Sri Lanka Survived Two Years of Economic Crisis Because of the Financial Support of 3.5 Billion USD from India: President Ranil

Sri Lanka has emerged resilient from one of the most challenging economic crises in its history, largely thanks to substantial financial support from India. 

Addressing the 31st All India Partners Meet in Colombo, President Ranil Wickremesinghe attributed the country's survival over the past two tumultuous years to the $3.5 billion loan provided by India. 

This financial lifeline has been crucial in stabilizing Sri Lanka's economy, which saw its first sovereign default since gaining independence in 1948.

President Wickremesinghe expressed profound gratitude for India's timely assistance, which played a pivotal role in preventing the complete collapse of Sri Lanka’s economy. 

He emphasized that this support was not just a financial transaction but a demonstration of the deep-rooted partnership and solidarity between the two nations. 

"Having now survived two difficult years, I must acknowledge that this was possible because India gave us a loan of USD 3.5 billion. All that will be repaid," said Wickremesinghe, underscoring the commitment to uphold Sri Lanka’s financial obligations.

The Sri Lankan President reaffirmed his commitment to strengthening ties with New Delhi, highlighting that the collaboration extends beyond mere economic support. 

Recent discussions with Indian Prime Minister Narendra Modi have centered on accelerating various joint projects, particularly in the field of sustainable energy. 

Wickremesinghe pointed out that these discussions are not just about immediate relief but are aimed at building a robust framework for long-term cooperation, including projects such as grid interconnection, the Sampur solar power project, enhancing land connectivity, and expediting the Trincomalee Development Project, which focuses on industrial zones and tourism. 

Additionally, plans for a multi-product oil pipeline from Nagapattinam to Trincomalee underscore the depth of the bilateral relationship and the shared vision for future development.

In his address, President Wickremesinghe also reflected on the broader implications of the crisis, which led to significant political changes in Sri Lanka, including the resignation of his predecessor, Gotabaya Rajapaksa, in 2022. 

The economic turmoil has reshaped the nation's priorities and highlighted the importance of strong international partnerships. 

As Sri Lanka continues on its path to recovery, the support from India remains a cornerstone of its strategy to rebuild and grow, ensuring a stable and prosperous future for its people.