Sri Lanka Announces Major Aid Package as Cyclone Rains Continue

Disaster-hit Sri Lanka has announced a substantial compensation plan to rebuild homes damaged by a deadly cyclone, as the island braces for further flooding and landslides.

The government has confirmed 607 deaths, with 214 people still missing and feared dead, in what President Anura Kumara Dissanayake described as the country’s most challenging natural disaster. More than two million people, nearly 10 percent of the population, have been affected.

According to a finance ministry statement issued late Friday, survivors will be eligible for up to 10 million rupees, equivalent to around $33,000, to buy land in safer areas and construct new homes. The government will also provide one million rupees in compensation for each person killed or left permanently disabled.

The Disaster Management Centre said more than 71,000 houses were damaged, including nearly 5,000 that were completely destroyed in last week’s floods and landslides. Around 150,000 people remain in government shelters, down from a peak of 225,000.

Meanwhile, the International Monetary Fund said it was considering Sri Lanka’s request for an additional $200 million, on top of the $347 million tranche the country is due to receive this month. The IMF said it remained closely engaged with Sri Lankan authorities during the recovery period.

Cyclone Ditwah struck as Sri Lanka was emerging from its worst economic crisis in 2022, following a four-year, $2.9 billion bailout programme agreed with the IMF in early 2023. President Dissanayake told parliament the economy had recovered but could not handle the latest shock alone.

More rainfall is expected in many areas, including the hard-hit central region, raising fears of further landslides and slowing clean-up efforts. Authorities have advised evacuees not to return home, and a fresh landslide warning was issued for new areas on Friday.

Khaborwala/SS