India Grants Rs 2.37 Billion For Sri Lanka’s Education, Health, Agriculture Post Dissanayake’s First Overseas Visit After Elections

India has announced a Rs 2.37 billion grant to Sri Lanka, aimed at advancing development across education, health, and agriculture sectors in the eastern province. The Cabinet of Sri Lanka has approved a Memorandum of Understanding (MoU) formalising this initiative, which is set to enhance bilateral ties and foster socio-economic growth. 

Health Minister Nalinda Jayathissa confirmed the allocation of Rs 315 million for education, Rs 780 million for health, and Rs 620 million for agriculture, underscoring the project’s focus on infrastructure development and community empowerment.

This announcement follows the recent visit of Sri Lankan President Anura Kumara Dissanayake to India from 15-17 December, marking his first overseas trip since assuming office. The visit, seen as a significant diplomatic gesture, reflects the mutual trust and strategic interdependence between the two neighbors.

For the Janatha Vimukthi Peramuna (JVP) government, historically critical of India’s policies, the visit provided a platform to address shared regional concerns and explore avenues for deeper cooperation amid evolving geopolitical challenges.

India’s financial assistance is particularly timely, as Sri Lanka grapples with a severe economic crisis and mounting debt obligations. Beyond the Rs 2.37 billion grant, India has pledged Rs 20.66 million to settle payments for seven completed line-of-credit projects.

Additionally, a $61.5 million project for the rehabilitation of Kankesanthurai Port in the Northern Province will be executed as a grant, signaling India’s long-term commitment to Sri Lanka’s economic recovery.

These measures signify India’s strategic approach to fostering regional stability through targeted development initiatives. By prioritizing education, healthcare, and agriculture, India seeks to empower local communities while reinforcing its role as a dependable partner in Sri Lanka's recovery. 

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