September 02, Colombo (LNW): In a significant boost to Sri Lanka’s healthcare reform agenda, the Asian Development Bank (ADB) has approved a substantial financial package worth $106.9 million to upgrade and modernise the country’s secondary healthcare services, enhance disease control systems, and strengthen institutional governance within the health sector.
The funding—comprising a $100 million concessional loan and an additional $6.9 million grant from the Pandemic Prevention, Preparedness, and Response Trust Fund—will support a wide-ranging initiative aimed at preparing Sri Lanka’s health system for current demands and future challenges.
The programme, titled Strengthening Integrated Health Care and Governance for Universal Health Coverage, will target both infrastructure development and systemic improvements.
While Sri Lanka has long been recognised for its achievements in providing accessible public healthcare, rising life expectancy, shifts in disease profiles, and growing demand for specialist treatment have placed increasing pressure on secondary care services.
Noncommunicable diseases, ageing populations, and recurring threats from communicable outbreaks have underscored the need for a more integrated and responsive healthcare system.
Through a results-based lending approach, this new programme will focus on upgrading hospital facilities, increasing access to surgical and specialist services, and integrating secondary hospitals more closely with primary care and community-level health infrastructure. This is expected to create a more seamless referral system and ensure patients receive timely and appropriate care.
The initiative also includes targeted investments in pandemic readiness. Plans are underway to establish a national centre for disease control, bolster public health laboratory networks, and introduce a robust cross-sector disease surveillance mechanism to detect and respond to emerging health threats more rapidly.
In a parallel effort to improve governance, the programme will support the digital transformation of government procurement in the health sector, alongside reforms to strengthen transparency, quality assurance, and regulatory oversight in pharmaceutical supply chains. These changes are intended to curb inefficiencies, improve service delivery, and uphold integrity in healthcare procurement practices.
The ADB has also emphasised the programme’s commitment to climate resilience, gender equity, and elderly-focused care. New infrastructure and service models are expected to reflect these priorities, creating a more inclusive and adaptive healthcare system that meets the needs of all segments of the population.
