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World Bank’s Local Development Project transforms poorest provinces with infrastructure and jobs
Urbanization, when well-planned and managed, can act as a powerful tool for sustainable development, driving economic growth and creating job opportunities. However, rapid urban expansion also brings forth challenges such as ensuring inclusivity, providing essential services, and fostering environmental sustainability, said a World Bank report on Friday.
As cities continue to be key drivers of global growth—contributing over 80% of global GDP—there is a need for innovative projects that ensure that all citizens benefit from urbanization. Sri Lanka’s Local Development Support Project (LDSP) is playing a crucial role in addressing these challenges, particularly in the nation’s most disadvantaged regions.
Since its launch in 2019, the LDSP has empowered local authorities in Sri Lanka’s poorest provinces, focusing on four key regions: the Northern, Eastern, Uva, and North Central Provinces, which account for about one-third of the country’s poor population. These provinces have faced a multitude of challenges, from the long-lasting effects of the civil war to the economic setbacks caused by the COVID-19 pandemic.
The project’s mission is simple but impactful: to enhance local services, generate employment opportunities, and improve the quality of life for citizens in these underdeveloped regions. The World Bank provided financial support, alongside expert guidance and training to local authorities, strengthening their capacity to effectively manage community services.
Through LDSP, over 2,000 sub-projects have been implemented across 134 local authorities, benefiting more than 1 million people, including over 600,000 women. These initiatives have improved infrastructure, such as the construction of 70 kilometers of local roads, connecting communities to vital services like schools, hospitals, and job opportunities. The project also facilitated the development of eight kilometers of drainage systems, 30 daycare centers, 34 health centers, and 132 libraries, serving as cultural hubs and fostering social inclusion.
One notable success story is the Katupathwewa water supply project in the Anuradhapura District. S. D. Swarnalatha, a local beneficiary, explained, “Previously we only received water once every two days and had to travel long distances to get it. Now, we get piped water 24 hours a day.” Such projects not only enhance daily life but also provide local communities with access to basic services that have been previously out of reach.
The project also focuses on local economic development. It has generated 2,000 new jobs for women-headed households and marginalized groups and created 200 public markets, connecting vendors with customers and creating a space for entrepreneurship.
The key to LDSP’s success is its participatory approach, where local communities collaborate with authorities to identify and prioritize needs. Performance-based funding, a unique feature of the project, ensures that local authorities are held accountable for the progress they make. In fact, 49% of local authorities met their revenue goals in 2023, compared to just 38% in 2022. Furthermore, the adoption of ICT tools for revenue collection saw a significant increase, with 63% of authorities using online payment systems in 2023, up from 37% the year before.
The success of the LDSP has demonstrated the potential of inclusive development to uplift marginalized communities and create balanced growth across the nation. In 2024, Sri Lanka’s government adopted this model as part of its new national strategy, offering performance-based funding to 54 additional local authorities.
Sri Lanka is not alone in facing the challenge of urbanizing its most underdeveloped regions. India’s Uttar Pradesh state, home to world-famous tourist destinations such as the Taj Mahal, also struggled to translate its rich cultural assets into broad-based economic prosperity for its local communities. The Uttar Pradesh Pro-Poor Tourism Development Project, launched in 2018, employed a pro-poor tourism model that focused on benefiting local artisans and small businesses. The project included investments in infrastructure, such as roads, water supply, and solid waste management, while creating jobs for over 16,000 individuals, including 7,476 women.
Similar to Sri Lanka’s LDSP, the Uttar Pradesh project used a community-centered approach to foster sustainable and inclusive urban growth, ensuring that the economic benefits of tourism reached the local poor. The project’s success has led to the adoption of its model in the state’s new Tourism Policy 2024, with further investments planned to enhance tourism’s role in local development.
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Govt. urged to take action against deputy minister
Allegation of doing business with state:
Civil society activist Oshala Herath has said that regardless of the political party one represents, all members of Parliament should abide by the law of the land. Herath said so when The Island sought his response to a report that he was planning to move court against Deputy Minister Eranga Weeraratne, Deputy Minister of Digital Economy, accused of holding the top positions at Omobio (Pvt.) and Eimsky Business Solutions (Pvt.) Ltd., at the time of the nominations, and took oaths as a National List MP of the NPP government.
President Anura Kumara Dissanayake is the Minister of Digital Economy, in addition to being Minister of Defence and Finance.
Herath is the Chairman of Abhinawa Niwahal Peramuna. Herath, whose legal challenge to SJB MP Diana Gamage over her citizenship issue, led to her removal from Parliament by the Supreme Court on 08 May, last year. He said the latest case underscored the responsibility on the part of political parties to ensure transparency in the nomination process as well as in the finalisation of National List.
Herath pointed out that the court rulings on petitions filed by him against two serving MPs were pending. He moved court against Jaffna District Independent MP Ramanathan Archchuna for handing over nominations to contest the 2024 November parliamentary elections without resigning from his post as a government medical officer. He also moved court against Minister of Rural Development, Social Security and Community Empowerment, Dr. Upali Pannilage, alleging that he had been an employee of the University of Ruhuna at the time he was declared an MP and subsequently appointed as a Cabinet Minister.
Our efforts to contact Deputy Minister Weeraratne were in vain. Our calls went unanswered.
Pointing out that there were many attorneys-at-law in the current Parliament, Herath emphasised the responsibility on their part to take up the issue. The Speaker should, on his own, inquire into such allegations in addition to the Parliamentary Privileges Committee stepping in, Herath said. Responding to another query, Herath said that such violations as well as cases of conflict of interests were far more serious than the recent controversy over NPP National List MP Asoka Ranwala’s educational qualifications.
