Sri Lanka's cabinet has greenlit a $200 million policy-based loan from the Asian Development Bank to support the country's trade, investment, and industrial development framework, marking the conclusion of formal negotiations with the Manila-based lender.

Sri Lanka's cabinet of ministers has approved a $200 million policy-based loan from the Asian Development Bank (ADB) to strengthen the nation's trade, investment, and industrial development initiatives. Minister Nalinda Jayatissa announced that loan negotiations for Subprogram 1 of the ADB's Trade, Investment, and Industry Development Program have been successfully concluded. The funding will be sourced from the ADB's Ordinary Capital Resources (OCR), and all necessary clearances have been obtained from both the Attorney General's Department and the Central Bank of Sri Lanka.

The cabinet decision follows an initial authorization granted in June to enter into formal negotiations with the international lender. This latest approval represents a significant step in the government's efforts to bolster economic development through structured international financing partnerships.

In parallel developments, Sri Lanka's cabinet also advanced other economic initiatives on Tuesday. The government approved a national implementation plan for 2026–2028 under the United Nations' Global Compact for Safe, Orderly and Regular Migration, aiming to enhance foreign remittance inflows while combating human trafficking and illegal migrant smuggling. Additionally, the cabinet instructed the Legal Draftsman to prepare amendments to the Employees' Provident Fund Act based on central bank recommendations, reflecting efforts to modernize social security provisions for private sector workers.