Sri Lanka is to see a host of transport infrastructure projects in the next 2–3 years, as the government is within the phase of reviewing the capital expenditure, economic outcomes and environmental impacts that the projects are to unlock, Deputy Minister of Transport Prasanna Gunasena said in Parliament on Saturday (8).
“We know that our government works according to a national development plan. Within the next 2 to 3 years, it is necessary to outline how capital expenditure is going to be allocated towards infrastructure projects,” Gunasena told Parliament.
“For these particular projects, we obtain feasibility studies and evidence-based reports on the economic outcomes and environmental impacts that pertain to the plans for these projects. Within the next 2–3 years we have planned for a pipeline of projects to see to what extent the Railways Department should go, in terms of expansion.”
Within Sri Lanka’s 2026 Budget, announced in November 2025, Rs 3,300 million had been allocated towards starting the procurement process involving five new Diesel Multiple Units (DMUs) for the Sri Lanka Railways Department; and the digitalisation of the railway service.
In the aftermath of Cyclone Ditwah, Deputy Minister Gunasena informed the media that reconstruction of Sri Lanka’s railway lines would roughly cost between $ 320 million or $ 350 million.
In March, speaking on a World Bank panel, he said that though 71% of Sri Lanka’s railway system have been restored post-Cyclone Ditwah, a lack of sufficient financing keeps the national transport agencies from fully implementing a climate-resilient infrastructure transportation system.
The Sri Lankan Government is yet to produce a document on its national transport strategy.
Speaking in Parliament, in response to a proposal on the nature of accepted infrastructure projects, he said: “We approach the National Planning Department for its approval. It is once that we have taken this approval that we approach the Budget document with the intent of opening a budget line for the project for allocation.”
“One such example is the KV Line, which is a railway line that extends to Ratnapura. At this point, the feasibility study is underway for the Awissawela to Ratnapura extent of the line, which we think the report for, would be produced by December. That would follow a detailed design and the procurement process.”
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