05-Apr-2025, 02:17 PM Under the Neighbourhood First policy, India has aimed to strengthen diplomatic, economic, and strategic relations with its neighboring countries. Sri Lanka, due to its geographical location and long-standing bilateral ties, plays an instrumental role in this policy framework. PM Modi’s recent comments reflect the strong intent to deepen this collaboration through trade agreements, infrastructure projects, and cultural exchanges.
Over the past decade, India has extended significant support to Sri Lanka through financial aid, humanitarian assistance, and development partnerships. The COVID-19 pandemic saw India provide vaccines and essential medicines to SL under the Vaccine Maitri initiative, further reinforcing their friendly relations.
Sri Lanka in the Neighbourhood First Policy
Economic and Infrastructure Cooperation
India has consistently invested in Sri Lanka’s infrastructure, including housing projects, railways, and roadways. The Eastern Container Terminal project, oil tank farm agreements, and port connectivity initiatives highlight India’s commitment to boosting Sri Lanka’s logistics and maritime strength. These projects also serve India’s larger regional goals by ensuring safe and smooth trade flows across the Indian Ocean.
Vision Mahasagar and the Strategic Importance of Sri Lanka
Enhancing Maritime Security and Blue Economy
Vision Mahasagar, which stands for Maritime Awareness for Security and Growth for All in the Region, is India’s Indo-Pacific maritime strategy. It aims at ensuring freedom of navigation, secure trade routes, and cooperation in blue economy initiatives among Indian Ocean littoral states.
Here, Sri Lanka becomes a crucial partner. Its location along major global shipping routes makes it a strategic hub for both commercial and defense-related maritime interests. India and Sri Lanka have jointly conducted naval exercises, shared intelligence, and collaborated on disaster response and anti-piracy measures in recent years, reflecting growing maritime synergy.
A Shared Vision for Stability
PM Modi’s Vision Mahasagar reiterates India’s focus on fostering peaceful, secure, and cooperative maritime regions. By including Sri Lanka prominently in this vision, India signals its commitment to engaging with the island nation on issues of climate resilience, marine pollution control, and sustainable fisheries management.
Recent High-Level Engagements Strengthening India-Sri Lanka Relations
Strategic Dialogues and Agreements
In the past year alone, several high-level visits and virtual summits have taken place between Indian and Sri Lankan leaders. PM Modi and Sri Lankan President Ranil Wickremesinghe have had frequent interactions aimed at accelerating developmental projects and addressing regional security challenges.
Key areas of collaboration include:
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Energy Cooperation – India plans to help Sri Lanka develop LNG infrastructure and enhance power grid connectivity.
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Technology and Digital Transformation – Digital India initiatives are being extended to support Sri Lanka’s tech ecosystem.
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Cultural Diplomacy – India continues to restore Buddhist heritage sites and promote tourism through the Ramayana circuit.
Humanitarian and Economic Support
India has also provided over USD 4 billion in financial assistance to Sri during its recent economic crisis. This included line-of-credit facilities for importing fuel, food, and medicines. Additionally, India has supported Sri Lanka’s debt restructuring efforts through bilateral negotiations and at global forums.
The Way Forward – Strengthening the India-Sri Lanka Bond
Harnessing Trade and Investment Potential
India remains one of the largest trading partners of S L , and the Free Trade Agreement (FTA) between the two nations continues to foster bilateral commerce. There is now a push to upgrade this FTA into a Comprehensive Economic Partnership Agreement (CEPA) to include services and investment sectors. Indian companies are increasingly investing in telecom, hospitality, and renewable energy sectors in Lanka.
To promote economic integration, India is also encouraging the establishment of cross-border economic corridors, including ferry services, direct flights, and maritime connectivity between Tamil Nadu and Northern Lanka.
Cultural and Educational Engagements
People-to-people connections remain a cornerstone of the Indo-Sri Lankan relationship. Thousands of Lankan students pursue higher education in India each year under scholarships offered by the Indian government. Cultural festivals, language training, and academic collaborations further strengthen this relationship.
Conclusion: A Future Built on Trust and Shared Prosperity
Prime Minister Modi’s assertion that SL holds a “special position” in India’s Neighbourhood First policy and Vision Mahasagar is more than diplomatic rhetoric—it reflects a grounded, future-forward strategy. As both nations navigate emerging global challenges—ranging from economic volatility and environmental changes to geopolitical competition—their mutual trust and partnership will serve as a pillar of regional stability and growth.
Going forward, India and SL are likely to engage in deeper multilateral and bilateral dialogues, expanding their cooperation in trade, security, climate action, and technology. As PM Modi envisions a secure and prosperous Indian Ocean region, SL will undoubtedly remain at the heart of India’s regional strategy.
Source: ANI
