South Asia - Tsunami Recovery in Sri Lanka: Three Years After

World Bank Response

December 19, 2007 - The World Bank’s support to Sri Lanka after the tsunami of December 26, 2004, was to mitigate the immediate suffering; assist people to regain their livelihoods; restore basic services to the affected population; and initiate the recovery and reconstruction process.

Total World Bank Commitment: US$150 million

- Owner-Driven Housing Program: US$65 million
- Livelihood Support: US$34 million
- Roads: US$33 million
- Health: US$8 million
- Capacity Building: US$5 million
- Contingency: US$4 million

Disbursed as of November 2007: US$142 Million

The International Development Association (IDA), the concessionary lending branch of the World Bank, is also administering a US$25 million grant from the International Federation of Red Cross (IFRC) for housing reconstruction.

IDA-Financed Tsunami Operations

Despite the overall differential spatial and community impacts of the Sri Lanka’s Tsunami Reconstruction Program, the implementation effectiveness and impact of the IDA-financed Tsunami Emergency Reconstruction Program (TERP) have been satisfactory.

A significant share of the IDA support from the Tsunami Emergency Reconstruction Program I and II, with US$75 Million each, has helped to restore livelihoods of nearly 100,000 families and in reconstructing about 44,000 damaged houses, implemented through the homeowner-driven reconstruction model. Together, the program has benefited directly more than 300,000 people. In addition, IDA supported reconstruction of health and road infrastructure damaged by the tsunami.

As of March 2007, about 97 percent of the partly damaged houses and 62 percent of the fully damaged houses in seven districts have been completed. The remaining houses are under various stages of completion. The reconstruction program in the North and East is likely to take some more time due to the ongoing conflict-related issues.

Rehabilitation of the nearly 114 KM of tsunami-damaged southern coastal road from Kalutara to Matara has been completed.

Project Status

The Tsunami Emergency Reconstruction Program I (TERP I) ended on March 31, 2007. At completion, there are still about 15,000 families in need of permanent housing. These are primarily landless families, and due to this increase in housing needs, with only about US $8 million remaining, additional funding would be required to complete all units of the housing program. (Read More »)

Photos by Chulie De Silva, External Affairs Officer, Small Grants Program Coordinator of the World Bank, Sri Lanka.

Additional Resources

- One Man's Journey Since December 2004
Despite losing 4 family members, Mohammed Nazeer kept his sense of humaor and thinks of a bright future. (Slide Show »)

- Business Recovery in Sri Lanka
A Livelihood Rebuilt by a Passion for Education: A Sri Lankan Couple Get Back to Business in a Week. (Read More »)

- Blog - End Poverty in South Asia
Shanta Devarajan, World Bank Chief Economist for South Asia, shares insights about the fight against poverty in the region. (Read More »)

- South Asia: Development Data
A wide range of social and economic measures on South Asia, including links to the World Bank's most important online development databases. (Read More »)

- South Asia: Analysis and Research
Compilation of all the World Bank's publications on South Asia, with 'search' options and links to analysis and research on other South Asian countries. (Read More »)

- World Bank Program in South Asia
Launching pad to all information on World Bank activities in Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka. (Read More »)