Further $5.75 mln from US to counter Sri Lanka’s economic crisis

The US government on Tuesday announced a third tranche of new funding to address the immediate needs of people hardest hit by the economic crisis in Sri Lanka. This humanitarian assistance, totaling $5.75 million, will provide cash assistance, short-term jobs, and agriculture supplies such as seeds directly to crisis-affected people to meet their basic needs, the US embassy said in a statement on Tuesday. 

This new grant funding through the U.S. Agency for International Development (USAID) builds on last week’s announcement of $6 million in grants through USAID and $120 million in new loans through the Development Finance Corporation (DFC) to meet the needs of Sri Lankans during the economic crisis.  

“The recent United Nations appeal to international donors warned of an ‘unfolding multidimensional food security crisis’ in Sri Lanka,” explained US Ambassador to Sri Lanka Julie Chung. “The new assistance will address some of those complex issues.  We are working hard to ensure that these funds directly reach the Sri Lankans who have been most severely affected by this crisis.”

The funding will also support microenterprises in communities that traditionally experience high poverty rates and are especially impacted by the crisis.  In addition, it will provide for community-based disaster management committees to help prepare for, respond to, and ultimately recover from crises. 

Over the coming months, the United States plans to add to its significant ongoing investments and assistance projects in Sri Lanka that help the people of Sri Lanka meet their immediate and long-term needs.