SJB MP Ajith P. Perera told The Island that the Deputy Minister concerned admitted in Parliament that he had held top posts in the companies mentioned at the time he took oaths as an MP. Therefore, there couldn’t be any ambiguity with regard to his fault. Perera said that the conflict of interest issue involving NPPer was far more serious.
Referring to the issue at hand that had been first raised by SJB lawmaker Amila Prasad Siriwardena in Parliament during committee stage of the debate on the 2026 Budget, Attorney-at-Law Perera said that Weeraratne’s companies were engaged in mega business deals with the government. Declaring that they had secured contracts for government projects since 2019, Perera said that one of the companies Weeraratne was involved in had recently won a major contract from the incumbent government regarding the electronic ticketing system.
Kalutara District MP called for a comprehensive inquiry into the issue as the NPP had come to power, accusing all other political parties of waste, corruption, irregularities and mismanagement of state funds. MP Perera queried whether the current dispensation followed proper procedures in selecting Weeraratne’s company for the ticketing project
Both Herath and Perera urged the JVP and NPP to look into what they called the Weeraratne affair.
Over the years, several MPs had been disqualified to hold parliamentary seats. Dr. Rajitha Senaratne is one of them. When the Court of Appeal dismissed Dr. Senaratne from Parliament for being a supplier to the government, Ranil Wickremesinghe brought him back to Parliament, through the National List.
MP Perera said that since the last parliamentary election, the NPP had been embroiled in many controversies, including the release of 323 containers from the Colombo Port, in January this year, followed by signing of seven Memorandums of Understanding (MoUs)/agreements with India in April.
By Shamindra Ferdinando
News
India sends stock of life-saving medicines
The government has appealed to India for immediate help to overcome the serious shortage of life-saving drugs and injections.
The Sri Lankan High Commission in New Delhi confirmed the appeal made by the government. The following is the text of statement issued by the Sri Lankan mission in New Delhi: “The Foreign Secretary of India, Vikram Misri, over the weekend handed over a consignment of urgently required essential medicines to Sri Lanka’s High Commissioner to India, Mahishini Colonne, in New Delhi. The assistance, extended in response to a request from the Government of Sri Lanka, forms part of Operation Sagar Bandhu, India’s humanitarian mission supporting Sri Lanka’s relief, recovery, and reconstruction efforts following the devastating Cyclone Ditwah.
The consignment consists of over 400 boxes of life-saving medicines and injections, which will be airlifted to Colombo by an Indian Air Force C-17 aircraft, alongside further additional relief assistance from India.

Deputy Indian High Commissioner Pandey shaking hands with Health Minister Dr. Nalinda Jayathissa
Foreign Secretary Misri reiterated the condolences of the Government and people of India for the tragic loss of lives and the extensive damage to infrastructure caused by the Cyclone. He reaffirmed India’s steadfast commitment to supporting Sri Lanka’s immediate humanitarian needs as well as rebuilding and reconstruction efforts. He also highlighted India’s readiness to work with Sri Lanka on a mix of initiatives tailored to the needs of affected communities.
High Commissioner Colonne conveyed the sincere appreciation of the President, Government, and people of Sri Lanka for India’s timely, continuous, and sustained support, and handed over to the Foreign Secretary, a letter of gratitude from the President of Sri Lanka to the Prime Minister of India.
Describing the extensive nature of the damage, the High Commissioner appreciated the ongoing and consistent engagement of the Indian High Commission in Colombo, in collaboration with government officials and local authorities in coordinating relief, rescue, and recovery efforts.

SLAF personnel unloading medicine from IAF transport plane
The High Commissioner also requested India’s support in sharing its expertise and leadership in enhancing disaster-response capabilities and disaster-resilience frameworks, especially lessons from Odisha and Andhra Pradesh, both globally recognized for their advanced disaster resilience frameworks. Apart from this support that is under discussion, the New Delhi-based Coalition for Disaster Resilient Infrastructure (CDRI) has also been requested to undertake a visit to Sri Lanka to explore avenues for strengthening Sri Lanka’s disaster resilient infrastructure capacities. Noting the importance of having an effective and real-time warning system, efforts are being made to deploy a team to explore the establishment of an early warning system that would provide real-time geo-targeted alerts to citizens.
The High Commissioner reiterated Sri Lanka’s gratitude to the Government and people of India for their continued solidarity under Operational Sagar Bandhu, reaffirming the strength of the longstanding partnership between the two nations.”
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George Keyt Foundation contributes to national disaster relief efforts
The George Keyt Foundation (GKF) has extended meaningful support to the Government of Sri Lanka’s disaster relief efforts following the severe devastation caused by Cyclone Ditwah.
The text of the press release issued by the GKF: “In 2023, the Foundation undertook its first major fundraiser in recent years by issuing 30 numbered limited edition prints of Kangodi Rangi, a painting by George Keyt entrusted to the Foundation. Twenty-eight prints were acquired by donors to support charitable causes, while another was gifted to the President’s collection. Print Number 1 of 30 was retained to support the Foundation’s long-term priorities.
In light of the unprecedented impact of Cyclone Ditwah and the urgent national need for disaster assistance, the trustees unanimously resolved to seek a donor for Print Number 1 of 30, with clear disclosure that the proceeds would be channeled directly to the Government’s disaster relief programme. This appeal received an immediate response, resulting in a private donation of Rs. 3 million.
The contribution was formally handed over to Prime Minister Harini Amarasuriya for utilisation in the Government’s ongoing relief and recovery efforts.
The George Keyt Foundation is honoured to support the people of Sri Lanka at this critical moment and reaffirms its commitment to serving national needs while preserving and promoting the artistic legacy of George Keyt.
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