Sri Lanka, April 21 -- The Agricultural and Agrarian Insurance Board says that Rs. 1,200 million has been allocated under the 2026 Budget to compensate farmers for crop damage caused by the saltwater barrier constructed along the Nilwala River.

In a statement, the Board said that the barrier, built in 2019 to prevent saltwater intrusion into drinking water sources in the Matara District, has led to repeated damage to paddy cultivation over the years.

According to the Board, paddy lands in areas including Dikwella, Kamburupitiya, Kekunadura, Madiha, Malimbada, Meda Uyangoda, Kalalla and Wilpita have been continuously affected since 2019.

The government has decided to provide compensation for losses incurred over seven consecutive cultiv...