India Proposes $450 Million Aid Package for Sri Lanka After Cyclone Ditwah

India offers major reconstruction assistance to Sri Lanka after Cyclone Ditwah

India has proposed a $450 million assistance package to support Sri Lanka’s reconstruction efforts following the widespread devastation caused by Cyclone Ditwah . The announcement was made during the visit of India’s External Affairs Minister S. Jaishankar to Colombo, underscoring New Delhi’s role as both a first responder and a long-term development partner in the Indian Ocean region.

Structure of the assistance package

The proposed support includes $350 million in concessional lines of credit and $100 million in grants . These funds are intended to rebuild critical infrastructure damaged by the cyclone, such as roads, railways and bridges . Additional assistance will focus on housing reconstruction, healthcare facilities, education infrastructure, and agriculture , sectors that suffered extensive losses due to flooding and high winds.

Diplomatic engagement and coordination

During his visit as a special envoy of Prime Minister Narendra Modi , Jaishankar called on Sri Lankan President Anura Kumara Disanayake and handed over a letter reaffirming India’s commitment to Sri Lanka’s recovery. Both sides discussed establishing effective coordination mechanisms to ensure timely and transparent utilisation of Indian assistance.

India’s first responder role

India launched Operation Sagar Bandhu on the very day Cyclone Ditwah struck Sri Lanka. Under the operation, over 1,100 tonnes of relief material were delivered, including dry rations, tents, tarpaulins, hygiene kits, clothing, and water purification systems. India also supplied 14.5 tonnes of medicines and medical equipment , along with an additional 60 tonnes of specialised relief equipment , reinforcing its rapid humanitarian response capacity.

Beyond immediate relief

India has also expressed readiness to support Sri Lanka’s broader economic recovery by encouraging foreign direct investment and tourism flows from India. By combining emergency relief with long-term reconstruction financing, New Delhi aims to promote stability, resilience, and deeper bilateral cooperation in the region.

Important Facts for Exams

• India proposed a $450 million reconstruction package for Sri Lanka

• Package includes $350 million credit and $100 million grants

• Operation Sagar Bandhu was India’s cyclone relief mission

• Reflects India’s Neighbourhood First and first responder policy