This study is a program¬¬ activity of the Poverty and Conflict Programme which is supported by the Department for International Development (DFID) and this research looks at development induced displacement (DID). Development induced displacement and resettlement is not a new phenomenon in Sri Lanka. The paper provides an overview of the country situation with regard to displacement resulting from development interventions. It looks firstly at the Accelerated Mahaweli Development Project (AMDP) and then narrows the focus to the Colombo Katunayake Expressway (CKE) and the Southern Transport Development Project (STDP). The study aims to look at development induced displacement in this context and looks at issues that are of critical importance. Apart from the direct impact of physical relocation, it also examines the land acquisition and displacement process, public awareness, response, reaction and participation of affected persons, impacts at both community and household level. Finally, it looks briefly at resettlement and reparation where the projects are currently placed, provides recommendations and concludes the discussion.