World Bank approves $700-mn aid for Lanka, biggest since IMF deal

Last Updated01/07/2023

The World Bank has approved $700 million in financing to help Sri Lanka to recover from the current economic crisis and provide relief to the poor and vulnerable people
This is done in order to Help it implement foundational reforms that restore macroeconomic stability and sustainability
To mitigate the impact of current and future shocks on the poor and vulnerable
Support an inclusive and private-sector-led recovery and growth path.
The World Bank also discussed a new Country Partnership Framework (CPF) for Sri Lanka
The Sri Lanka Resilience, Stability and Economic Turnaround (RESET) Development Policy Operation will support reforms that help improve economic governance, enhance growth and competitiveness, and protect the poor and vulnerable.
Through a phased approach, the World Bank Group's strategy focuses on early economic stabilization, structural reforms, and protection of the poor and vulnerable.
If sustained, these reforms can put the country back on the path towards a green, resilient and inclusive development.
A strong and engaged private sector is also crucial for Sri Lanka, especially in overcoming the economic crisis.

The World Bank Group is a unique global partnership of five institutions working for sustainable solutions that reduce poverty and build shared prosperity in developing countries.
The World Bank is one of the United Nations' specialized agencies.
It has 189 member countries including India
Its five Development Institutions
- International Bank for Reconstruction and Development (IBRD)
- International Development Association (IDA)
- International Finance Corporation (IFC).
- Multilateral Guarantee Agency (MIGA)
- International Centre for the Settlement of Investment Disputes (ICSID)
  - India is not a member of ICSID.

While the World Bank provides support to developing countries, the IMF aims to stabilize the international monetary system and monitors the world’s currencies.