Cyclone Ditwah causes $4.1 billion in damage across Sri Lanka, World Bank estimates

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Cyclone Ditwah, which struck Sri Lanka in late November, has caused an estimated US$4.1 billion in direct physical damage to buildings and contents, agriculture and critical infrastructure, according to a World Bank Group Global Rapid Post-Disaster Damage Estimation (GRADE) report released on Monday (December 22, 2025) – ENCL/File

COLOMBO – Cyclone Ditwah, which battered Sri Lanka in late November, has caused an estimated US$4.1 billion in direct physical damage to buildings, agriculture and critical infrastructure, according to a World Bank Group Global Rapid Post-Disaster Damage Estimation (GRADE) report released on Monday (22).

The damage is equivalent to around 4% of Sri Lanka’s gross domestic product (GDP), marking one of the most severe climate-related economic shocks the country has faced in recent years.

The cyclone, among the most intense and destructive in Sri Lanka’s recent history, affected nearly two million people and about 500,000 families across all 25 districts, severely disrupting livelihoods, essential services and economic activity.

The GRADE assessment provides rapid, model-based estimates of direct physical damage to assets and is intended to inform emergency response, recovery planning and longer-term disaster risk reduction. It does not include income or production losses, nor the full cost of recovery and reconstruction.

According to the report, the Central Province suffered the highest level of damage, with Kandy district alone accounting for an estimated US$689 million, largely due to flooding and, to a lesser extent, landslides.

Infrastructure was the worst-hit sector, with damages estimated at US$1.735 billion, or 42% of total losses. Roads, bridges, railways and water supply networks sustained extensive damage, disrupting connectivity and access to markets and essential services.

Residential buildings and household contents incurred an estimated US$985 million in damage, highlighting the vulnerability of housing located in flood-prone areas and the need for more resilient construction designs capable of withstanding high winds and flooding.

The agriculture sector suffered losses estimated at US$814 million, affecting paddy and vegetable cultivation, subsistence farming, maize production, livestock, agricultural infrastructure and inland fisheries. The damage poses serious risks to food security and rural livelihoods, particularly in already vulnerable communities.

Non-residential buildings, including schools, health facilities, businesses and large industrial sites located along rivers and creeks, accounted for an additional US$562 million in damage, disrupting education, healthcare delivery and local economic activity.

The report warns that pre-existing socio-economic vulnerabilities,  including poverty, limited access to services and high exposure to climate risks, are likely to intensify the cyclone’s impact and slow recovery, especially for women, children, older persons and female-headed households.

“As we look closely at the hardest-hit districts, we see that deep-rooted vulnerabilities have left communities especially exposed,” said Gevorg Sargsyan, World Bank Group Country Manager for Sri Lanka and the Maldives. “In Badulla, Kegalle and Puttalam, many households were already poor and now face some of the highest housing losses. In Kandy and Nuwara Eliya, about two in four households are headed by women or older persons. Thousands of women and girls have been displaced or remain in unsafe homes.”

In response to the disaster, the World Bank Group has mobilized up to US$120 million from ongoing projects to support immediate recovery and restore essential services, including healthcare, water supply, education, agriculture and transport connectivity in the worst-affected areas.

While the GRADE report offers a rapid snapshot of physical damage, the World Bank cautioned that total recovery and reconstruction needs are expected to far exceed the estimated losses. The report emphasizes the need for comprehensive recovery strategies that address humanitarian needs, restore livelihoods, strengthen resilient infrastructure and integrate climate and disaster risk considerations into future development planning.

The World Bank acknowledged the Government of Sri Lanka’s leadership in completing the assessment, which was carried out in close collaboration with the External Resources Department, the Treasury, the National Planning Department and the Disaster Management Centre.

-ENCL

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