WB loans US $69.33mn for Kandy Multimodal Transport Terminal Project

The Government of Sri Lanka and the World Bank signed a loan agreement in the amount of $69.33 million for the Kandy Multimodal Transport Terminal Development Project, which will develop the Good Shed terminal in Kandy. Located at the city center and providing access to the railway station, the modernized terminal will integrate rail, bus, three-wheeler, and pedestrian traffic to make it safer and more efficient.

Sajith Attygalle, Secretary to the Ministry of Finance, and Faris H. Hadad-Zervos, World Bank Country Director for Maldives, Nepal and Sri Lanka, signed the agreement on behalf of the government and the World Bank, respectively.

Kandy, is the capital city of the Central Province of Sri Lanka; the Central Province contributes 11.5 percent to the country’s GDP, second only to the Western Province. The city is also a major tourist attraction and was declared a UNESCO World Heritage Site in 1988. Kandy’s central location, with road access to all other regions of the island, offers it the potential to become a residential and commercial hub.

“Kandy will benefit significantly from a well-planned urban transport network that enhances accessibility to and from the city, efficient mobility within the city region, and its attractiveness as a tourist destination,” said Faris H. Hadad-Zervos, World Bank Country Director for Maldives, Nepal and Sri Lanka. “The project is also critical for the city’s post-COVID economic recovery because it will create many short-term employment opportunities and address pandemic-risk in the design and modernization.”