### Emergency Extended for Disaster Recovery 📈

The state of emergency in Sri Lanka is expected to remain in force for a further two months to facilitate ongoing recovery efforts following the devastation of Cyclone Ditwah. Public Security Minister Ananda Wijepala briefed Parliament this week on the necessity of the extension for national stability and rehabilitation. • Resettlement & Safety: The extension is primarily required to manage the relocation of thousands of displaced families. Permanent resettlement in high-risk areas is currently on hold pending safety clearances from the National Building Research Organisation (NBRO). • Economic Impact: Cyclone Ditwah has caused significant disruption to the 2026 economic outlook. A World Bank assessment estimated direct physical damages at US$ 4.1 Bn (approx. 4% of GDP). Key sectors affected include: Infrastructure: US$ 1.73 Bn in losses to roads, bridges, and railways. Agriculture: US$ 814 Mn in damage, threatening food security. Housing: Nearly 100,000 homes damaged or destroyed. • Legislative Support: Parliament recently approved a Rs. 500 Bn supplementary estimate to restore livelihoods. The emergency regulations allow for the appointment of a Commissioner-General of Essential Services to ensure the uninterrupted supply of food and medicine. • Current Status: While many have left safety centers, over 34,000 individuals remain displaced as of early January. The government is also preparing to apply for the UN’s "Loss and Damage" fund to cover climate-related costs. _Note: Based on provisional disaster management and parliamentary data._