• UGI USER
  • Jun 06, 2024
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INTERNATIONAL CONGRATULATIONS AND AN INVITE TO SRI-LANKA

Syllabus:

GS 2:

  • India and its Neighborhood- Relations.
  • Effect of Policies and Politics of Developed and Developing Countries on India’s interests.

Why in the News?

  • Modi received congratulations from over 50 global leaders, including U.S. and Russia , for his Lok Sabha election victory.
  • Modi invited Sri Lankan President Ranil Wickremesinghe to his swearing-in, and attention now focuses on which other leaders will attend the ceremony.
 Source: IE

High-Level International Greetings

  • Global Leaders’ Congratulations: U.S. President Joe Biden, Russian President Vladimir Putin, and British Prime Minister Rishi Sunak were among the leaders of over 50 countries who congratulated Prime Minister Narendra Modi and the National Democratic Alliance (NDA) for their Lok Sabha election victory.
  • Sri Lankan President Invited: Modi invited Sri Lankan President Ranil Wickremesinghe to his swearing-in ceremony, which Wickremesinghe accepted.
  • Interest in Ceremony Invitations: Attention is now focused on which other leaders will be invited to the swearing-in ceremony, following the precedent of inviting SAARC leaders in 2014 and BIMSTEC leaders in 2019.
  • Potential Regional Invites: Invitations may be extended to regional countries, including Gulf countries like the UAE and Saudi Arabia, and Central Asian nations, depending on their ability to travel to India on short notice.
  • Broader Diplomatic Outreach: Leaders from countries like Israel, Singapore, France, Italy, Germany, the Netherlands, Denmark, Norway, Spain, the Czech Republic, and Ukraine also extended their greetings.

Historical Ties Between India and Sri Lanka

  • Ancient Connections: India and Sri Lanka share a history of cultural, religious, and trade ties that date back to ancient times.
  • Cultural Heritage: Many Sri Lankans trace their heritage to India, showcasing deep cultural bonds.
  • Religious Influence: Buddhism, originating in India, is a significant religion in Sri Lanka, further strengthening ties.
  • Long-standing Relations: The historical relationship includes centuries of exchanges in various fields, including arts and education.
  • Cultural Diplomacy: Regular cultural exchanges and celebrations of shared heritage continue to reinforce the relationship.

Financial Assistance from India

  • Economic Aid: India provided approximately USD 4 billion in aid to Sri Lanka during its economic crisis.
  • Crisis Management: This aid was crucial for Sri Lanka to survive its worst financial crisis since gaining independence in 1948.
  • Support During Hard Times: India’s financial support highlights its role as a dependable neighbor during emergencies.
  • Economic Stability: The assistance helped stabilize Sri Lanka’s economy by addressing critical shortages.
  • Continued Support: India remains committed to supporting Sri Lanka’s economic recovery through various initiatives.

Role in Debt Restructuring

  • IMF Collaboration: India collaborated with the International Monetary Fund (IMF) and other creditors to help Sri Lanka restructure its debt.
  • First Mover: India was the first country to provide a letter of support for Sri Lanka’s debt restructuring.
  • Debt Relief Efforts: India’s involvement demonstrates its proactive role in regional economic stability.
  • Financial Strategy: The support aims to create sustainable financial solutions for Sri Lanka.
  • Long-Term Commitment: India’s actions signify a long-term commitment to Sri Lanka’s economic health.

Joint Vision for Connectivity

  • Comprehensive Connectivity: India and Sri Lanka have agreed on a joint vision emphasizing comprehensive connectivity.
  • People-to-People Links: Enhanced people-to-people connectivity is a key component of this vision.
  • Renewable Energy Cooperation: Both countries are focusing on cooperation in renewable energy.
  • Logistics and Ports: Improved logistics and port connectivity are being pursued to facilitate trade.
  • Grid Connectivity: Initiatives include grid connectivity for electricity trade, enhancing energy security.

India’s Involvement in Renewable Energy Projects

  • Renewable Initiatives: Indian companies are developing renewable energy projects in northeast Sri Lanka.
  • Energy Collaboration: This indicates growing collaboration in the energy sector between the two countries.
  • Sustainable Development: The projects aim to promote sustainable energy solutions.
  • Economic Benefits: Renewable energy projects contribute to economic growth in both nations.
  • Environmental Impact: These initiatives also focus on reducing the environmental footprint.

