The Australian Government will provide an estimated $35.6 million (LKR 3.2 billion) in development assistance to Sri Lanka in 2009-10. The announcement was made as part of the Australian federal budget delivered recently which included a total of $3.8 billion in total global official development assistance (ODA) in 2009-10. This represents an increase of 5.6 per cent over the 2008-09 budget of $3.7 billion.

The 2009-10 aid budget places a particular emphasis on helping partner countries to address the impacts of the global recession. New measures were announced in the budget to help developing countries respond to the impact of the global recession and to supporting longer-term development and capacity building efforts.

Australia’s estimated $35.6 million contribution to development in Sri Lanka will include up to $7 million to continue work at the community level to assist with rehabilitation, primarily across northern and eastern Sri Lanka. Australia will also help Sri Lanka improve its capacity to manage natural resources, assist in strengthening basic education and provide scholarships to candidates for study in priority sectors.