Sri Lanka Partners with ADB to Transform Rural Roads

COLOMBO (News 1st); The Government of Sri Lanka has successfully finalized negotiations with the Asian Development Bank (ADB) to mobilize a loan of USD 90 million under the Second Integrated Road Investment Program (iRoad 2) – Tranche 5.

The agreement aims to enhance road transport efficiency, improve connectivity between rural communities and key socioeconomic hubs, and strengthen the institutional capacity of national road agencies.

Under this initiative, approximately 500 kilometers of rural access roads will be upgraded to all-weather, climate-resilient standards, ensuring inclusivity for elderly citizens, women, children, and persons with disabilities.

Additionally, the program will rehabilitate 21 kilometers of national roads and maintain 100 kilometers of rural access roads.

The Ministry of Transport, Highways and Urban Development will serve as the Executing Agency, while the Road Development Authority (RDA) will act as the Implementing Agency.

The Loan Agreement was formally signed on 31 October 2025 at the General Treasury, Colombo, by Dr. Harshana Suriyapperuma, Secretary to the Ministry of Finance, Planning and Economic Development, on behalf of the Government of Sri Lanka, and  Takafumi Kadono, Country Director of ADB’s Sri Lanka Resident Mission, on behalf of the Government of Sri Lanka, and Takafumi Kadono, Country Director of ADB’s Sri Lanka Resident Mission, on behalf of the Asian Development Bank.