Includes how major projects are financed and gives examples where relevant. Explains activities of the multilateral development banks in and other aid-funded projects where procurement is open to U.S. bidders.
Last Published: 7/22/2019
Multilateral agencies also provide long-term lending for government projects.  The Asian Development Bank (ADB), the World Bank, and the Japan International Cooperation Agency (JICA) are the major sources of project financing.  In addition, bilateral donors, such as India, Japan, and Germany, fund major government projects by providing long-term concessional loans.  China is also a significant lender for large-scale government projects.  The government also seeks foreign commercial borrowing for project finance.  

In addition to public-sector lending, the ADB also lends directly to the private sector to finance projects.  The World Bank's International Finance Corporation (IFC) supports private-sector projects in Sri Lanka in the form of equity and long-term debt financing.  IFC also supports SMEs.   

Retained profits finance approximately 70 percent of private investment, with short-term borrowing financing an additional 20 percent of investment.  The stock market and, to a lesser extent, the corporate-securities market are also used to raise capital.  

Companies registered in Sri Lanka are allowed to borrow abroad. In June 2016, the Central Bank removed the maximum borrowing limit.  Currently, the minimum loan tenor allowed is three years.  

The U.S. Export-Import Bank (USEXIM) can work with your private lender to help secure financing for international sales.  A lender receives a loan “guarantee” from EXIM, guaranteeing repayment for a percentage of the loan if the borrower ((i.e., U.S. exporter) defaults. You can use the loan from your bank to pay for the labor, materials, and other inputs required to fulfill sales. EXIM doesn’t replace your private bank; it simply backs their loan and increases your borrowing power.  USEXIM also provides export credit insurance.

More information regarding USEXIM’s programs is available at:

The U.S. Trade and Development Agency (USTDA) funds feasibility studies, orientation visits, specialized training grants, business workshops, and other forms of technical assistance to help American businesses compete for infrastructure and industrial projects.  Further information on USTDA programs is available at 

Multilateral Development Banks

The Commercial Service maintains Commercial Liaison Offices in each of the main Multilateral Development Banks, including the World Bank and the Asian Development Bank.

These institutions lend billions of dollars in developing countries on projects aimed at accelerating economic growth and social development by reducing poverty and inequality, improving health and education, and advancing infrastructure development. The Commercial Liaison Offices help businesses that create U.S. jobs learn how to get involved in bank-funded projects and how to connect to other parts of the International Trade Administration, including the U.S. Field; the overseas network of Commercial Service offices; and, in Washington, desk officers, sectoral experts, and the advocacy center.

To obtain further information on World Bank funded projects in Sri Lanka, visit  

To obtain further information on Asian Development Bank funded projects in Sri Lanka, visit
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting

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