Economic and Technology Cooperation Agreement (ETCA)

  • Economic Integration: India and Sri Lanka are exploring an ETCA to integrate their economies.
  • Mutual Development: The agreement aims to foster mutual economic development.
  • Technology Collaboration: Enhanced cooperation in technology sectors is a key goal.
  • Trade Facilitation: ETCA seeks to reduce trade barriers and promote smoother economic exchanges.
  • Investment Opportunities: The agreement would create new investment opportunities for both countries.

Economic Ties

  • Major Export Destination: India is Sri Lanka’s third largest export destination after the US and UK.
  • Free Trade Agreement: Over 60% of Sri Lanka’s exports benefit from the India-Sri Lanka Free Trade Agreement.
  • Investment Relations: India is a major investor in Sri Lanka, with significant FDI over the years.
  • Trade Volume: The robust trade relationship benefits both economies.
  • Economic Partnership: Continued economic ties highlight the strong partnership between the nations.

Defence Cooperation

  • Joint Military Exercises: India and Sri Lanka conduct joint military (Mitra Shakti) and naval exercises (SLINEX).
  • Security Collaboration: These exercises enhance mutual security cooperation.
  • Regional Stability: Defence collaboration contributes to regional stability.
  • Capability Building: Joint exercises help in building defence capabilities.
  • Strategic Partnership: Defence cooperation is a pillar of the strategic partnership.

Participation in Groupings

  • BIMSTEC and SAARC Membership: Sri Lanka is a member of regional groupings like BIMSTEC and SAARC, where India plays a leading role.
  • Regional Cooperation: Participation in these groupings enhances regional cooperation.
  • Shared Goals: Both countries work together on common regional goals.
  • Economic Integration: Group memberships facilitate economic integration.
  • Policy Coordination: These platforms help in policy coordination on regional issues.

Significance of Bilateral Relations

  • Regional Development: India’s development is linked to regional stability, with Sri Lanka playing a key role.
  • Geographical Proximity: Sri Lanka’s proximity to India, separated by the Palk Strait, shapes their relationship.
  • Strategic Location: Sri Lanka’s location at major shipping lanes is critical for India’s trade and military strategy.
  • Economic Integration: Initiatives like UPI adoption contribute to economic integration.
  • Tourism and Business: Improved economic and tourism connectivity benefits both nations.

Challenges in Relations

  • Fisheries Dispute: Ongoing issues related to fishing rights in the Palk Strait and the Gulf of Mannar cause tensions.
  • Border Security: The porous maritime boundary poses challenges for border security and smuggling.
  • Tamil Ethnic Issue: The Tamil ethnic conflict in Sri Lanka is a sensitive issue for India.
  • China’s Influence: China’s increasing influence in Sri Lanka is viewed as a challenge by India.
  • Geopolitical Tensions: These challenges require careful diplomatic navigation.

Way Forward

  • Economic Cooperation: Enhancing economic cooperation can reduce trade imbalances and promote mutual growth.
  • Balancing Engagements: Ensuring strong bilateral relations despite external influences is crucial.
  • Security Collaboration: Strengthening security cooperation and intelligence sharing can address common threats.
  • Tamil Ethnic Issue: Continued engagement on the Tamil issue can promote stability and inclusivity in Sri Lanka.
  • Cultural Connectivity: Encouraging cultural exchanges and educational ties can foster greater understanding between the citizens of both countries.

Conclusion

India and Sri Lanka’s relationship is marked by deep historical ties, substantial economic cooperation, and strategic regional importance. Despite challenges like the fisheries dispute and China’s influence, both nations continue to strengthen their partnership through economic, cultural, and security collaborations, underscoring their commitment to mutual growth and stability.

Source:The Hindu

Mains Practice Question:

Analyze the impact of India’s economic assistance and strategic cooperation on Sri Lanka’s political stability and economic recovery, particularly in the context of recent elections in both countries. Discuss the challenges and opportunities that shape the bilateral relationship between India and Sri Lanka.

Associated Article:

https://universalinstitutions.com/india-china-srilanka/