Nearly all communities affected by Cyclone Ditwah in Sri Lanka suffered damage to homes, roads and other critical infrastructure, according to a new United Nations Development Programme (UNDP) assessment released on Wednesday, underscoring the scale of recovery needs and the urgency of accessible financing for the most vulnerable.

The qualitative assessment, based on key informant interviews with 510 local officials, business leaders, and community representatives across 85 divisional secretariat divisions in the 22 most affected districts, found that 95% of respondents reported damage to residential, transport, industrial or community infrastructure within their area, with housing and roads most frequently cited.

Cyclone Ditwah struck Sri Lanka on 26 November, 2025, and is the country’s deadliest disaster since the 2004 tsunami. An initial UNDP geospatial analysis, released in December 2025, estimated that floodwaters inundated nearly 20% of the country’s land area, exposing approximately 2.3 million people.  Building on this analysis, the qualitative assessment findings point to deep and widespread recovery needs, with many communities lacking the materials, labour, and financing required to rebuild.

“We commend the Government of Sri Lanka’s announcement on plans to provide LKR 95 billion in support to MSMEs, including a 3% concessional loan scheme, which is a crucial step in accelerating recovery. At the same time, it is essential that we prioritise support for the many that operate outside formal systems—those who often remain unseen yet form the backbone of the local economy,” said Azusa Kubota, UNDP Resident Representative in Sri Lanka.

“The RAPIDA assessment underscores the importance of moving beyond short-term humanitarian assistance toward a comprehensive approach to early recovery and resilience-building. This is vital to ensure vulnerable populations do not fall back into poverty and get trapped in the cycle. Investing in recovery efforts that strengthen local economies—including targeted support for the informal sector—will be central to building disaster resilience and secure sustainable livelihoods for all.”

UNDP’s assessment highlights widespread economic fallout. A large majority of respondents (93%) reported that livelihoods had been affected in their area, citing crop and livestock losses, job losses and business closures, including in the informal sector, which employs a large share of Sri Lanka’s workforce. Key recovery needs include support for micro enterprises, access to low interest loans and capital for small businesses to rebuild their infrastructure and stocks.

More than half of those interviewed reported that vulnerable groups, such as older people, persons with disabilities and female-headed households, were among those affected. The most common coping mechanisms included government aid or support (reported by 76% of respondents), followed by assistance from international organisations at 45%, and informal lending at 40%. These patterns point to rising household debt stress, with implications for both household welfare and the pace of recovery for micro and small enterprises.

Respondents also identified shortages of construction materials, limited availability of skilled labour, and funding constraints as obstacles to rebuilding damaged infrastructure, while citing delays in approvals and weak coordination between institutions as slowing recovery efforts.

Environmental and health risks emerged as additional concerns, with local officials reporting water contamination, soil erosion, and damage to ecosystems, pointing to longer-term climate and public health impacts.

Sri Lanka, like other countries in South Asia, is increasingly exposed to extreme weather events linked to climate change, including floods, cyclones and prolonged droughts.

UNDP said the findings highlight the need for continued support to restore infrastructure and livelihoods, particularly for informal workers and small businesses, while strengthening the climate and disaster resilience of enterprises and industries as the country transitions from emergency relief to recovery and reconstruction.