Sri Lanka accelerates disaster relief as Prime Minister confirms compensation payments and transparent fund management
Sri Lankan Prime Minister Dr Harini Amarasuriya addresses Parliament on the Government's disaster relief and recovery programme, outlining progress on compensation payments, livelihood assistance and the transparent management of domestic and international disaster relief funds.
COLOMBO - Sri Lanka's Government has made significant progress in compensating communities affected by last year's devastating disaster, with financial assistance already reaching thousands of households, farmers and small businesses, Prime Minister Dr Harini Amarasuriya told Parliament.
Responding to questions on the Government's disaster relief programme and the management of relief donations, the Prime Minister said all necessary financial allocations had already been released to Divisional Secretariats to ensure compensation and recovery efforts continue without interruption.
She acknowledged that some delays had occurred due to technical and administrative issues but said relevant agencies had been instructed to minimise bottlenecks and accelerate the delivery of assistance.
The Government has already paid compensation for damage to vegetable, chilli, onion and paddy crops, while financial assistance has also been provided to families affected by loss of life, total property destruction and livestock losses.
Support has also been extended to help owners of small and micro enterprises resume business operations following the disaster.
Amarasuriya stressed that the Government remained committed to ensuring recovery assistance reached affected communities as quickly as possible while maintaining transparency and accountability throughout the process.
Addressing questions over the legal framework used during the emergency response, the Prime Minister clarified that neither the President nor the Secretary to the Ministry of Defence had issued a Gazette notification under the Disaster Management Act.
Instead, the Ministry of Defence issued a special administrative circular enabling the deployment of public officers on a 24 hour basis, allowing an "Extended Disaster Situation" to be declared from November 11, 2025.
She explained that the move was necessary because the institutional mechanisms established under the Disaster Management Act No. 13 of 2005 had not yet become fully operational when the disaster struck.
As a result, the President declared a State of Emergency under constitutional provisions and the Public Security Ordinance to facilitate an immediate national response.
The Prime Minister also addressed concerns surrounding financial donations received from local and international contributors.
She said all disaster related contributions had been deposited exclusively into Treasury controlled accounts, rejecting suggestions that funds had been directed to unauthorised accounts.
According to the Government, the Special Treasury Account has received approximately LKR7.6 billion (about US$25.3 million) in domestic donations together with US$11.5 million from international donors.
Amarasuriya said the funds would continue to be managed under the supervision of the Deputy Secretary to the Treasury and allocated according to national priorities, with a strong emphasis on transparency and accountability.
The resources will be used to continue providing relief to affected communities, restore livelihoods and rebuild damaged public infrastructure and essential services.
The Prime Minister also highlighted the challenges associated with permanent housing reconstruction, particularly for families whose homes were built on State land or in unauthorised locations.
Additional complications have emerged for residents living in landslide prone areas, where the National Building Research Organisation has recommended permanent relocation because of ongoing safety risks.
She said resolving land ownership issues and implementing long term resettlement programmes would likely take around one year.
In the meantime, the Government has introduced rental assistance for families who have permanently lost their homes, allowing them to secure temporary accommodation with relatives or in rented properties.
For those unable to access suitable housing, the Government has launched a Transitional Housing Project, which Amarasuriya said has already achieved considerable implementation progress.
The update comes as Sri Lanka continues rebuilding communities affected by the 2025 disaster, with the Government seeking to balance immediate humanitarian assistance with longer term recovery, infrastructure rehabilitation and permanent resettlement initiatives.