India Proposes $450 Million Aid to Rebuild Cyclone-Hit Sri Lanka

India has proposed a $450 million assistance package to support the reconstruction of Sri Lanka following the devastation caused by Cyclone Ditwah. The announcement was made during the visit of India’s external affairs minister to Colombo, underlining New Delhi’s role as a first responder and long-term development partner in the Indian Ocean region.

Details of the Proposed Assistance Package

The proposed package comprises $350 million in concessional lines of credit and $100 million in grants. The assistance is aimed at rebuilding critical infrastructure damaged by the cyclone, including roads, railways and bridges. Additional support will be extended to housing reconstruction, healthcare facilities, education systems and agriculture, which were among the worst-affected sectors.

High-Level Engagement and Diplomatic Outreach

External affairs minister S Jaishankar, visiting Sri Lanka as a special envoy of Prime Minister Narendra Modi, called on Sri Lankan President Anura Kumara Disanayake. Jaishankar handed over a letter from Modi reaffirming India’s commitment to post-cyclone reconstruction. Discussions focused on ensuring the rapid and efficient delivery of assistance through an effective coordination mechanism.

India’s First Responder Role After Cyclone Ditwah

India’s relief mission, Operation Sagar Bandhu, was launched on the day Cyclone Ditwah made landfall. Under the operation, more than 1,100 tonnes of relief material were delivered, including dry rations, tents, tarpaulins, hygiene kits, essential clothing and water purification systems. India also supplied around 14.5 tonnes of medicines and medical equipment, along with an additional 60 tonnes of specialised equipment to support on-ground relief efforts.

Imporatnt Facts for Exams

• India proposed a $450 million reconstruction package for Sri Lanka after Cyclone Ditwah.
• The package includes $350 million in concessional credit and $100 million in grants.
• Operation Sagar Bandhu was India’s relief mission for cyclone-hit Sri Lanka.
• India positions itself as a first responder in the Indian Ocean region.

Broader Cooperation Beyond Immediate Relief

Beyond reconstruction, India has also expressed willingness to support Sri Lanka’s economic recovery by boosting foreign direct investment and tourism flows from India. The proposed assistance reflects India’s neighbourhood-first policy and its strategic interest in regional stability. By combining immediate humanitarian relief with long-term reconstruction financing, New Delhi aims to help Sri Lanka recover swiftly while strengthening bilateral cooperation across infrastructure, connectivity and people-to-people ties.