High-level team headed for Lanka

Notably, Sri Lanka has drastically increased defence purchases from Pakistan in the past year, while India has remained cautious in not supplying offensive military equipment to Sri Lanka. The growing defence relations with Pakistan and China did prompt India to release a soft loan to Colombo for purchasing defence equipment. Pakistan too had supplied Sri Lankan army from its wartime stocks.

At the political level, India and Sri Lanka are close to sewing up the comprehensive economic cooperation agreement, a step further from the existing free trade agreement in goods, which will include liberalization of trade in services. India doesn8217;t have a liberal trading arrangement with any other neighbour.

However, the Rajapaksa government is keen on expanding defence relationship with India and had even indicated that the Prime Minister inaugurate an India Peace Keeping Force memorial during his visit. Given the internal political ramifications of this, New Delhi is likely to be cautious in getting involved in Sinhala-Tamil politics. The DMK govt in Tamil Nadu has been very sensitive about defence cooperation with Sri Lanka, repeatedly urging the Centre not to be part of efforts to militarily target the Tamils.