
Important for UPSC, State PCS
Prelims: India–Sri Lanka Bilateral Relations . India-Sri Lanka Free Trade Agreement.
Mains: General Studies Paper 2- Strategic Recalibration in South Asia . Economic and Energy Cooperation . Defence and Security Engagements . Cultural and Diplomatic Recognition .
Context-
Prime Minister Narendra Modi’s landmark visit to Sri Lanka from April 4 to 6, 2025, marks a significant milestone in India-Sri Lanka relations, reflecting India’s strategic outreach under the Neighbourhood First and Act East policies. This was Modi’s first visit since President Anura Kumara Dissanayake assumed office.
🔑 Key Highlights of the Visit
🛡️ Defence and Security Cooperation
- A Defence Cooperation Pact was signed, creating an umbrella framework for structured and sustained engagement in joint military exercises, high-level exchanges, and training programs.
- The Sri Lankan President reaffirmed commitment to ensuring Sri Lankan territory will not be used against India’s security interests.
- Strengthened collaboration under the Colombo Security Conclave focusing on Indian Ocean security and maritime domain awareness.
⚡ Energy and Infrastructure Initiatives
- MoU for electricity grid interconnection to facilitate cross-border power trade between India and Sri Lanka.
- A tripartite MoU with UAE was signed to develop Trincomalee as a regional energy hub, which includes:
- Construction of a multi-product energy pipeline
- Joint development of fuel tank farms
- PM Modi virtually inaugurated the 120 MW Sampur solar power project, built in partnership with India’s NTPC.
💻 Economic and Digital Cooperation
- MoU signed for sharing India’s digital public infrastructure solutions like Aadhaar, UPI, and CoWIN with Sri Lanka to support digital transformation.
- Announcement of a 2.4 billion Sri Lankan Rupee aid package for the socio-economic development of the Eastern Province.
🕌 Cultural and Religious Engagements
- India to send sacred relics of Lord Buddha, discovered in Gujarat in 1960, to Sri Lanka during Vesak festivities – symbolizing shared spiritual heritage.
- Assistance announced for:
- Renovation of Thirukoneswaram temple in Trincomalee
- Construction of a sacred city at the Anuradhapura Mahabodhi temple complex
- Support for Sita Eliya temple in Nuwara Eliya
📝 Agreements and MoUs Signed

- 7 MoUs covering:
- Defence
- Digital Infrastructure
- Renewable Energy
- Healthcare
- Power Grid Connectivity
- Bilateral agreement on debt restructuring to ease Sri Lanka’s repayment burden to Indian banks.
🌏 Strategic Significance
In light of China’s growing influence in the region, India is recalibrating its approach by offering development-centric, inclusive, and culturally sensitive alternatives. By boosting cooperation in defense, energy, technology, and culture, PM Modi’s visit seeks to position India as Sri Lanka’s long-term and trusted partner in its recovery and growth journey.
CBL Practice Questions for Prelims –
Which of the following statements is/are correct regarding the Defence Cooperation Pact signed between India and Sri Lanka in 2025?
- It is a legally binding treaty signed under the UN Security Council framework.
- It aims to formalise joint military exercises and high-level defence exchanges.
- The agreement ensures that Sri Lanka will host an Indian military base for Indian Ocean surveillance.
Options:
A. 1 and 2 only
B. 2 only
C. 2 and 3 only
D. 1, 2 and 3
✅ Answer: B
Statement 1 is incorrect (not under UNSC); Statement 3 is incorrect (no Indian base agreed).
CBL Mains Practice Question
“India’s outreach to Sri Lanka in 2025 reflects a calibrated balance of strategic, economic, and cultural diplomacy.”
Discuss in the context of recent bilateral developments and regional geopolitics.
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