The European Investment Bank will soon be providing EUR 50M to support improvement and expansion of sewage networks across Colombo. The new loan will help Colombo Municipal Council to achieve its goal of providing full sanitation coverage to benefit people living and working in the greater Colombo area. The new EIB loan is European Investment Bank’s first ever support for water investment in Sri Lanka and the first loan for public sector investment agreed with the new post civil-war government.
“New support from the European Investment Bank will help unlock essential new investment to improve sanitation in Colombo. I look forward to strengthening cooperation between the EIB and Sri Lanka in the years to come.” confirmed Ravi Karunanayake, Minister of Finance of Sri Lanka following his meeting in Brussels with senior European Investment Bank officials responsible for lending in South Asia.
The new water investment program will include provision of a new sewage network in currently un-served areas of Kirillopone. Under the initiative a new wastewater treatment facility will also be built to reduce pollution at the Wellawatta sea outfall.
The new European Investment Bank loan to the Government of Sri Lanka will be used to finance investment work being undertaken by the Colombo Municipal Council. The Asian Development Bank will also support the water investment project and this new initiative marks the first time that the European Investment Bank has financed a project alongside another International Financial Institution in Sri Lanka.