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Fourth Phase Lays Foundations for 10,000 Low-Cost Houses in Badulla

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News Analysis IndiaReporter
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August 2, 2026
10:41 AM
Fourth Phase Lays Foundations for 10,000 Low-Cost Houses in Badulla

New Delhi, 2 August – In a ceremony that marked the fourth stage of the Indian Housing Project (IHP), 57 house foundations were installed at the Kanwarela estate in Badulla district, Sri Lanka. The event, which saw the participation of Plantation and Community Infrastructure Minister K.V. Samantha Vidyaratne and Indian Consul General Harvinder Singh, signals the continuation of a large‑scale, grant‑backed housing effort aimed at delivering 10,000 affordable homes across six provinces.

The overall IHP programme targets the construction of roughly 60,000 dwellings throughout the island, backed by an investment of more than 18 billion rupees. The first two phases concentrated on the northern and eastern provinces, rebuilding or refurbishing 46,000 homes damaged during years of conflict. The third phase added 4,000 houses for labourers in the plantation sector, addressing a critical housing shortage.

Authorities describe the initiative as more than a construction drive; it is intended to generate lasting social stability and restore dignity for thousands of vulnerable families. A special focus is placed on the Indian‑origin Tamil (IOT) community, which has contributed to Sri Lanka’s plantation economy for over two centuries but continues to face socio‑economic challenges.

Prime Minister Narendra Modi, during a 2023 state visit, announced a multi‑sectoral grant of 750 million rupees to support development in plantation areas, coinciding with the 200‑year anniversary of the Indian‑origin Tamil presence in Sri Lanka. The new housing stock is expected to revive livelihoods, strengthen communal ties, and aid the nation’s broader economic recovery after its recent financial crisis.

The joint presence of senior officials from New Delhi and Colombo underscores a shared resolve to turn diplomatic goodwill into tangible benefits for ordinary citizens. The housing programme aligns with India’s “Neighbourhood First” policy, presenting a clear example of how grant‑based infrastructure projects can serve as a vehicle for regional cooperation and development.

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