Kuwait Fund for Arab Economic Development (KFAWD) has settled in signing a Kuwaiti Dinars five million (USD 17 million) loan agreement with Sri Lanka.

This is done for finance developing the Kalu Ganga region. KAFED has state through a statement that the fund which is lent will be invested in developing Mahaweli river basin. Since 1960’s this project has been executed by the Government of Sri Lanka. The aim is to increase agricultural and farming production. This will also secure housing and develop the standard of living for the people in the area.

This is the second loan accord which is signed by KFAED to fund this mega venture. In March 2009, the fund lent the Asian nation KD 10 million for same project. Dr. Samaratunga, Finance Undersecretary of Sri Lanka has inked the deal on behalf of the government. From KAFED Hamad-Al-Omar, the Deputy General Director has signed the deal. There were Kuwaiti diplomat who has attended the signing ceremony.

Technical aid has also be funded by the Kuwaiti Fund of worth KD 455,000 for financing feasibility to agricultural and energy developments, according to New Delhi Times.