ECONOMYNEXT – India’s influence on crisis-hit Sri Lanka is expected to grow further as the Narendra Modi government announces plans to expand a housing project for Indian-origin Tamil plantation workers residing in the island nation’s central hills.
Visiting Finance Minister of India Nirmala Sitharaman on Saturday November 02 announced the construction of an additional 10,000 houses for plantation workers, with the foundation stone laid in Mount Vernon Estate, Dimbula, Kotagala that morning, commencing Phase 4 of the project.
Phase 3 is nearing completion, with some 3,700 out of 4,000 already handed over to beneficiaries, she said.
Speaking at ‘Nam 200’, an event organised to mark 200 years since the arrival of Indian-origin Tamils in Sri Lanka as plantation workers, Sitharaman said it was India’s flagship development project.
“India has consistently stood in solidarity with you, offering all the support within our means. In 1923, the British government appointed the agent of the government of India in Kandy to safeguard the interests and ensure the wellbeing of Indian immigrant labourers in Ceylon.
It was the only office of India in Sri Lanka at that time,” said Sitharaman.
“Today, our assistant high commission in Kandy has completed 100 years of its journey with [the Indian-origin Tamil people],” she said.
The Indian finance minister said her prime minister “fondly recollects” his visit to Sri Lanka’s upcountry in 2017 when he officially commenced phase 3 of the Indian-sponsored programme.
“This will remain a special moment for our bilateral relations and personally to me,” said Sitharaman.
India continues to exert influence on its neighbour to the south which is still recovering from a devastating currency crisis that nearly crippled the country in 2022. The Modi government offered a lifeline to Sri Lanka in the form of a credit line that helped Sri Lanka breathe at a time when it was struggling to provide essential goods and services.
Sri Lanka and India have also entered agreements on renewable energy cooperation, among other things, amid Indian fears of Chinese influence in the region. (Colombo/Nov03/2023)