India has pledged $450 million to help Sri Lanka recover from the devastating damage caused by Cyclone “Detwah,” it was announced on Tuesday.
The cyclone, which struck the South Asian island nation last month, resulted in the deaths of more than 640 people. The World Bank estimated the damage at around four billion dollars, equivalent to 4% of the country’s GDP.
The cyclone’s impact affected over two million people, with local officials describing it as one of the worst natural disasters in the country’s history. During a visit to Sri Lanka, it was stated that a message from the Indian Prime Minister was delivered to Sri Lankan President Anura Kumara Dissanayake, which included the pledge of a “$450 million reconstruction package.”
“Concessional Credit Lines”
It was explained at a press conference that $350 million of this package would be in the form of “concessional credit lines,” with $100 million as grants. It was confirmed that 1,100 tons of relief materials were sent to its southern neighbor immediately after the disaster, and other ways to mitigate losses, including encouraging Indian tourism to Sri Lanka, would be considered.
Cyclone “Detwah” struck Sri Lanka while the country was still recovering from its worst economic collapse in history in 2022, when its foreign exchange reserves ran out before it could pay for essential imports like food, fuel, and medicine.
The local economy regained stability following a $2.9 billion rescue package from the International Monetary Fund, which was approved in early 2023.
India
India is a South Asian country with one of the world’s oldest civilizations, tracing its roots to the Indus Valley Civilization around 2500 BCE. Its long history includes the rise of major empires, the spread of religions like Hinduism and Buddhism, British colonial rule, and its emergence as the world’s largest democracy after gaining independence in 1947.
Sri Lanka
Sri Lanka is an island nation in South Asia with a rich history dating back over 3,000 years, featuring ancient kingdoms like Anuradhapura and Polonnaruwa. It is renowned for its cultural and religious sites, including the sacred city of Kandy and the iconic Sigiriya Rock Fortress. The country’s diverse heritage reflects influences from Sinhalese, Tamil, colonial, and Buddhist traditions.
Cyclone Detwah
Cyclone Detwah is a large, natural lagoon located on the island of Socotra, Yemen, renowned for its stunning turquoise waters and white sand dunes. Historically, it has served as a vital fishing and gathering site for local communities for centuries. Today, it is recognized as a UNESCO natural heritage site within the Socotra Archipelago, prized for its unique biodiversity and scenic beauty.
World Bank
The World Bank is an international financial institution founded in 1944 at the Bretton Woods Conference, with its initial mission focused on the post-World War II reconstruction of Europe. Today, its primary goal is to provide loans, grants, and expertise to developing countries for capital programs aimed at reducing poverty and fostering sustainable economic development.
Indian Prime Minister
The Indian Prime Minister is the head of government and the chief executive of the Republic of India, an office established after the country’s independence from British rule in 1947. The first Prime Minister was Jawaharlal Nehru, and the position is central to the parliamentary democratic framework outlined in the Indian Constitution.
Sri Lankan President Anura Kumara Dissanayake
Anura Kumara Dissanayake is the current President of Sri Lanka, having taken office in 2024. He is a longtime politician and the leader of the leftist Janatha Vimukthi Peramuna (JVP) and the National People’s Power (NPP) coalition, marking a significant shift in the country’s political landscape.
International Monetary Fund
The International Monetary Fund (IMF) is an international financial institution established in 1944 at the Bretton Woods Conference to promote global monetary cooperation and financial stability. Its primary functions include providing policy advice, financial assistance, and technical support to member countries facing economic difficulties.
