Press briefing of Cabinet Decision taken on 2011-06-22

Financial Assistance of Euro 35 million from AFD (Agence Francaise de Developpement) of France for the Implementation of Jaffna and Kilinochchi Water Supply and Sanitation Project

- the objective of this project is to improve the water supply in the Jaffna and Kilinochchi Districts and to provide sanitation infrastructure to the residents in the Jaffna Municipal Council area. France has agreed to provide Euro 35 million (US$ 48 million) to co- finance the project. Asian Development Bank has already agreed to provide US$ 90 million and the contribution of the Government of Sri Lanka will be US$ 26.04 million. The total cost of the project is US$ 164.04 million. In addition, the International Fund for Agricultural Development is to provide US$ 20 million for the downstream development of the Iranamadu Tank. The proposal made by H.E. the President to enter into a loan agreement for the purpose with the Investor was approved by the Cabinet.