India-Sri Lanka relations, rooted in ancient ties, are complex. Challenges persist, like the fishermen's dispute and China's growing influence. However, India's recent aid during Sri Lanka's economic crisis and collaborative initiatives are strengthening the partnership. Future cooperation on economic integration and strategic collaboration will be crucial to securing India's interests in the Indian Ocean.
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Picture Courtesy: THE HINDU
The 8th High-Level Meeting between the Indian Coast Guard (ICG) and Sri Lanka Coast Guard (SLCG) on August 11, 2025, in New Delhi signifies a deepening of India-Sri Lanka relations, especially in maritime security, through enhanced cooperation in areas like marine pollution response, search and rescue, law enforcement, and capacity building.
Ancient Ties & Early Independence (Pre-1980s): Relations trace back over 2,500 years with shared cultural and Buddhist heritage. King Ashoka's son, Mahinda, introduced Buddhism to Sri Lanka in the 3rd century BCE. Official diplomatic relations established in 1948.
Tamil Issue & Indian Intervention (1980s-1990s): Sri Lankan Civil War impacted ties. India deployed the Indian Peace Keeping Force (IPKF) (1987-1990) under the Indo-Sri Lanka Accord. The LTTE's assassination of Rajiv Gandhi (1991) led India to ban the group in 1992.
Economic & Strategic Re-engagement (2000s-2010s): After the civil war (ended 2009), the India-Sri Lanka Free Trade Agreement (ISFTA) (2000) boosted trade, reaching $5.54 billion in FY 2023-24, with India's exports $4.1 billion.
"Neighbourhood First" and Crisis Diplomacy (2014-Present): Under Prime Minister Narendra Modi, India's "Neighbourhood First" policy prioritized Sri Lanka. During Sri Lanka's economic crisis in 2022-23, India emerged as the "first responder," helping Sri Lanka navigate its financial collapse.
Geopolitical & Maritime Security: Sri Lanka location on major Indian Ocean shipping lanes (SLOCs), directly impacts India's maritime security and trade. The Colombo Port handles a large share of India's trans-shipment cargo. India's "SAGAR" vision prioritizes Sri Lanka.
Economic Ties: India is a top trading partner and investor. Indian investment in Sri Lanka reached about US$ 2.2 billion by 2023, according to the Ministry of External Affairs.
Countering External Influence: China's investments in Sri Lanka (e.g., Hambantota Port leased for 99 years, Colombo Port City) raise security concerns about potential dual-use facilities and regional encirclement of India under China's "String of Pearls" strategy.
Regional Stability: Sri Lanka is key to India's "Neighbourhood First" policy. Its stability prevents spillover effects like refugee influxes and security challenges for India.
People-to-People & Cultural Linkages: Shared Buddhist heritage and a significant population of Indian Origin Tamils (IOTs) create deep cultural connections and influence bilateral dynamics.
Economic Lifeline & Crisis Support: India provided nearly US$4 billion in financial aid during Sri Lanka's 2022-23 economic crisis, preventing total collapse.
Major Trading Partner & Investor: India remains among Sri Lanka's largest trading partners and a significant FDI source. The ISFTA boosts trade. India's investments cover energy, hospitality, and manufacturing.
Tourism & Connectivity: India is Sri Lanka's largest tourism market, with approximately 4.16 lakh Indian tourist arrivals in 2024. UPI QR-based payments launched in Sri Lanka in 2024.
Security & Capacity Building: India is a key security partner, conducting joint military exercises (SLINEX, Mitra Shakti) and providing training. The recent Defense Cooperation Agreement (DCA) formalizes security collaboration.
Development Assistance: India supports Sri Lanka's development through various projects, including infrastructure development, like the Matara-Colombo rail line and Kankesanthurai Port.
Energy Security: Sri Lanka depends on India for its energy needs, including petroleum and LNG. Cooperation on projects like grid interconnection and a multi-product petroleum pipeline are vital.
Strategic Alignment: India remains a key partner for Sri Lanka in balancing its foreign policy and countering the influence of other nations.
Capacity Building: India provides training programs for Sri Lankan officials and military personnel, enhancing its human resource development.
Fishermen Disputes: Indian fishermen using bottom trawlers frequently cross the International Maritime Boundary Line (IMBL), leading to arrests and boat confiscations. This remains a sensitive issue; over 730 fishermen died in 30 years.
Chinese Strategic Presence: China's growing influence via loans and infrastructure (Hambantota Port, Colombo Port City) raises Indian security concerns about potential dual-use facilities and maritime surveillance. Chinese vessels' frequent visits near Indian waters heighten geopolitical sensitivities.
13th Amendment Implementation: Sri Lanka's slow progress on implementing the 13th Amendment, for devolution of powers, remains a concern. Sinhala (75% of total population) oppose it, while Tamil groups (15% of total population) demand more autonomy.
Sovereignty Concerns: Some Sri Lankans views India's growing economic and strategic footprint as a threat to their sovereignty, promoting suspicion towards projects like a land bridge.
Domestic Political Instability: Frequent leadership changes in Sri Lanka affect bilateral agreements and cooperation pace.
Trade Imbalance & Protectionism: India maintains a trade surplus ($2.69 billion in 2023-24), driving Sri Lankan concerns about competition and impacting ETCA negotiations.
Security & Smuggling: Porous maritime border facilitates smuggling activities (narcotics, illegal immigrants) and poses border security challenges for both nations.
"Big Brother" Perception: Despite India's "Neighbourhood First" policy, some Sri Lankan factions view India as an overbearing "big brother" due to its size and past interventions, hindering trust-building.
Resolve Fishermen's Dispute: Establish a permanent, humane solution. Reactivate the Joint Working Group on fisheries, explore licensed fishing, and encourage Indian fishermen to adopt sustainable methods.
Address Chinese Influence Strategically: Offer competitive, transparent development projects. Maintain constant security dialogue to ensure Sri Lanka's territory is not used against Indian interests.
Ensure 13th Amendment Implementation: Advocating for full, meaningful implementation of the 13th Amendment to promote genuine reconciliation and stability in Sri Lanka.
Deepen Economic Integration: Expedite the ETCA negotiations. Encourage private sector investment in Sri Lanka, with a focus on local benefits, to earn goodwill and strengthen soft power diplomacy.
Enhance People-to-People Connect: Promote Buddhist tourism, expand educational and cultural exchanges, and ease travel between nations.
Strategic Communication: Project assistance and initiatives as respectful partnerships, not as a "big brother."
Regional Cooperation: Leverage platforms like SAARC, BIMSTEC and the Colombo Security Conclave to address shared maritime security and disaster management efforts.
India and Sri Lanka must continue strengthening their relationship through enhanced economic integration (including finalizing the ETCA and boosting trade/investment), deeper security cooperation, and encouraging stronger people-to-people connections.
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For Mains: INDIAN OCEAN REGION l MARITIME SECURITY IN THE INDIAN OCEAN REGION l Indian Ocean Rim Association (IORA) |
Source: THE HINDU
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PRACTICE QUESTION Q. India-Sri Lanka relations are a complex blend of cooperation and friction. Critically analyze. 250 words |
The issue of Indian fishermen being arrested by the Sri Lankan Navy for crossing the International Maritime Boundary Line (IMBL) remains a recurring challenge.
India provided financial assistance, including credit lines for essential imports, currency swaps, and humanitarian aid, solidifying its role as a key partner.
It is India's foreign policy approach that prioritizes developing friendly, mutually beneficial relations with its neighbors by focusing on connectivity, trade, and security cooperation.
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