World Bank2025-11-182025-11-182025-11-18https://hdl.handle.net/10986/43995The World Bank Group’s Country Climate and Development Reports (CCDRs) are a core diagnostic that integrates climate change and development. They help countries prioritize the most impactful actions that can reduce greenhouse gas (GHG) emissions and boost adaptation and resilience, while delivering on broader development goals. CCDRs build on data and rigorous research and identify main pathways to reduce GHG emissions and climate vulnerabilities, including the costs and challenges as well as benefits and opportunities from doing so. The reports suggest concrete, priority actions to support the low-carbon, resilient transition. As public documents, CCDRs aim to inform governments, citizens, the private sector and development partners and enable engagements with the development and climate agenda. CCDRs feed into other core Bank Group diagnostics, country engagements and operations, and help attract funding and direct financing for high-impact climate action.The World Bank Group’s Country Climate and Development Reports (CCDRs) are a core diagnostic that integrates climate change and development. They help countries prioritize the most impactful actions that can reduce greenhouse gas (GHG) emissions and boost adaptation and resilience, while delivering on broader development goals. CCDRs build on data and rigorous research and identify main pathways to reduce GHG emissions and climate vulnerabilities, including the costs and challenges as well as benefits and opportunities from doing so. The reports suggest concrete, priority actions to support the low-carbon, resilient transition. As public documents, CCDRs aim to inform governments, citizens, the private sector and development partners and enable engagements with the development and climate agenda. CCDRs feed into other core Bank Group diagnostics, country engagements and operations, and help attract funding and direct financing for high-impact climate action.The World Bank Group’s Country Climate and Development Reports (CCDRs) are a core diagnostic that integrates climate change and development. They help countries prioritize the most impactful actions that can reduce greenhouse gas (GHG) emissions and boost adaptation and resilience, while delivering on broader development goals. CCDRs build on data and rigorous research and identify main pathways to reduce GHG emissions and climate vulnerabilities, including the costs and challenges as well as benefits and opportunities from doing so. The reports suggest concrete, priority actions to support the low-carbon, resilient transition. As public documents, CCDRs aim to inform governments, citizens, the private sector and development partners and enable engagements with the development and climate agenda. CCDRs feed into other core Bank Group diagnostics, country engagements and operations, and help attract funding and direct financing for high-impact climate action.Sri Lanka is emerging from the recent economic crisis with a renewed focus on sustainable growth and resilience. Following a series of policy reforms and successful debt restructuring, the economy has stabilized, though poverty rates remain high. As the country charts its growth path, prioritizing investments in resilient, inclusive development is both an urgent necessity and a strategic opportunity to boost economic activity, create jobs, and improve overall welfare, while safeguarding against the growing impacts of climate change. Climate change poses significant challenges for Sri Lanka, with potential economic losses ranging from 3.3 to 3.5 percent of the country's gross domestic product (GDP) by mid-century, due to reduced labor productivity resulting from heat stress, decreased agricultural yields, and intensified flooding in both urban and rural areas. These adverse effects disproportionately affect the poorest and most vulnerable populations, particularly those in agriculture and coastal areas, potentially increasing poverty rates by 1.7 to 1.8 percentage points. Strategic investments in resilience can substantially mitigate these risks while unlocking economic opportunities and creating jobs. Several no-regrets measures are already outlined in Sri Lanka’s Nationally Determined Contributions, National Adaptation Plan, and Climate Prosperity Plan. These include expanding clean energy sources, modernizing transportation systems, improving energy efficiency, enhancing irrigation, and upgrading water and sanitation services. These investments offer a host of other benefits, including lower energy costs, improved air quality, enhanced urban livability, and increased agricultural productivity.en-USCC BY-NC 3.0 IGOCLIMATE ACTIONCLIMATE CHANGE ADAPTATIONECONOMIC GROWTHDECENT WORKSUSTAINABLE CITIES AND COMMUNITIESCLIMATE CHANGE IMPACTSNO POVERTYCLIMATE CHANGE IMPACTS ON POVERTYReportWorld Bank