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flag Sri Lanka launches recovery program after cyclone caused $4.1B in damages and seeks IMF target revision.

flag Sri Lanka has launched the "Rebuilding Sri Lanka" national programme on January 13, 2026, to coordinate recovery from Cyclone Ditwah, which caused $4.1 billion in damages and worsened poverty amid ongoing IMF-imposed austerity. flag The initiative, led by a Presidential Task Force and funded through re-purposed projects, a proposed Rs. flag 500 billion supplementary budget, and donor support, aims to restore infrastructure, revive livelihoods, and improve transparency via a digital dashboard. flag Central Bank Governor Nandalal Weerasinghe has also requested the IMF revise economic targets under the 48-month EFF, citing cyclone-related setbacks not accounted for in the original budget. flag The IMF’s fifth review is scheduled for late January.

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