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India Proposes ₹4 Billion in Grants and Loans for Sri Lanka in 2026/27 Budget

February 2, 2026

The Government of India has proposed a total allocation of ₹4 billion (approximately LKR 15 billion) in grants and loans for Sri Lanka through its 2026/27 national budget, continuing its financial assistance to the island nation amid its economic recovery efforts.

The allocation is included in India’s Union Budget for the 2026/27 fiscal year, presented by Finance Minister Nirmala Sitharaman on Sunday (February 1), under the external assistance framework of the Ministry of External Affairs.

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