Why in News?

• Sri Lanka’s Foreign Minister G.L. Peiris on February 7, 2022 met his counterpart S. Jaishankar in New Delhi. . SL FM said ‘New Delhi’s economic assistance to Colombo in recent weeks has made a “world of difference”

Help by India

• Beginning January 2022, India has been providing crucial economic support, in the grip of a severe dollar crisis.
• There was a fear of sovereign default, and a severe shortage of essentials in the import-reliant country.
• From the beginning of 2022, India has provided a relief of $1.4 billion. A $400 currency swap, a $500 loan deferment and a $500 Line of Credit for fuel imports.
• Sri Lanka is further negotiating a $1 billion assistance from India to tackle the economic crisis.

Political Relations

• Political relations between the two countries have been marked by high-level exchanges of visits at regular intervals.
• Prime Minister Shri. Narendra Modi hosted a Virtual Bilateral Summit (VBS) with Sri Lankan Prime Minister H.E. Mahinda Rajapaksa on 26 September 2020.
• External Affairs Minister (EAM) Dr. S. Jaishankar visited Sri Lanka from 5-7 January 2021. This was the first foreign visit by EAM in 2021

Commercial Relations

• The India-Sri Lanka Free Trade Agreement (ISFTA) in 2000 contributed significantly towards the expansion of trade between the two countries.
• Economic ties include different areas such as infrastructure, connectivity, transportation, housing, health, livelihood and rehabilitation, education and industrial development.

Development Cooperation

• With grants alone amounting to around USD 570 million, the overall commitment by GOI is to the tune of more than USD 3.5 billion.

Projects under Lines of Credit

• 11 Lines of credit (LOC) have been extended to Sri Lanka by the Export Import Bank of India in the last 15 years.
• Important sectors in which Project have been executed/ are under execution, under these LOCs include: Railway, transport, connectivity, defence, solar.

Cultural relations:

• India and Sri Lanka have a shared legacy of historical, cultural, religious, spiritual and linguistic ties that is more than 2,500 years old.
• In contemporary times, the Cultural Cooperation Agreement signed by the two governments forms the basis for periodic Cultural Exchange Programmes between the two countries.

Special prayers across Sri Lanka

• In May-June2021, a series of special prayers and ceremonies were held by people of different faiths across Sri Lanka for the well-being of people of India in the wake of COVID-19 pandemic.

Swami Vivekananda Cultural Centre

• The Swami Vivekananda Cultural Centre (SVCC), is the cultural arm of the High Commission of India, Colombo.
• It has been playing a key role in strengthening these ties and promoting people-to-people contacts between India and Sri Lanka since its inception in 1998.
• SVCC actively promotes awareness of Indian culture by offering classes in Bharatnatyam, Kathak, Hindustani and Carnatic vocal, Violin, Sitar, Tabla, Hindi and Yoga.

India-Sri Lanka Foundation

• The India-Sri Lanka Foundation, set up in December 1998 as an intergovernmental initiative, also aims towards enhancement of scientific, technical, educational and cultural cooperation through civil society exchanges and enhancing contact between the younger generations of the two countries.

Tourism

• Tourism also forms an important link between India and Sri Lanka.
• Government of India formally launched the e-Tourist Visa (eTV) scheme for Sri Lankan tourists on 14 April 2015.
• The tourism sector of Sri Lanka which was severely hit by Easter Sunday attacks received a boost by the arrival of Indian tourists.
• On 24 July 2019 Sri Lanka included India in the free visa on arrival scheme and commenced the scheme on 1 August 2019.

Fishermen issue

• Both countries have agreed on certain practical arrangements to deal with the issue of bona fide fishermen of either side inadvertently crossing the International Maritime Boundary Line.