodity bubbles and there is unprecedented excess liquidity in money markets from the so-called single policy rate (floor rate systems).

While some cryptocurrencies like tether are supposedly hard pegged to the US dollar and can be used to settle cross border transactions, others have fluctuated too wildly to be very useful, though some appear to have anchors tighter than the US dollar. (Colombo/Dec01/2025)

Monday December 1, 2025 5:55 pm

ECONOMYNEXT – Sri Lanka’s rupee closed at 308.55/65 to the US dollar in the spot market Monday, weaker from 308.00/20 on Friday, dealers said, while bond yields edged up on the short end.

A bond maturing on 15.12.2026 was quoted flat at 8.20/30 percent.

A bond maturing on 15.09.2027 was quoted at 8.80/90 percent, up from 8.80/85 percent.

A bond maturing on 15.03.2028 was quoted at 9.15/25 percent, from 9.12/18 percent.

A bond maturing on 15.12.2029 was quoted at 9.53/65 percent, up from 9.50/55 percent.

A bond maturing on 01.11.2033 was quoted at 10.45/55 percent, up from 10.40/50 percent. (Colombo/Dec1/2025)

Monday December 1, 2025 4:23 pm

ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange (CSE) registered a two-month low, following the destructive Cyclone Ditwah, as selling pressure was seen in the market, brokers said.

“Market dropped by over 600 points, mainly due to the flood situation,” Ranjan Ranatunga, Assistant Vice President – Research at First Capital said.

Ranatunga said that investors are currently in an assessing stance. He believes this downtrend will continue.

“In my opinion, I think we will continue to see selling pressure,” he said.

The broader All Share Price Index (ASPI) closed 3.04 percent, or 690.76 points down at 22,022.06 while the more liquid S&P SL20 index closed 2.89 percent, or 181.16 points lower, at 6,085.87.

“Selling sentiment was seen across the board today,” Ranatunga said.

The CSE site did not list the shares that dragged down the ASPI on Monday.

However, construction sector shares attracted some investor interest due to possible reconstructions following the widespread damage caused by Cyclone Ditwah.

Tokyo Cement (Lanka) closed 6.90 rupees higher at 98.00, Access Engineering traded 2.40 rupees higher at 74.00, Kelani Cable rose 34.00 rupees to 1,139.50 and ACL Cables was 3.00 rupees stronger at 225.00.

“Turnover was little below the monthly average,” Ranatunga said.

Market turnover was 5.2 billion rupees. Meanwhile, the share volume was 236,404,106.

Equity markets in Asia traded mixed as most nations are suffering from a series of natural disasters.

Japan’s Nikkei 225 index was trading lower “hit bystronger yen and rising long-term yields as remarks from the Bank of Japan governor caused increased speculation that the central bank could raise interest rates this month,” Japan’s Mainichi newspaper said.

The index closed 1.89 percent lower at 49,303.28 on Monday.

Pakistan’s KSE 100 index climbed 0.85 percent higher to 167,985.23 on open.

Indian market ended lower on Monday as Cyclone Ditwah affected its southern areas.

“India’s equity benchmarks struggled to hold on to record highs on Monday and the rupee declined to an all-time low as investors worried that outflows might persist amid uncertainty over a trade deal with the United States,” Reuters said

Its Nifty 50 index moved 0.10 percent lower to close at 26,175.75, while the BSE Sensex traded 0.076 percent weaker at 85,641.90. (Colombo/Dec01/2025)

Monday December 1, 2025 3:20 pm

ECONOMYNEXT – Sri Lanka has granted a special one-month grace period for holders of driving licenses which are to expire from November 25-December 25 this year, Police said, as Cyclone Ditwah-related disasters have damaged public infrastructure making it difficult for them to renew licenses at the Department of Motor Traffic.

The Commissioner of Motor Traffic has informed that a special grace period has been granted for holders of driving licenses which expire from November 25, 2025 to December 25, 2025 for the renewal, the Police Media Division said in a statement.

Driving with a license expiring during this period will not be considered a violation of the law, it said. (Colombo/December 01/2025)

Monday December 1, 2025 3:08 pm

ECONOMYNEXT – The Ceylon Chamber of Commerce says it will proceed with its planned Sri Lanka Economic and Investment Summit as it would serve as an essential forum to discuss strategies and rebuilding.

“The summit now serves as an essential forum to collectively reflect on the road to recovery, discuss strategies to strengthen national resilience, and reaffirm our shared commitment to rebuilding a stronger and more stable Sri Lanka.”

The private sector has a critical role to play in this effort, the chamber said, will help by mobilising its networks and resources to contribute to long-term sustainable development.

The full statement is reproduced below:

Ceylon Chamber Affirms Support for National Recovery Efforts Following Cyclone Ditwah

The Ceylon Chamber of Commerce is deeply saddened by the devastation caused by Cyclone Ditwah, and our thoughts are with all individuals, families, and communities affected by this tragedy.

We mourn the loss of lives and acknowledge the immense hardship endured by thousands who have been displaced and whose livelihoods have been severely disrupted.

In the wake of this national crisis, the Chamber, together with the generous support of our members, has been working closely with Government agencies to coordinate urgent relief efforts.

The unwavering resilience of Sri Lankans is evident in moments such as these. It is a pivotal time for the nation to come together, pooling our collective strength to restore lives, livelihoods, and stability.

The Sri Lanka Economic and Investment Summit was originally designed as a platform to advance economic growth and investment.

In light of recent events, its purpose has taken on even greater meaning. The summit now serves as an essential forum to collectively reflect on the road to recovery, discuss strategies to strengthen national resilience, and reaffirm our shared commitment to rebuilding a stronger and more stable Sri Lanka.

Our priority is to support the country’s recovery and the restoration of communities and livelihoods.

The private sector has a critical role to play in this effort, and we remain steadfast in mobilising our networks and resources to contribute meaningfully to long-term resilience and sustainable development.

Whilst recognising the current situation, the Chamber has decided to proceed with the summit without any social events, and will donate all funds originally allocated for such activities to support relief efforts.

We believe that continuing with the summit in this revised format is essential to fostering the collaboration, investment, and policy dialogue needed to drive an effective and inclusive recovery.

We call upon all participants, Chamber members, and the public to join us in this collective national effort. Together, we can turn this moment of adversity into a powerful opportunity for renewal, resilience, and long-term progress for Sri Lanka. (Colombo/Dec1/2025)