World Bank Gives $50 Million to Sri Lanka to enhance public service and digital infrastructure

The World Bank’s Board of Executive Directors has approved a $50 million financing package for the Sri Lanka Digital Transformation Project, aimed at modernizing public services, strengthening digital infrastructure, and supporting innovation-led economic growth.

The initiative seeks to enhance the accessibility, transparency, and efficiency of government services while creating favourable conditions for private-sector development in the country’s technology ecosystem.

Digital Infrastructure Upgrade

The project will support the rollout of several key digital public platforms, including:

Training programs will be introduced to help citizens and public servants adapt to these digital tools, ensuring broader and more confident use of online services.

Boost to Technology and Start-up Sector

Beyond public service improvements, the project also aims to strengthen Sri Lanka’s technology sector. A digital-startup accelerator will be established to promote innovation and support entrepreneurship, with a special focus on female-led start-ups. Mid-sized IT firms will also receive targeted assistance to expand globally and attract international investors. These interventions are expected to mobilize approximately $10 million in private investment over time, contributing to job creation and higher IT export revenues.

Strengthening Emergency Response Systems

Recognising Sri Lanka’s rising vulnerability to climate-related disasters, the project will enhance the country’s digital readiness for emergencies. Improved systems for real-time data sharing, inter-agency coordination, and digital service continuity are expected to strengthen national disaster response capabilities.

Implementation and Alignment with National Goals

The project will be implemented by GovTech Sri Lanka (Pvt) Ltd in coordination with the Ministry of Digital Economy. It aligns with Sri Lanka’s broader national development agenda and the World Bank Group’s Country Partnership Framework, which emphasises technology-driven public sector reforms and inclusive growth.

World Bank Country Manager for Sri Lanka and Maldives, Gevorg Sargsyan, stated that digital transformation has the potential to significantly improve service delivery and unlock new economic opportunities. Senior Digital Specialist Anna Metz added that a stronger IT sector and improved digital governance will reinforce each other as the country advances towards a modern digital economy.

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