Despite its track record on human rights and contempt for international laws and practices, Sri Lanka received USD 1.05 billion in the first five months of the year in foreign aid according to a fiscal report published by Sri Lanka’s treasury.
The report classed USD 959 millions as projects and USD 90 million as grants.
Although western donors have been threatening to cut aid to Sri Lanka because of worsening human rights abuses and escalating violence in the civil war, the report shows Sri Lanka had no problem attracting funds.
Iran has emerged as Sri Lanka’s biggest donor this year, knocking Japan from the position of being the war-torn island's main benefactor.
The treasury said foreign aid would have almost halved if Iran had not chipped in with USD 450 million to build a hydro power project and upgrade the island's sole oil refinery.
The Uma Oya Multipurpose Development Project (UOMDP), to be funded by Iran, will provide 100-150 MW of hydro power and irrigate around 4,000-5,000 hectares of dry land near central Sri Lanka.
Other key donors included Denmark (USD 155.2 million), India (USD 109.2 million), the Asian Development Bank (USD 90 million), World Bank (USD 43.1 million) and Japan (USD 42.2 million).
Government of Denmark committed US$ 155 million for Kelani Right Bank Water Treatment Plant Project and Oluvil Port Development Project. Kelani Right Bank Water Treatment Project will improve the water supply around 350,000 people who are presently experience an unsatisfactory supply and provide new water supply connections around 100,000 people.
Danish assistance will be utilised to construct Oluvil Port as a transport and fishery harbour and thereby promoting the development in the Eastern region.
Government of India committed US $ 109 million. Of which US$ 100 million is to finance imports from India and US$ 8.5 million for the construction of a district hospital in Dickoya, Hatton consisting of 150 beds.
The balance US $ 0.5 million is for the improvement of facilities at Rural Vocational Training Centre at Nagawillu, Puttalam.
