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Shared Horizons: Sri Lanka and India’s Journey Toward Regional Prosperity

July 23, 2025

“A rising tide lifts all boats.” As Sri Lankans, we understand the truth of these words intimately: our island’s fortunes have long been intertwined with those of our neighbours. India’s “Neighbourhood First” policy offers us both a promise and a roadmap—a vision in which regional harmony and shared progress secure everyone’s future. By placing South Asia at the heart of its engagement strategy, India recognises that its own security and growth are inseparable from the stability and prosperity of countries like ours.

Over the last decade, Indian development aid has been a catalyst for transformation across the region—and nowhere is this more visible than here in Sri Lanka. Through Lines of Credit and grants, India has funded the modernisation of our railway lines, upgrading tracks, signaling systems, and stations to international standards. Passengers now travel in greater comfort, and freight moves more swiftly, supporting local businesses and easing the flow of goods to our ports. This investment not only strengthens Sri Lanka’s connectivity but also deepens our integration with South Asian trade networks.

Our northern neighbour’s support extends well beyond rails. Across Bangladesh, Bhutan, Nepal, and the Maldives, India has invested in cross‑border roads, digital networks, and power grids. These initiatives knit the region together; they allow goods, data, and electricity to flow more freely, creating new opportunities for trade and cooperation. In Bhutan, hydropower plants financed by India generate clean energy that powers both Thimphu’s homes and Indian cities alike. In Nepal, the Motihari–Amlekhgunj oil pipeline—the first of its kind in South Asia—ensures reliable fuel imports, stabilising prices and supply. Such ventures send a clear message: by lifting our neighbours, India fortifies the entire subcontinent.

Yet infrastructure is only one facet of India’s outreach. The India Technical and Economic Cooperation (ITEC) programme has welcomed thousands of Sri Lankan professionals for short‑term training in fields ranging from agriculture to public administration. These courses have sharpened our skills, expanded our networks, and enriched our institutions. When cyclones or floods strike, India’s rapid humanitarian aid—relief supplies, medical teams, and search‑and‑rescue experts—often arrives first, underscoring our shared responsibility in times of crisis.

Beyond immediate assistance, flagship corridors like the BBIN motor‑vehicle agreement and the Kaladan Multi‑Modal Transit Project promise long‑term gains for Sri Lanka and our neighbours alike. Though Kaladan links India’s east coast to Myanmar and beyond, it exemplifies a broader vision: to open new trade routes, reduce shipping costs, and diversify markets. In parallel, cultural exchanges—academic scholarships, film collaborations, and tourism partnerships—foster people‑to‑people ties that transcend borders, building the trust essential for lasting cooperation.

For Sri Lankan exporters, India is more than a friendly neighbour; it is a vital market. Our tea, garments, and seafood find ready buyers across the Palk Strait, boosting our foreign exchange earnings and sustaining livelihoods in hill country plantations and coastal fishing communities. In return, India supplies us with petroleum, cement, pharmaceuticals, and technology—inputs that underpin our industries and infrastructure projects.

From the bustling streets of Colombo to the paddy fields of Anuradhapura, we feel the ripple effects of India’s Neighbourhood First policy. As Sri Lankan readers, we appreciate that this engagement is not charity but shared strategy: by helping our nation build stronger railways, train skilled professionals, and expand export markets, India is building a more resilient and prosperous South Asia—one in which we all rise together.

In the end, our collective future depends on such collaboration. As we harness these opportunities, we reaffirm that a stable, interconnected, and flourishing region benefits every people—especially those who call these islands and the neighbouring mainland home. When Sri Lanka and its neighbours thrive in unison, the promise of shared prosperity becomes a reality for us all.

Written by Madushan Elvitigala

 

 

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