The World Bank Group and Colombo recently launched a new five-year country partnership framework (CPF) to support Sri Lanka's continued recovery, help achieve its 7-per cent medium-term economic growth target and support job creation.

As nearly a million young Sri Lankans are expected to enter the job market over the next decade, private sector-led job creation is at the heart of the new partnership.

Without stronger growth and greater private investment, the economy will create only around 300,000 new formal jobs — leaving roughly 7 out of every 10 young job seekers without access to a quality job, a release from the World Bank said.

The partnership focuses on four key areas: ease of doing business, stronger infrastructure, more and better jobs in tourism and agriculture, and preparing for future shocks.

It will deploy the full range of instruments—financing, guarantees, advisory services and private capital mobilisation.

“We are committed to building on the continued macroeconomic stability, strengthened governance and revenue-based fiscal consolidation that we have already achieved. Our goal is to confidently steer our economy towards strong, sustainable and inclusive growth," said Sri Lankan President Anura Kumara Dissanayake.

"Sri Lanka's recovery over the past three years has been hard-won and impressive. This new partnership framework is designed to ensure that the benefits reach everyone,” said Johannes Zutt, World Bank's vice president for South Asia.

The partnership will mobilise significant resources from the World Bank Group, including more than $1 billion in direct and mobilised investment over five years by the International Finance Corporation (IFC) and up to $1 billion in low-interest financing over the next three years from the World Bank.

Fibre2Fashion News Desk (DS)