OTTAWA The Honourable Susan Whelan, Minister for International Cooperation, and the Honourable Bill Graham, Minister of Foreign Affairs, announced today that Canada will contribute, through the Canadian International Development Agency (CIDA), $6.75 million to help support the Sri Lankan peace process and enhance the standard of living for poor, under and unemployed women and youth through strengthened vocational training institutions in Sri Lanka. Minister Graham made the announcement in Colombo, Sri Lanka, where he is participating in the first visit by a Canadian Foreign Minister in 20 years.

"Addressing the needs of people most directly affected by the conflict in Sri Lanka is an important priority," said Minister Whelan. "Canada is actively promoting peace, democracy and equitable development in Sri Lanka and will continue to promote a culture of peace."

"Today's human security and peacebuilding initiatives will help build democratic capacity within Sri Lanka and assist with conflict resolution," said Mr. Graham. "With this funding, we hope to provide greater economic opportunity to a range of Sri Lankans, and to offer both parties to the peace process Canadian expertise in federalism and constitutional development."

Funding for the initiatives will be disbursed as follows:

$5 million to support initiatives that help displaced persons in conflict-affected areas of Sri Lanka. This includes training and income generation opportunities to several thousand individuals through vocational training initiatives in fields such as carpentry, wiring, and masonry. Upon resumption of the peace talks, an additional $1.25 million in new funding will be allocated to increase training throughout Sri Lanka, bringing the total contribution to this initiative to $6.25 million.

$500,000 to the Forum of Federations to continue work that supports the peace process in Sri Lanka. This includes providing technical expertise on federalism and related issues to lead negotiators in the peace talks and developing public awareness initiatives aimed at Sri Lankan civil society.

Canada, through CIDA, has pledged $7 million since 2002 to support the peace process. Of that amount, $2million has been disbursed, while the remaining $5 million is conditional on the peace talks resuming.

Funding for these initiatives was provided for in the February 2003 federal budget and is therefore built into the existing fiscal framework.