Sri Lanka Faces $7B Rebuild as Cyclone Death Toll Hits 465

Sri Lanka faces an estimated $7 billion in reconstruction costs after Cyclone Ditwah left at least 465 people dead and hundreds missing, officials said Wednesday. The cyclone, which brought record rains last week, triggered devastating floods and mudslides across the island.

Authorities have given up hope for the 366 people still unaccounted for. Prabath Chandrakeerthi, Commissioner-General of Essential Services, leading the recovery effort, said, “Our initial estimate is that we will need about six to seven billion dollars for reconstruction.”

The government is providing 25,000 rupees ($81) to families to help clean their homes, while those who lost their houses will receive up to 2.5 million rupees ($8,100) in support.

President Anura Kumara Dissanayake stressed that foreign assistance is crucial for recovery, as the country is still emerging from its worst-ever economic crisis three years ago. A state of emergency was declared on Saturday, and the president vowed to rebuild with international support. “We were just coming out of the economic crisis when we were hit by this disaster, which is the biggest challenge faced by any government,” he told top officials on Tuesday.

Sri Lanka had declared a sovereign default on its $46 billion external debt in April 2022 after running out of foreign exchange to fund essential imports, including food, fuel, and medicines. The country later secured a $2.9 billion bailout loan from the IMF, which noted the economy has since stabilised, although reforms and austerity measures remain in place. The 2022 crisis led to months of street protests and the resignation of then-President Gotabaya Rajapaksa.

Floodwaters in the capital Colombo were receding Wednesday after heavy rains over the weekend. More than 1.5 million people have been affected nationwide, with around 200,000 sheltering in state-run facilities. Some of the worst-hit areas in the central hills remain inaccessible as authorities work to clear roads and restore communications.

Despite the devastation, Sri Lanka welcomed a luxury cruise liner to Colombo port on Tuesday. The country’s tourist board said the arrival sends “a clear message to the world: Sri Lanka is safe, open, and ready to embrace visitors once again.”