Historical Context

• India and Sri Lanka share a relationship spanning over 2,500 years, built on strong civilizational and historical ties.
• Sri Lanka holds a central place in India’s ‘Neighbourhood First’ policy and SAGAR vision.

Political Exchanges

• Regular high-level visits, including PM Modi's visits in 2014, 2015, 2017, and 2019.
• EAM Dr. Jaishankar has visited Sri Lanka 7 times since 2019.
• Other prominent visits: Finance Minister Nirmala Sitharaman, NSA Ajit Doval, and bilateral exchanges at ministerial and parliamentary levels.
  Recent agreements focus on connectivity and renewable energy.
• Recently elected ‘President Dissanayake’ visited  India in December 2024 

Trade & Commerce

• India is one of Sri Lanka’s largest trade partners (bilateral trade: USD 5.5 billion in FY 2023-24).
•  India contributes significant FDI (~USD 2.2 billion until 2023).
•  Priority sectors include energy, renewable energy, ports, and defence supplies.
•  Economic and Technology Cooperation Agreement (ETCA) discussions resumed after a gap of 5 years.

Connectivity & Tourism

• Air and ferry services between Tamil Nadu and Sri Lanka resumed (e.g., Chennai-Jaffna flights, Nagapattinam-KKS ferries).
•  UPI payment system launched in Sri Lanka.
•  India is the leading tourist source market (2024: ~3.2 lakh arrivals).

Development Cooperation

• India extended USD 5 billion in loans and USD 600 million as grants, spanning housing, health, and education.
• Major projects include the Indian Housing Project, Jaffna Cultural Centre, Suwa Seriya Ambulance Service, and solar electrification.
• Emergency assistance (~USD 4 billion) during Sri Lanka's 2022 economic crisis.

Defence & Security

• Strong defence ties include joint exercises (e.g., SLINEX, MITRA SHAKTI), military training, and goodwill naval visits.
• The 10th edition of the joint military exercise ‘Mitra Shakti’ commenced in August 2024 at the Army Training School in Maduru Oya, Sri Lanka.
• Maritime initiatives: Maritime Rescue Coordination Centre (MRCC), Dornier aircraft deployment, and multilateral platforms like the Colombo Security Conclave.

Cultural Relations

• Restoration projects: Thirukeeteswaram Temple, International Buddhist Museum.
• Cultural exchanges: Exposition of Kapilavastu Relics, Colombo-Kushinagar Buddhist connections.
• Scholarships and academic initiatives, including ICCR chairs and Study in India programs.
• Focus on Hindi and STEM education in plantation schools.

Capacity Building

• 710 annual scholarships for Sri Lankan students.
•  Training for 1,500 civil servants over 5 years under NCGA.
•  Technical and professional expertise provided under the ‘Study in India’ program.

Indian Community

• People of Indian Origin (PIOs): Approx. 10,000, engaged in business.
• Indian Origin Tamils (IOTs): Approx. 1.6 million, primarily employed in plantations and business in Colombo.
• 4,000 Indian passport holders in Sri Lanka working across various professional fields.

Sri Lanka’s economic crisis

During Sri Lanka’s economic crisis, India extended significant support. In May 2024, Sri Lanka’s Prime Minister acknowledged India’s assistance during the COVID-19 pandemic and the economic downturn, highlighting the importance of strengthening ties based on good neighbourly relations.